Thai NESDB again cuts GDP growth this year to 2.7%-3.2%

[webfact]

NESDB again cuts GDP growth this year to 2.7%-3.2%

BANGKOK, 17 August 2015 (NNT) - The National Economic and Social Development Board (NESDB) again has cut its GDP growth forecast for this year to 2.7% to 3.2% from an earlier prediction of 3% to 4%, following the ongoing fall in export to 4.9% in negative zone in the first half of 2015, Arkhom Termpittayapaisith, secretary general of the NESDB revealed on Monday.

The slash in the annual GDP growth estimate is in line with Thailand’s lower export due to economic slowdown threatening its trade partners across the world. Falling crude oil price also causes lower prices of general goods. The same fortune is seen in prices of agricultural products following the global economic recession.

These negative factors triggered the country’s GDP growth of 2.8% in Q2, lower from 3% in Q1. As a result, Thailand’s GDP grew by 2.9% in the first half of this year.

Export value in Q2 slumped to -5.5%, worse than that of Q1 standing at -4.3%. Half –year exports grew -4.9% in value, prompting the NESDB to revise down the the projected export value for this year to -3.5%, instead of the 0.2% positive growth.

The NESDB secretary general assumed that GDP growth was slowly recovering despite the disappointed figures of Q2. He suggested the government expedite its planned disbursement of state investment budget if it wants to see a 3% growth of GDP for the rest of this year. The government spending would force a circulation of capital flow and stimulate the confidence of the private sector.


-- NNT 2015-08-17

[clockman]

As there is no transparency in any sector. Even this is suspect!

[jonclark]

Just so we have a fully picture and can place it in some sort of context

Thailand relies on exports for about 65% of GDP. The figures for May and June 2015 reveal that exports dropped in value between those two months by approx 267 million USD. It is a safe bet to assume that that trend is sadly continuing. And don't go blaming it on the Yuan devaluation, a slowing global economy etc. My bet is that Thailand's competitor - Vietnam, Cambodia etc have fast caught up and are more business savvy and more orders are being placed in companies in those countries.

Thailand needs to wake up fast and realize that just because it has traditionally be known as Teflon Thailand, traditions changes and if Thailand doesn't adapt, the world will move on. And amount of nationalistic gnashing of teeth will change that.

[elgordo38]

Going going gone is what I read in this statement.

[Srikcir]

Rather clever - "Half –year exports grew -4.9% in value"

It is the same as saying "Half-year exports shrank 4.9% in value." But that obviously has a more negative connotation that is not very supportive of the Junta economic management of the nation.