Thailand’s economy is predicted to grow by 3.9% in 2023, driven by increased demand from China, Europe, and the US, as well as growth in tourism and private consumption. However, growth is expected to slow down in 2024 and 2025 due to weakening external demand. Inflation is forecasted to moderate to 2% in 2023. The return of tourists, especially from China, has improved the outlook for Thailand’s tourism sector. Despite recent growth, risks persist due to weaker global growth and political uncertainty. Thailand also faces challenges such as an aging population, climate pressures, declining export competitiveness, and high household debt. The report stresses the urgent need for effective climate adaptation to address the country’s vulnerability to flooding and drought, as the costs of these natural disasters could be significant.
Source link : World Bank raises Thailand growth forecast to 3.9% by Olivier Languepin
