Thailand ’s gross domestic product (GDP) will increase by 0.2 percent in the next two years, according to the Bank of Thailand (BoT).

MCOT online news quoted BoT Assistant Governor Paiboon Kittisrikangwan as saying that the GDP forecast will be elevated from 4.9 percent to 5.1 percent this year, and from 4.8 percent to 5.0 percent next year, mainly due to impressive economic growth in last year’s fourth quarter and the economic resurrection of trading partners, especially Japan and some other Asian countries.

The government’s 2 trillion THB investment in infrastructure projects will contribute to capital injections into the economy, which is expected to absorb 17 billion THB in circulation this year and 93 billion THB next year, he said.

Paiboon said the Thai economy will rocket much beyond the BoT’s forecast if the capital injections reach 220 billion THB as targeted by the government.

However, Thailand’s exports may increase at 7.5 percent this year, below the 9 percent forecast – a phenomenon which the BoT blames partly on the rapid appreciation of the baht and the sluggish global economy.

The inflation has been stable with the base rate at 1.6 percent and the general rate at 2.7 percent, while pressure on capital has slightly increased due to higher crude oil prices.-VNA