Exports, Driving Thailand'S Growth

Exports will be the driving force behind Thailand’s continued growth in 2010. The collapse of tourism because of the so-called “Red-Shirt riots” had many expecting Thailand to suffer through negative to anemic growth for at least a year or two but booming exports look to carry the country to 6% growth in 2010. The Thai stock market (up 11%) and Thai Baht (up 3%) are taking notice.

Tourism is Thailand’s most visible money maker, thanks in no small part to the Thai government’s “Amazing Thailand” program which may soon be revised and re-promoted with the government and tourist industry eager to replace the images of burning tires and tanks with sunny beaches and beautiful women. But many would be amazed to know that tourism makes up just 6% of Thailand’s Gross Domestic Product, while exports (farming and manufacturing) compromise 2/3 of her GDP. Those exports are still growing and are expected to increase 25-30% in 2010.

For more information see: http://www.businessweek.com/magazine/content/10_29/b4187014973099.htm , http://www.businessweek.com/news/2010-06-18/thailand-s-exports-climb-the-most-in-almost-two-years-update3-.html , and http://english.peopledaily.com.cn/90001/90778/90861/6973109.html .

[sunbelt][/sunbelt]