Finance Ministry concedes weakened Thai economy

[webfact]

Finance Ministry concedes weakened economy
By English News



BANGKOK, Oct 31 – Thailand’s Q3 economy has slowed down due to declining domestic consumption, reflected through shrinking value added tax (VAT) collection, according to the Finance Ministry.

Kulaya Tantitemit, executive director of the Macroeconomic Policy Bureau, said VAT collection decreased by 7.3 per cent in Q3 while private sector investment in machinery declined by 7.9 per cent annually.

On the positive side, investment in construction expanded 3 per cent/year, reflecting a growth in the property market which was recovering, she said.

Ms Kulaya said Thai export values to the US and European Union markets increased by 0.7 per cent and 8.5 per cent/year respectively despite an export slowdown by 1.7 per cent/year in Q3.

Though the government has heavily relied on local consumption, its dependence on exports cannot be abruptly disrupted, she said.

Tourism was another economic driving force for Thailand which enjoyed a 26.1 per cent growth, or arrivals of 6.75 million tourists, in Q3, she said, adding that public debt ratio against gross domestic product (GDP) was at 44.6 per cent, as of August.

Thailand’s economic growth should be 3.3 per cent in the second half of the year while the Finance Ministry will adjust the GDP projection again in December from an earlier forecast at 3.5-4 per cent, she said.

The Bt2.2 trillion investment for infrastructure development and spending on water management projects next year should be vital in stimulating the country’s economy, she concluded. (MCOT online news)


-- TNA 2013-10-31

[Lobo4819]

OK, so they are betting on 3.3% growth the second half of the year, with only two more months to adjust downwards again. By the end of the year, they will probably decide to use completely different measurement markers, or whatever they can pull out of their backsides to substantiate their projection of what the spirits will do. Whatever, it certainly won't be the government's fault.

[soi41]

"Come on Somchai, time for another forecast, let's have some fun"

[worgeordie]

So the only sector doing well is the property bubble,

Thing must be bad if they are actually saying theres

a downturn,can you trust the tourist figure's from TAT .

regards Worgeordie

[waza]

Thaksinomics is working a treat then.

[Prbkk]

Personal debt is growing at alarming and unsustainable levels and she is promoting a domestic, consumer led recovery? A nutter.

[Ricardo]

And next year's infrastructure scam spending would be vital to keep the economy tottering along, only a couple of years ago PTP inherited a solid growing economy, how well they've done with it !

Time for PTP to get a new Absent-Thinker, or start thinking for themselves, perhaps ?

[Thai at Heart]

said VAT collection decreased by 7.3 per cent

Ouch. Better use that tried and trusted strategy of raising its price then.

[Thai at Heart]

Personal debt is growing at alarming and unsustainable levels and she is promoting a domestic, consumer led recovery? A nutter.

That strategy is what has kept the place going already. Now they need the trains to boost the economy. Rocky times ahead.

[NongKhaiKid]

The other newspaper reports figures from Thai Exporters and Shippers showing their growth forecast for Sept fell from 4.5% to only 1% which seems to be a little more pointed than anything from government. Anyway export figures will skyrocket when all that rice supposedly being bought starts being delivered ! ?

Howver there's the slight matter of potentially destructive civil unrest to be sorted out before commerce, investment etc. can be positive about the future.

[siampolee]

The Bt2.2 trillion investment for infrastructure development and spending on water management projects next year should be vital in stimulating the country’s economy, she concluded. (MCOT online news)

If and when that investment actually comes into being in its entirety it is going to take more than a year before it starts to show a positive impact upon the country's economy..

[slapout]

Well the Finance Ministry seems to have the solution to the downward tail spin of the economy. They are going to borrow money to spend our way back to a stimulated growing private sector via massive construction projects, whose labor force seems to be made up in the most part of non Thais.

This does seem to agree with the same general attitude for promoting Chinese tourists. They have a hard time accepting the fact that personal spending for both groups, is first, for the basic needs and there is not enough left to greatly affect overall economy. Some countries have a personal tax system that they can tinker with. but Thailand excludes a large part of her population from such nonesense.

[pablodiablo]

its like banging your head on a brick wall, relax import duty, make more products allordable for people, like cars, motor bikes get more countrys exporting to thailand then get more tax revenue from petrol more tax for cars more jobs serviceing the cars then your getting towards a consumer driven economy why cant they see it !!!!!!!!!!!!!!!!!!!!!!!!!!!!!

Edited October 31, 2013 by pablodiablo

[winstonc]

its amazing how being so reliant on tourism,and the money it recieves from it,they really (still) dont give a <deleted> about johny foreigner,with the way they treat them...but hey why should we worry...if so much wasnt stolen and spent well this really would be amazing thailand the envy of aisa...but no greed greed and me me me ...i love thailand and thais.they really deserve so much better ...it can and does make me angry......sorry .rant over..peace everyone.....

[drdoom6996]

Thaksinomics is working a treat then.

What, and the trick is on the Thai People?

[rubl]

Some questions, like

- did Thai Baht drop against Euro and Pound have any effect on the export growth to EU?

- tourism may be a driving force with 26.1 % growth in Q3, but the lady forgot to tell what percentage of the Thai economy is related to tourism. Wasn't it between 5 and 8% only?

[GeorgeO]

So the only sector doing well is the property bubble,

Thing must be bad if they are actually saying theres

a downturn,can you trust the tourist figure's from TAT .

regards Worgeordie

That was my immediate focus too Worgeordie.

With the sh1t about to hit the fan, the only thing they can currently rely upon is the housing bubble, but when that bursts, as it surely must, we are really going to see this place going the way of the Philippines, from boom to bust.

She is suggesting that domestic consumption is going to save Thailand, and yet, we are already well aware that household debt is through the roof. Add to this rampant inflation leading to an alarming rise in the CPI and no-one has any money left to spend on anything but absolute necessities.

I was in the UK a couple of months ago and was shocked to find that there were so many things that were cheaper there than here, and I'm not talking about luxury items. The average earnings for all full-time workers in the UK are now GBP 26,500; how does that compare to earnings here?

This PTP government is going to go down in history as the dark days of Thai politics, and it's going to take a very strong opposition party, and some drastic measures, to recover from this once they have been ousted. I dread to think what the final bill (total losses) is going to be....!!

[AleG]

That was my immediate focus too Worgeordie.

With the sh1t about to hit the fan, the only thing they can currently rely upon is the housing bubble, but when that bursts, as it surely must, we are really going to see this place going the way of the Philippines, from boom to bust.

She is suggesting that domestic consumption is going to save Thailand, and yet, we are already well aware that household debt is through the roof. Add to this rampant inflation leading to an alarming rise in the CPI and no-one has any money left to spend on anything but absolute necessities.

I was in the UK a couple of months ago and was shocked to find that there were so many things that were cheaper there than here, and I'm not talking about luxury items. The average earnings for all full-time workers in the UK are now GBP 26,500; how does that compare to earnings here?

This PTP government is going to go down in history as the dark days of Thai politics, and it's going to take a very strong opposition party, and some drastic measures, to recover from this once they have been ousted. I dread to think what the final bill (total losses) is going to be....!!

PTP are throwing candy around, those that would come later will have to spoon feed the bitter medicine to fix PTPs irresponsibility. The following election who do you think the people would vote for? Candy or bitter medicine?

Democracy needs an informed and civic minded population to work, therefore, it´s not working here and I don´t see any group or individual taking any measures to remedy the situation.

[nong38]

I find Thai finances rather bewildering. Yes we know its going to be weaker this year, same everywhere, so if you have to tighten your belt a bit so be it. Is the 2.2billion infrastrucure project under threat from the 1.9 billion injection into the rice price pledge scheme? Which is more important sort out the infrastructure or pay way over the odds for rice production that nobody wants to buy? Is there any wonder that finances are in trouble, someone needs to sort out how much production of rice is required and thats it and if the cant do it at a competitive rate well then get on your bike and find another job with a product that people do want.

It sounds like Europes common agricultural policy, which just guzzels up as much money as you can through at it.

Someone needs to be brave and do the right thing, anyone at home? Thought not!

[rmacee]

Driving about you would think the economy is booming.. endless new cars either with no plate or red plate .. and a serious number of BMWs..

Was in a the in Ubon for a few night .. first night parked outside was a white Porsche and last night a BMW Z4 on a red plate ...

Also in Ubon a new Robinson's Plaza ... would be a show piece anywhere in the Uk ...

Anyway my view of the world ...

[waza]

Driving about you would think the economy is booming.. endless new cars either with no plate or red plate .. and a serious number of BMWs..

Was in a the in Ubon for a few night .. first night parked outside was a white Porsche and last night a BMW Z4 on a red plate ...

Also in Ubon a new Robinson's Plaza ... would be a show piece anywhere in the Uk ...

Anyway my view of the world ...

Quite a nice profit in Ubon importing rice from Cambodia,

[Prbkk]

Indeed, but mostly paid for on the never, never....with the consequent massive increase in debt levels. We are going to see more dud cheques ( covered in a story the other day) and major repos, business failures as Thailand will not be able to continue with this ponzu-like expansion of consumption

Driving about you would think the economy is booming.. endless new cars either with no plate or red plate .. and a serious number of BMWs..

Was in a the in Ubon for a few night .. first night parked outside was a white Porsche and last night a BMW Z4 on a red plate ...

Also in Ubon a new Robinson's Plaza ... would be a show piece anywhere in the Uk ...

Anyway my view of the world ...

Quite a nice profit in Ubon importing rice from Cambodia,

[FLHR]

That was my immediate focus too Worgeordie.

With the sh1t about to hit the fan, the only thing they can currently rely upon is the housing bubble, but when that bursts, as it surely must, we are really going to see this place going the way of the Philippines, from boom to bust.

She is suggesting that domestic consumption is going to save Thailand, and yet, we are already well aware that household debt is through the roof. Add to this rampant inflation leading to an alarming rise in the CPI and no-one has any money left to spend on anything but absolute necessities.

I was in the UK a couple of months ago and was shocked to find that there were so many things that were cheaper there than here, and I'm not talking about luxury items. The average earnings for all full-time workers in the UK are now GBP 26,500; how does that compare to earnings here?

This PTP government is going to go down in history as the dark days of Thai politics, and it's going to take a very strong opposition party, and some drastic measures, to recover from this once they have been ousted. I dread to think what the final bill (total losses) is going to be....!!

PTP are throwing candy around, those that would come later will have to spoon feed the bitter medicine to fix PTPs irresponsibility. The following election who do you think the people would vote for? Candy or bitter medicine?

Democracy needs an informed and civic minded population to work, therefore, it´s not working here and I don´t see any group or individual taking any measures to remedy the situation.

Keep the population uneducated and unarmed. It's always worked for self serving governments through out history! No problem here, they're beyond uneducated and heavily brainwashed!

[indyuk]

So the only sector doing well is the property bubble,

Thing must be bad if they are actually saying theres

a downturn,can you trust the tourist figure's from TAT .

regards Worgeordie

That was my immediate focus too Worgeordie.

With the sh1t about to hit the fan, the only thing they can currently rely upon is the housing bubble, but when that bursts, as it surely must, we are really going to see this place going the way of the Philippines, from boom to bust.

She is suggesting that domestic consumption is going to save Thailand, and yet, we are already well aware that household debt is through the roof. Add to this rampant inflation leading to an alarming rise in the CPI and no-one has any money left to spend on anything but absolute necessities.

I was in the UK a couple of months ago and was shocked to find that there were so many things that were cheaper there than here, and I'm not talking about luxury items. The average earnings for all full-time workers in the UK are now GBP 26,500; how does that compare to earnings here?

This PTP government is going to go down in history as the dark days of Thai politics, and it's going to take a very strong opposition party, and some drastic measures, to recover from this once they have been ousted. I dread to think what the final bill (total losses) is going to be....!!

You seem to have forgotten that it was the Democrat Alliance and a military government that took Thailand down the pan last time. Thailand also took much of Asia with her. All this in spite of the lie that it was the weakness of the Korean Won that caused Thailand's crash. The Won story is true of course it was just Thailand's Property Bubble and it's criminal property sector investors that brought the country down.

[rubl]

The last time? You mean 1997 with the then PM Gen. Chavalit government? The government which even had a "Bangkok traffic problem solver" as Min. of Int. for a moment ?

So the only sector doing well is the property bubble,
Thing must be bad if they are actually saying theres
a downturn,can you trust the tourist figure's from TAT .

regards Worgeordie

That was my immediate focus too Worgeordie.

With the sh1t about to hit the fan, the only thing they can currently rely upon is the housing bubble, but when that bursts, as it surely must, we are really going to see this place going the way of the Philippines, from boom to bust.

She is suggesting that domestic consumption is going to save Thailand, and yet, we are already well aware that household debt is through the roof. Add to this rampant inflation leading to an alarming rise in the CPI and no-one has any money left to spend on anything but absolute necessities.

I was in the UK a couple of months ago and was shocked to find that there were so many things that were cheaper there than here, and I'm not talking about luxury items. The average earnings for all full-time workers in the UK are now GBP 26,500; how does that compare to earnings here?

This PTP government is going to go down in history as the dark days of Thai politics, and it's going to take a very strong opposition party, and some drastic measures, to recover from this once they have been ousted. I dread to think what the final bill (total losses) is going to be....!!

You seem to have forgotten that it was the Democrat Alliance and a military government that took Thailand down the pan last time. Thailand also took much of Asia with her. All this in spite of the lie that it was the weakness of the Korean Won that caused Thailand's crash. The Won story is true of course it was just Thailand's Property Bubble and it's criminal property sector investors that brought the country down.

[whybother]

You seem to have forgotten that it was the Democrat Alliance and a military government that took Thailand down the pan last time. Thailand also took much of Asia with her. All this in spite of the lie that it was the weakness of the Korean Won that caused Thailand's crash. The Won story is true of course it was just Thailand's Property Bubble and it's criminal property sector investors that brought the country down.

... but the Democrats ...

[Bkungbank]

First car rebate causing many car owners remortgage housing loan to repay for car, toll increase, FT electricity increase , LPG price up burden many people spending and will get worst if demonstration continue on.

[Thai at Heart]

So the only sector doing well is the property bubble,

Thing must be bad if they are actually saying theres

a downturn,can you trust the tourist figure's from TAT .

regards Worgeordie

That was my immediate focus too Worgeordie.

With the sh1t about to hit the fan, the only thing they can currently rely upon is the housing bubble, but when that bursts, as it surely must, we are really going to see this place going the way of the Philippines, from boom to bust.

She is suggesting that domestic consumption is going to save Thailand, and yet, we are already well aware that household debt is through the roof. Add to this rampant inflation leading to an alarming rise in the CPI and no-one has any money left to spend on anything but absolute necessities.

I was in the UK a couple of months ago and was shocked to find that there were so many things that were cheaper there than here, and I'm not talking about luxury items. The average earnings for all full-time workers in the UK are now GBP 26,500; how does that compare to earnings here?

This PTP government is going to go down in history as the dark days of Thai politics, and it's going to take a very strong opposition party, and some drastic measures, to recover from this once they have been ousted. I dread to think what the final bill (total losses) is going to be....!!

You seem to have forgotten that it was the Democrat Alliance and a military government that took Thailand down the pan last time. Thailand also took much of Asia with her. All this in spite of the lie that it was the weakness of the Korean Won that caused Thailand's crash. The Won story is true of course it was just Thailand's Property Bubble and it's criminal property sector investors that brought the country down.

It was nothing to do with Korea. Thailand screwed it's own pooch. I loved the story of how Thai military bank had apparently lent money to about 40 golf course projects owned by army generals.

No one thought this might be a slight abuse of position. I suppose they could barely run an army, but a golf course, well that would be easy.

[waza]

The last time? You mean 1997 with the then PM Gen. Chavalit government? The government which even had a "Bangkok traffic problem solver" as Min. of Int. for a moment ?

So the only sector doing well is the property bubble,

Thing must be bad if they are actually saying theres

a downturn,can you trust the tourist figure's from TAT .

regards Worgeordie

That was my immediate focus too Worgeordie.

With the sh1t about to hit the fan, the only thing they can currently rely upon is the housing bubble, but when that bursts, as it surely must, we are really going to see this place going the way of the Philippines, from boom to bust.

She is suggesting that domestic consumption is going to save Thailand, and yet, we are already well aware that household debt is through the roof. Add to this rampant inflation leading to an alarming rise in the CPI and no-one has any money left to spend on anything but absolute necessities.

I was in the UK a couple of months ago and was shocked to find that there were so many things that were cheaper there than here, and I'm not talking about luxury items. The average earnings for all full-time workers in the UK are now GBP 26,500; how does that compare to earnings here?

This PTP government is going to go down in history as the dark days of Thai politics, and it's going to take a very strong opposition party, and some drastic measures, to recover from this once they have been ousted. I dread to think what the final bill (total losses) is going to be....!!

You seem to have forgotten that it was the Democrat Alliance and a military government that took Thailand down the pan last time. Thailand also took much of Asia with her. All this in spite of the lie that it was the weakness of the Korean Won that caused Thailand's crash. The Won story is true of course it was just Thailand's Property Bubble and it's criminal property sector investors that brought the country down.

Yes Rubl but don't blame poor indyuk he only has the red version of Thai history. YES Thailand did bring down all of Asia while under the watch of the Chavalit Yongchaiyudh's government and its Deputy Prime Minister, Thaksin. Just as another Thaksin government is leading Thailand to more financial ruin at the moment.

Edited November 1, 2013 by waza

[hellodolly]

Personal debt is growing at alarming and unsustainable levels and she is promoting a domestic, consumer led recovery? A nutter.

Not exactly a nutter she ias just reporting what she was told to report.

Finance Ministry concedes weakened economy

With lying corrupt individuals in the driving seat is it any surprise the economy is weakening. Pretty soon the people will not be able to buy food.

None of this means any thing to this government there whole reason for wasting air is so that they can white wash Thaksin and Thailand dosen't matter to them.