Pessimism grows among Thai CEOs

[webfact]

Pessimism grows among Thai CEOs
The Nation

BANGKOK: -- Nearly half of listed companies' leaders believed that the economic condition would deteriorate in the latter half of this year, according to a survey by the Stock Exchange of Thailand.

Forty six per cent of leaders of 108 companies foresaw the deterioration, representing the sharp contrast to the previous survey when 59 per cent of CEOs expected the U-shape recovery.

The Bank of Thailand has cut the 2015 growth forecast from 4 per cent to 2.7 per cent, while the Office of National Economic and Social Development Board lowered the projections from 3.5-4.5 per cent to 2.7-3.2 per cent.

While fiscal policies and public spending are believed to shore up the economy, the CEOs highlighted several challenges to the economy. Domestic purchasing power remained their top concern. While they expected recovery in the global economic condition, the CEOs foresaw the deterioration in household debt and political stability.

Asked about the outlook of their respective industries, 62 per cent of the CEOs did not expect any change or expect it to get worse. In the previous survey, the ratio was only 35 per cent.

Source: http://www.nationmultimedia.com/business/Pessimism-grows-among-Thai-CEOs-30271321.html


-- The Nation 2015-10-21

[Usernames]

Hope this isn't true. Don't need this on top of everything else.

[jmccarty]

Hmmmm! Went from 59% to 54% confidence between two surveys. But when "Asked about the outlook of their respective industries, 62 per cent of the CEOs did not expect any change or expect it to get worse. In the previous survey, the ratio was only 35 per cent."

Who is writing this stuff?

[clockman]

This sounds more like the truth!

[whatawonderfulday]

I think Mickey Mouse could have predicted that with these loons in charge exacerbating the global downturn by mishandling the national economy.

[deckape]

Hey look, it is only a few CEO's. Happiness has still been returned to the people.

[NeverSure]

What would a few CEO's know compared to a former soldier?

[elgordo38]

This sounds more like the truth!

Yes it does. I hope the PM does not read this or he will back up the truck and take the lot to the education center and play "Happy Days Are Here Again" for a straight week till they toe the government line.

[empireboy]

When you have a guy that's been used to "hand-outs" to run his operation and he now has to "earn" the cash to go forward, why would anyone be surprised in a negative outlook?

[Srikcir]

Just last week Industrial confidence index for the month of September increased for the first time in nine months to 82.8 from August’s 82.4 mainly due to increased overseas purchase orders for goods.

Also that week The Center for Economic and Business Forecasting of the University of the Thai Chamber of Commerce predicted that an economic upturn would be noticeable late this year; and Kasikorn Research Center indicated an improvement in public confidence in the economy.

Yet, two-thirds of CEO's do not expect any change or expect the economy to get worse. Obviously, business leaders need to get aboard the Prayut happiness train.

[DrTuner]

These tend to become self fulfilling prophesies.

[Praematura]

At least we finally have a public acknowledgement that political stability(aka military) has an impact on the economy. Hopefully someone correlates the data between the decline in GDP over the span the pm is at the helm of the Thaitanic.

[Thaidream]

There are several reasons for the economic morass and it is mostly not attributable to this current government. The last government tried to corner the rice market due to the incompetence of Prime Minister and her off shore advisor causing a huge loss in the ability to sell rice which is one of the mainstays of the Thai economy. In addition the turn down in the Russian economy and others in Europe have lessened the amount spent on tourism. The numbers don't tell the truth as the big spenders have opted out due to Visa issues and the downturn in the oil industry/. In addition, the government handouts are starting to go away which means consumers will have less to spend. Then add in the over valuation of the Thai Baht during the last government due to currency manipulation and you have a pretty good idea of why the economy is in the doldrums. The negative reaction to the coup and bombings have not helped but the economic decline was already underway when these last two things occurred. Eventually the economy will come back when investors realize there is stability with the Junta. Whether you like them or not you can deal with them more straightforward than politicians.

[Thaidream]

One of the problems we always see with all governments whether in the US, UK or Thailand is that no one in the government seems to want to give the leader a realistic explanation for what is happening especially when it is negative. Being optimistic is fine if it is based upon solid evidence that what you are doing is working. Most leaders I hope want to be told the truth but their minions usually don't because being the bearer of bad news has such negativity.