Kasikornbank predicts disappointing economic growth at 4% this year

[webfact]

Kasikornbank predicts disappointing economic growth at 4% this year
By English News

BANGKOK, Sept 11 – Thailand’s economic growth will possibly be capped at 4 per cent this year given delays in the state’s 2014 budget spending and the planned Bt2 trillion investment on infrastructure development, a leading banker said today.

Teeranan Srihong, Kasikornbank president, said there were no positive signs contributing to internal economic resurrection in the last four months of the year.

He forecast Thailand’s economic expansion by 4.5 per cent next year after the global economy gains strength and the government kicks off some investment projects.

“Wars in some countries have toned down, boosting foreign consumers’ confidence. Thailand’s export sector should improve next year if the Thai currency remains weak as it is,” he said.

Mr Teeranan said Thailand’s overall efficiency has neither improved nor worsened – ranked 27th among 60 countries – as surveyed by the Switzerland-based International Institute for Management Development (IMD).

Compared to countries in Southeast Asia, Thailand is third after Singapore and Malaysia due to its lack of infrastructure development.

The government has mapped out investment plans for various projects but they have never been implemented, diminishing Thailand’s competitiveness in the region and creating concerns that the country’s ranking may drop, he pointed out.

The private sector’s proposals on state investment in research and development of products, and human resources development have never been executed by the government, he said.

Expressing concerns on household debt, Mr Teeranan said Kasikornbank has closely monitored the financial situation and found that non-performing loans remain controllable while borrowing expansion was on target at 9-11 per cent. (MCOT online news)


-- TNA 2013-09-11

[Joe Mamma]

Start a baht printing frenzy and paper the country with it. Just like your rich uncle did.

[phantomfiddler]

I,m no financial or economic genius, but where is the thrill in 4% economic growth when the prices of commodities are rising at a rate that makes 4% insignificant Bring Khun Anand back !

Edited September 11, 2013 by phantomfiddler

[kirk0233]

According to the Global Competiveness Report of the World Economic Forum

http://reports.weforum.org/global-competitiveness-report-2012-2013/

After having fallen for six years in a row, Thailand (38th) halts the negative trend and improves by one
place in this year’s GCI. Yet the competitiveness challenges the country is facing remain considerable.
Political and policy instability, excessive red tape, pervasive corruption, security concerns, and uncertainty around property rights protection seriously undermine the quality of the institutional framework on which businesses rely heavily. The country loses an additional
10 places in this category to rank a low 77th. Poor public health (71st) and basic education standards (89th), two other critical building blocks of competitiveness, require urgent attention. Turning to more sophisticated areas, which are just as important given Thailand’s stage of development, technological adoption is generally poor (84th). Less than a quarter of the population accesses the Internet on a regular basis, and only a small fraction has access to broadband. On a more positive note, the
macroeconomic environment continues to improve— albeit marginally (27th, up one spot)—as the budget deficit was reduced to less than 2 percent of GDP and the debt-to-GDP ratio dropped to 42 percent in 2011.

[bigbamboo]

According to the Global Competiveness Report of the World Economic Forum

http://reports.weforum.org/global-competitiveness-report-2012-2013/

After having fallen for six years in a row, Thailand (38th) halts the negative trend and improves by one

place in this year’s GCI. Yet the competitiveness challenges the country is facing remain considerable.

Political and policy instability, excessive red tape, pervasive corruption, security concerns, and uncertainty around property rights protection seriously undermine the quality of the institutional framework on which businesses rely heavily. The country loses an additional

10 places in this category to rank a low 77th. Poor public health (71st) and basic education standards (89th), two other critical building blocks of competitiveness, require urgent attention. Turning to more sophisticated areas, which are just as important given Thailand’s stage of development, technological adoption is generally poor (84th). Less than a quarter of the population accesses the Internet on a regular basis, and only a small fraction has access to broadband. On a more positive note, the

macroeconomic environment continues to improve— albeit marginally (27th, up one spot)—as the budget deficit was reduced to less than 2 percent of GDP and the debt-to-GDP ratio dropped to 42 percent in 2011.

The important thing here is that the macroeconomic environment has improved, as I'm sure Khun Yingluck would agree.

[hellodolly]

Well this came as no surprise.

"The private sector’s proposals on state investment in research and development of products, and human resources development have never been executed by the government, he said."

Now if that proposal had of come from Dubai there would be action.

[billd766]

Noooooooooooooooooooooooooooooooooooo

EVERYBODY in the government says that is not true at all.

Thailand has no problems and will out perform the rest of the world for the rest of Thaksins reign.

A big man high up in the goverment with an initial between J and L told a friend of a friend of another friend whose wife knows "other" people and they said it is not true.

I think.