Thai growth quickens in Q2 on higher consumption, tourism

BANGKOK: Thailand’s economic growth strengthened in the second quarter due to higher consumption, tourism and exports, official data showed on Monday ( Aug 19 ), and the government narrowed its full-year growth forecast range.

Southeast Asia’s second-largest economy grew 2.3 per cent in the April-June quarter from a year earlier, data from the National Economic and Social Development Council ( NESDC ) showed, beating analysts ‘ expectations for a 2.1 per cent expansion in a Reuters poll.

In the January-March quarter of 2024, gross domestic product ( GDP ) rose an upwardly revised 1.6 per cent on the year.

GDP increased by 0.8 % on a seasonally adjusted quarterly basis in the second quarter, which is lower than the poll’s forecast for 0.9 % growth and an upwardly revised 1.2 % expansion in the previous three months.

Public and private investments slowed as private use increased in the second quarter, according to a statement from the state planning firm NESDC.

The NESDC now anticipates a GDP growth rate of between 2.3 % and 2.8 % this year, which is less than its previous forecast range of 2.0 % to 3.0 %. Last year’s progress was 1.9 per share.

Thailand’s market has lagged behind its local peers due to high household debt, rising borrowing costs, and weak exports as a result of a slowdown in China’s top trading partner.

The preparing organization kept its forecast for export growth of 2 percent for this year.