Thai economy: Private companies start to feel pinch of slowdown

[webfact]

ECONOMY
Private companies start to feel pinch of slowdown
The Nation

BANGKOK: -- Thailand's economic growth prospect is skewed to the downside which now affects the private sector's debt financing ability and the banking sector's asset quality, said the Bank of Thailand.

In a statement issued after their first meeting in this year, the Monetary Policy Committee and the Financial Insitutions Committee however said that the problems have not yet led to a systematic risk, thanks to Thai banks’ high capital level and loan-loss provisions. They also said that the Thai private sector, particularly large-sized companies, are financially strong and should be able to wither the risks for a certain period.

The committees noted that to be closely monitored is risks from slow economic recovery, aside from global economic uncertainties as well as the US rate hike.

The Monetary Policy Committee at the June 10 meeting revised down the 2015 economic growth forecast for the second time in this year, from 3.8 per cent to 3 per cent. However, it raised the 2016 forecast from 3.9 per cent to 4.1 per cent.

"This is because the possibility of weaker-than-expected growth due to the impact of more severe slowdown of China and Asian

economies is higher than the possibility of higherthan-expected growth from faster-than-expected disbursement of the stimulus package II," it said in a meeting minute.

Source: http://www.nationmultimedia.com/business/Private-companies-start-to-feel-pinch-of-slowdown-30262838.html

-- The Nation 2015-06-22

[carstenp]

its a bit fun, when we read news about the slowing economy. They always use "weaker-than-expected" , "higher than-expected", "faster-than-expected" instead of writing. we calculated wrong

[Srikcir]

BOT continues to guess with typical "Junta Return to Happiness" optimism on economic growth. Give it three months or less and it will lower its prediction by 30%-50%.

[trogers]

BOT is as good as the Feds was.

I am seeing a similarity between the housing bust of 2008 and the Feds, and BOT and the mushrooming of new condo project launches since late last year...

[Naam]

its a bit fun, when we read news about the slowing economy. They always use "weaker-than-expected" , "higher than-expected", "faster-than-expected" instead of writing. we calculated wrong

any prognosis is difficult when it pertains to the future wrong estimates do not happen only in Thailand but hundreds of times daily all over the world. your subtle Thai bashing is not justified. it only proves that you are totally detached from economic news.

sorry to be a pain in the àss

[carstenp]

its a bit fun, when we read news about the slowing economy. They always use "weaker-than-expected" , "higher than-expected", "faster-than-expected" instead of writing. we calculated wrong

any prognosis is difficult when it pertains to the future wrong estimates do not happen only in Thailand but hundreds of times daily all over the world. your subtle Thai bashing is not justified. it only proves that you are totally detached from economic news.

sorry to be a pain in the àss

no Thai bashing here, just fact i have been reading in the news

[kalbo123]

Walking in the malls here in Chiang Mai, I get a feeling of a depression, looks like nobody is buying, sales staff is even more bored or plugged in to their smartphones then usual. Even some restaurants that used to have waiting lines are just half full.

[Lee4Life]

its a bit fun, when we read news about the slowing economy. They always use "weaker-than-expected" , "higher than-expected", "faster-than-expected" instead of writing. we calculated wrong

any prognosis is difficult when it pertains to the future wrong estimates do not happen only in Thailand but hundreds of times daily all over the world. your subtle Thai bashing is not justified. it only proves that you are totally detached from economic news.

sorry to be a pain in the àss

While Thai Bashing does happen on here quite often, this certainly wasn't one of those times. The poster said nothing at all about Thailand or Thais, what you posted is actually what lacks justification.

[hugh2121]

Walking in the malls here in Chiang Mai, I get a feeling of a depression, looks like nobody is buying, sales staff is even more bored or plugged in to their smartphones then usual. Even some restaurants that used to have waiting lines are just half full.

Same story in Pattaya. Even in Big C, where it's normal to have a queue at all the checkouts, the staff are just standing waiting for you. Some new shops have been built and recently opened neat Villa supermarket. I've never seen a customer in any of them.

Maybe they should all put their prices up????

[phuketandsee]

I was talking to some real estate guys in Hua Hin last week. They are VERY pessimistic and say business has dropped off a cliff since the coup.

[Naam]

its a bit fun, when we read news about the slowing economy. They always use "weaker-than-expected" , "higher than-expected", "faster-than-expected" instead of writing. we calculated wrong

any prognosis is difficult when it pertains to the future wrong estimates do not happen only in Thailand but hundreds of times daily all over the world. your subtle Thai bashing is not justified. it only proves that you are totally detached from economic news.

sorry to be a pain in the àss

While Thai Bashing does happen on here quite often, this certainly wasn't one of those times. The poster said nothing at all about Thailand or Thais, what you posted is actually what lacks justification.

yeah right, i can see now that the poster meant either Papua New Guinea or the Christmas Islands. that's why he posted his comment in the thread "Thai Economy...".

English is not my native tongue but i know the difference between

"about the slowing economy"

and

"about a the slowing economy".

next Thai bashing denial please

[carstenp]

its a bit fun, when we read news about the slowing economy. They always use "weaker-than-expected" , "higher than-expected", "faster-than-expected" instead of writing. we calculated wrong

any prognosis is difficult when it pertains to the future wrong estimates do not happen only in Thailand but hundreds of times daily all over the world. your subtle Thai bashing is not justified. it only proves that you are totally detached from economic news.

sorry to be a pain in the àss

While Thai Bashing does happen on here quite often, this certainly wasn't one of those times. The poster said nothing at all about Thailand or Thais, what you posted is actually what lacks justification.

yeah right, i can see now that the poster meant either Papua New Guinea or the Christmas Islands. that's why he posted his comment in the thread "Thai Economy...".

English is not my native tongue but i know the difference between

"about the slowing economy"

and

"about a the slowing economy".

next Thai bashing denial please

You want to have Right . Okay for me, but the slowing economy is also in eu, and Denmark where I'm from, Even there they use slower than expected statements.

[Srikcir]

The Nation 2015-01-13 : PM promises a good year for businesses

"Prime Minister Prayut Chan-o-cha yesterday vowed that his government would do its best to ensure a strong economic performance this year, and told the business sector not to worry about the political situation."

Commerce Minister General Chatchai Sarikulya said: "The government is confident that the Thai economy will grow by 4 per cent this year, driven by many stimulus strategies, as well as closer cooperation government and private sector."

The PM instead delivered FAILURE.

[Cake Monster]

" Banking sectors asset quality "

Now that is a really worrying thing to be questioned in an economic downturn.

Does this ring any bells for anybody ?

[morrobay]

Walking in the malls here in Chiang Mai, I get a feeling of a depression, looks like nobody is buying, sales staff is even more bored or plugged in to their smartphones then usual. Even some restaurants that used to have waiting lines are just half full.

Was walking in Mikes shopping mall in Pattaya and not only no buyers I was almost the only one walking around. Many more sales people on a floor than shoppers. And while no one has a crystal ball, if there are some here with economic background/knowledge why dont you contribute to the topic here with predictions rather than criticize others who are trying to analyze the situation ?.

Edited June 24, 2015 by morrobay