webfact Posted November 20, 2014 Share Posted November 20, 2014 FPO projects 4 per cent GDP growth next yearBy Digital ContentBANGKOK, Nov 21 -- Thailand's Fiscal Policy Office (FPO) projects that the Thai economy will expand by 4 per cent next year due to rising consumption in the private sector and government spending.FPO Deputy Director-General Ekniti Nitithanprapas said in a seminar on the Thai economic and industrial outlook in the year ahead that the growth rate would result from increasing consumption in the private sector that should likely continue in the first quarter of next year, starting from the very low growth rate basis this year.Additionally, he said, oil prices were declining partly because of Thailand's domestic energy price restructuring.This will strengthen the public's purchasing power, which is also strengthened by the low unemployment rate of only 0.8 per cent.Mr Ekniti warned that household debt caused installment burdens and that lower prices of farm products including natural rubber were negatively affecting the Thai economy.What he thinks is driving the economy is government spending. He said that only 89 per cent of the 2014 budget had been disbursed due to past political problems.The disbursement of the remaining budget in the present fiscal year and the spending of state enterprises would create considerable economic activity, Mr Ekniti said.Energy expert Manoon Siriwan said the energy price restructuring would limit price reduction in only gasoline and gasohol. (MCOT online news)-- TNA 2014-11-21 Link to comment Share on other sites More sharing options...
uel1968 Posted November 20, 2014 Share Posted November 20, 2014 Defo,not much rise due to tourism for sure,Thailand is finished,Vietnam,Cambodia,laos,maybe a little more welcoming!!! Link to comment Share on other sites More sharing options...
thesetat2013 Posted November 20, 2014 Share Posted November 20, 2014 I predict snow in S. Thailand for Christmas. My prediction will happen before the FPOs. 1 Link to comment Share on other sites More sharing options...
RustBucket Posted November 20, 2014 Share Posted November 20, 2014 In your dreams. It has been on a downward spiral all this year and they still claim growth despite all the negative indicators. Next year will be no different. Thailand is going into serious recession. Link to comment Share on other sites More sharing options...
shirtless Posted November 21, 2014 Share Posted November 21, 2014 By March next year when the optimism is proved to be misplaced we will see these numbers downgraded . Link to comment Share on other sites More sharing options...
CMBob Posted November 21, 2014 Share Posted November 21, 2014 I predict snow in S. Thailand for Christmas. My prediction will happen before the FPOs. Although highly unlikely, your prediction is at least possible! The FPO must have consulted a witch doctor. 1 Link to comment Share on other sites More sharing options...
Anthony5 Posted November 21, 2014 Share Posted November 21, 2014 Don't forget that the Tour de France, together with the Formula One race, will create a lot of revenue. 1 Link to comment Share on other sites More sharing options...
Suffinator Posted November 21, 2014 Share Posted November 21, 2014 Is this before or after they change the Foreign Business Act and continue to kill off tourism so that foreigners finally get the message they are NOT wanted in Thailand? Link to comment Share on other sites More sharing options...
rickirs Posted November 21, 2014 Share Posted November 21, 2014 "What he thinks is driving the economy is government spending. He said that only 89 per cent of the 2014 budget had been disbursed due to past political problems.The disbursement of the remaining budget in the present fiscal year and the spending of state enterprises would create considerable economic activity, Mr Ekniti said." On the other hand you have opposing comments from Somkid Jatusripitak, an adviser to the NCPO, who is tasked to "help" Deputy Prime Minister MR Pridiyathorn Devakula, who is in charge of economic affairs, on "specific assigned issues." Somkid has stated that to shift the economy out of idle, the gross domestic product should grow on its fundamentals, not from an injection of capital (aka stimulus). Somkid does not believe in quick stimuli to revive the economy that Gen. Prayuth has been attempting to do since the coup in May 2014: "GDP growth should be based on its capability to develop products in terms of innovation and strength, which could help the country compete with others. A capital injection could only boost the economy temporarily. Academically Somkid is correct but from a practical viewpoint the Junta cannot afford the years necessary for more measured stimuli take grow the economy for fear it will lose its power over economic decisions. I think Ekniti realizes the importance for the Junta to get a quick economic recovery before 2016 to cover the economic cost to the nation for the anti-government protests and coup as a way to legitimize continued military governance of Thailand beyond 2015. Prayuth has said he only wants to be in power for one year. He may get his wish. Link to comment Share on other sites More sharing options...
Alwyn Posted November 21, 2014 Share Posted November 21, 2014 4% GDP growth today... Within the past week we've heard tourism down by a rather large amount, exports tanking (particularly cars although Ebola is to blame for that apparently), imports increasing, debt increasing where is the 4% growth coming from as all figure seem to be down. Oil prices declining partly because of Thailand's domestic energy pricing... Nothing to do with the fact that oil prices have dropped 25% since June? Link to comment Share on other sites More sharing options...
IamNoone88 Posted November 21, 2014 Share Posted November 21, 2014 Perhaps a typo. 0.4 percent would be closer to the actual reality. Prime pumping the economy takes time, personal debt remains high and fdi and tourism have missed target. Importantly confidence remains low. Its pretty already over for 2015. Link to comment Share on other sites More sharing options...
Recommended Posts
Create an account or sign in to comment
You need to be a member in order to leave a comment
Create an account
Sign up for a new account in our community. It's easy!
Register a new accountSign in
Already have an account? Sign in here.
Sign In Now