A view of Bangkok. (Photo: AFP/VNA) Bangkok (VNA) – Thailand's economy is predicted to experience a boost in the second half of this year, driven by a surge in tourism and domestic consumption, according to the Economic Intelligence Service (EIS), a research unit of the Thailand Development Research Institute (TDRI).
Improved domestic consumption will stimulate the Thai economy in the second half, said EIS director Kirida Bhaopichitr during a joint media briefing of TDRI and Krungthai Card Public Co (KTC) held on June 12.
The EIS forecast that Chinese arrivals to Thailand will increase by 3-4 times the level recorded in 2022, reaching 5-6 million this year.
While Thai exports have benefited from China's reopening, the EIS expects total shipments will shrink this year given the risk of a global economic downturn and uncertainty in the formation of a new government, she said, adding that the political instability may delay the fiscal 2024 budget disbursement, thus affecting government spending in the fourth quarter of 2023.
The EIS predicts the economy to grow 3.5% this year, fuelled by the influx of international arrivals and private consumption.
According to forecasts made by the Bank of Thailand, international arrivals are expected to reach 30 million this year and are set to increase to 35.5 million in 2024./.
