PM says economy is gradually picking up despite export slump

Jonathan Fairfield · November 7, 2015

PM says economy is gradually picking up despite export slump

BANGKOK:-- Prime Minister Gen Prayut Chan-o-cha said although Thai exports have slowed down, but the country's economy is recovering slowly.

His assurance of economy recovery was stated at his weekly “Returning Happiness to the People” program broadcast last night.

He said although the export sector will fall short of expectation, but the Thai economy is starting to pick up gradually.

He attributed the recovery to government spending on various projects which has generated more income and created jobs in the community.

He said the government will strengthen economic cooperation with other nations in the region and around the world, and also will cut short unnecessary processes and regulations in order to allow infrastructure development projects to be implemented as soon as possible.

But projects which take years to complete will be passed on to the next government.

The prime minister also urged farmers to emphasize more on innovation, saying it could help to add value to their crops.

On politics, Gen Prayut voiced support to the 6-4-6-4 roadmap formula which gives the Constitution Drafting Commission (CDC) 6 months to work on a new charter draft and 4 months to hold a public referendum, and 6 months for the national legislative body to draft and pass organic laws.

The last 4 months will be for an election campaign.

Gen Prayut made clear he did not care much on who wins or loses in the election, but what he really cares about is how voters can be sure that their representatives will uphold the nation and people’s interests and dignity while running the country.

On the “Bike for Dad” event, he said he was very delighted to see a large number of people expressing their wishes to join the upcoming activity which will take place on December 11.

He said now a total of 99,999 cyclists have registered to join the event in Bangkok.

But overall, he said more than 350,000 people in Thailand and around the world have already registered for the mass cycling activity.

Source: http://englishnews.thaipbs.or.th/pm-says-economy-is-gradually-picking-up-despite-export-slump

-- Thai PBS 2015-11-07

Reigntax · November 7, 2015

And as soon as the military and police can resume with the burmese trafficking, exports will improve also.

Reigntax · November 7, 2015

99,999. Now that wasnt just a figure plucked out of thin air, was it.

mommysboy · November 7, 2015

I read that the extra government expenditure could only add 1% at most to GDP. The drop in exports will easily wipe that out and more. Poppycock.

phoenixdoglover · November 7, 2015

Returning Happytalk to the Sheeple.

Edited November 7, 2015 by phoenixdoglover

Thailand · November 7, 2015

You know what you want to say but know that you can't!

chiang mai · November 7, 2015

At least the drop in exports is matched by a drop in imports hence the current account is in surplus, again. Problem is that with so little debt on the books plus an in surplus current account, THB will remain (too) strong. I think that most of the currency movement is already in place, in anticipation of a rate rise in the US, (whenever that happens), funds flight is, I would guess, no longer an issue.

chainarong · November 7, 2015

One thing you can say about Retired General Caretaker P.M. Prayut - O - cha he is a man of many talents , there is not a day goes by that he is out there pushing a product or policy just like a true veteran of years in government or a snake oil salesman from china , the economy is picking up despite of an export slump , that is an oxymoron if ever there was one, since Thailand is an exporting country , talking up a situation isn't going to fix it ,you only have to look at the water crisis to work that out. 4/6.........

chainarong · November 7, 2015

One thing you can say about Retired General Caretaker P.M. Prayut - O - cha he is a man of many talents , there is not a day goes by that he is out there pushing a product or policy just like a true veteran of years in government or a snake oil salesman from china , the economy is picking up despite of an export slump , that is an oxymoron if ever there was one, since Thailand is an exporting country , talking up a situation isn't going to fix it ,you only have to look at the water crisis to work that out. 4/6.........

dhream · November 7, 2015

Since he doesn't care who wins or loses, how about we form a Farang Rak Thai party?

chiang mai · November 7, 2015

One thing you can say about Retired General Caretaker P.M. Prayut - O - cha he is a man of many talents , there is not a day goes by that he is out there pushing a product or policy just like a true veteran of years in government or a snake oil salesman from china , the economy is picking up despite of an export slump , that is an oxymoron if ever there was one, since Thailand is an exporting country , talking up a situation isn't going to fix it ,you only have to look at the water crisis to work that out. 4/6.........

I don't agree, spin is all important, as we clearly see from the continuous stream of bull crap we're fed by our home governments. The alternative of course is to be a doom and gloomer and tell everyone how bad it all is and how he doesn't know what the answer is, that way folks will simply give up!

shirtless · November 7, 2015

If the PM says its picking up ypu can be certain it is on the downward spiral thanks for the morale booster Prayut. its a comfort to us all , that we know no matter what happens the government will pay you,

Lupatria · November 7, 2015

What could possibly go wrong with an economy expert like him?

wow64 · November 7, 2015

So has the economy picked up or is it "going to pick up gradually"?

Sent from my c64

MZurf · November 7, 2015

PM says economy is gradually picking up despite export slump

Since this is coming from a guy that said there will be no coup and he does not want to become "PM" forgive me if I'm a wee bit skeptical.

elgordo38 · November 7, 2015

One thing you can say about Retired General Caretaker P.M. Prayut - O - cha he is a man of many talents , there is not a day goes by that he is out there pushing a product or policy just like a true veteran of years in government or a snake oil salesman from china , the economy is picking up despite of an export slump , that is an oxymoron if ever there was one, since Thailand is an exporting country , talking up a situation isn't going to fix it ,you only have to look at the water crisis to work that out. 4/6.........

I don't agree, spin is all important, as we clearly see from the continuous stream of bull crap we're fed by our home governments. The alternative of course is to be a doom and gloomer and tell everyone how bad it all is and how he doesn't know what the answer is, that way folks will simply give up!

On the other hand you feed them to much sunshine and roses people will rush to the bank and borrow money they cannot afford maybe the truth is the best. People will again plant their feet on solid ground rather keep jamming their credit cards into that little slot saying "pay here" Its painless till its time to pay.

mommysboy · November 7, 2015

At least the drop in exports is matched by a drop in imports hence the current account is in surplus, again. Problem is that with so little debt on the books plus an in surplus current account, THB will remain (too) strong. I think that most of the currency movement is already in place, in anticipation of a rate rise in the US, (whenever that happens), funds flight is, I would guess, no longer an issue.

Spot on.

I remember this being an issue 6 or 7 years ago. The Thai economy is hamstrung by the strong baht. It should be said there is low aggregate demand throughout the world, but Thailand can not possibly compete at the moment against peer economies.

Utley · November 7, 2015

Thailand sees little prospect of economic pickup - article in today's Financial Times by Daniel Gallucci

The article concluded with "The previous administration deserved much of the economic criticism it received — but so far it appears the Thai economy, as a local saying goes, has escaped a tiger only to meet a crocodile."

Siammodels · November 7, 2015

Picking up I dealt that very much

I think it is runnibg on empty

chiang mai · November 7, 2015

At least the drop in exports is matched by a drop in imports hence the current account is in surplus, again. Problem is that with so little debt on the books plus an in surplus current account, THB will remain (too) strong. I think that most of the currency movement is already in place, in anticipation of a rate rise in the US, (whenever that happens), funds flight is, I would guess, no longer an issue.

Spot on.

I remember this being an issue 6 or 7 years ago. The Thai economy is hamstrung by the strong baht. It should be said there is low aggregate demand throughout the world, but Thailand can not possibly compete at the moment against peer economies.

So how does this play out? The fundamentals of the Thai economy are strong, stronger than those of many Western economies so the currency remains strong hence exports don't improve.

Waiting for global momentum to pick up and carry the Thai economy with it is one approach (and I actually think this may be the current strategy); proactively weakening THB is another strategy but that risks misalignment with the Asean basket hence this approach has its limits; wean the economy away from being so reliant on exports is a third but replace it with what; infrastructure spending, well, that's already on the table; develop new export markets, we hope they're doing this anyway; increase tourism, numbers are already at a record high; is their something else perhaps?

tominbkk · November 7, 2015

Thailand's new theme song:

Strangebrew · November 8, 2015

Guess Pirated software and DVD's demand up.

Rimmer · November 8, 2015

Disrespectful troll post removed

Squeegee · November 8, 2015

waldroj · November 8, 2015

Better to say this than to quote the next number on the counter!

Seriously though, the Bike for Dad event should give the country a well-needed lift.

It could also help to kick-start reconciliation! If only the junta would put down the big stick, and try to make a serious effort of fostering some accord with leaders from all sides of politics, and get their participation in this event.

As for the economic recovery, that may be an aberration of balance of trade figures reported by the Ministry of Commerce.

The reality is that Thailand is an export oriented country, and is highly exposed to external factors. By Prayut’s own admission, the export sector will fall short of expectation, but this is only half the story.

A better picture of the economy is revealed when we note that while exports are stagnant, imports have plunged (especially through 2015). Whilst this may create the appearance of better that expected balance of trade figures, the simple reality is that people no longer have the discretionary money to spend on imported items.

On top of this, the local stock market has also been depressed throughout this year, now at levels just above where it was at the start of the anti-government protests back in December 2013 (which, incidentally was when exports peaked). See my plot of data from the Bank of Thailand.

chiang mai · November 8, 2015

And?

Artisi · November 9, 2015

Since he doesn't care who wins or loses, how about we form a Farang Rak Thai party?

So long as you get the necessary visa extension it shouldn't be a problem- but don't forget your 90 reports.

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