Thai economic growth in Q3

doing_business_in_thailandThai economic growth in the third quarter will likely expand at a higher pace than in the second quarter, as a gradual recovery in developed economies, particularly the US, can help to raise exports, says a Bank of Thailand official.

Mathee Supapongse, the central bank’s senior director of macroeconomic and monetary policy, said the central bank also now estimates the country’s second-quarter gross domestic product (GDP) will fail to reach the 4% year-on-year target.

Earlier, the Finance Ministry’s Fiscal Policy Office also forecast second-quarter GDP growth would fall below 4%, while the National Economic and Social Development Board is scheduled to announce its figure on Aug 19.

Domestic consumption and private investment will increase in the third quarter following a rebound in Thai exports, said Mr Mathee.

The central bank is monitoring household debt closely, he said, adding that the rate will not likely increase during the slowdown.

It recently said rising household debt, which stood at 78% of GDP at the end of last year, limits the scope of a policy rate cut amid the sluggish economy.

Economic indicators show the Thai economy continued to grow moderately in June due to ebbing external demand from China, contributing to a slowdown in manufacturing production of export products and private investment, said the central bank.

Declining exports of farm products, fisheries items and manufacturing goods caused merchandise export value to drop by 3.5% year-on-year, although that was better than May’s 5.1% decline.

Reduced production of processed seafood and hard disk drives caused the Manufacturing Production Index to dip 3.5% year-on-year while the Private Investment Index fell 4.1% as a result of the slowdown in machinery and equipment investment.

Private consumption stabilised as non-durable purchases increased, with fuel consumption and food and beverage imports leading the way.

Durable consumption declined due to shrinking car purchases.

The tourism industry continued its rapid expansion, growing by 25% year-on-year, as 2.1 million foreign tourists have arrived, mostly from China, Malaysia, India and Russia.

The repatriation of profits and dividends caused a deficit in the current account, while the capital account also posted a deficit.





Source : Bangkok Post | August 1, 2013


About thomasdinnocenzi

Thomas D'Innocenzi is a highly accomplished, results-focused senior international executive with extensive experience in global sourcing and market development worldwide to meet evolving business needs. Tom has proven ability in implementing and managing profitable global sourcing operations worldwide. Extensive experience in international market development operations to accommodate rapid growth. Skilled in building top-performing teams, benchmarking performance, and restricting organizations to improve efficiency, productivity, and profitability. Experienced transition leader and change agent. As principal of Nova Advisors, LLC I’ve assembled an exemplary team that brings with them the knowledge and experience gained from starting up a Global Sourcing program with multiple Fortune 500 companies as well as the largest supplier network throughout the Asia-Pacific region. We have experience and expertise in more than a thousand medical and pharmaceutical products in manufacturing and sourcing at the best value. The right product, the right price point and the right branding fueled these successes that resulted in double-digit growth for top line sales and bottom line net margins for our customers. What sets us apart: • Our reach includes a large network of suppliers & manufacturers spanning 13 countries in Asia-Pacific region • We understand the manufacturing process and the business of the supplier and the buyer • Our company culture is based on quality assurance and our process is based on local quality control Our commitment is to be your partner offering the best products and services at the lowest cost. Contact me to discuss how we can make the global marketplace work for you. In addition, I am open to discussing opportunities in global sourcing, international marketing & sales, logistics and medical/pharma in Thailand, Vietnam, Malaysia, Philippines & Japan. Aside from my work I enjoy piano, astronomy, physics, and assisting my daughters with their studies. SPECIALTIES: Global Sourcing, Supply Chain Management, Business Development, Marketing, Logistics, Global Networking, Market Development, Healthcare Solutions, Pharmaceuticals, Medical Devices, Technology, Asia, Southeast Asia, US and Canada
This entry was posted in Business, Economy, Global Sourcing and tagged , , , , , , . Bookmark the permalink.

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s