Moody's maintains Thailand’s credit rating

Patricia Mongkolvanit, Director-General of the Public Debt Management Office of the Thai Ministry of Finance (Photo: https://www.nationthailand.com/)

Hanoi (VNA) -  Global credit rating agency Moody's on August 24 maintained Thailand's credit rating at Baa1 with stable outlook, saying that the country still has sufficient economic activity to balance  challenges caused by the COVID-19 pandemic.

Xinhua news agency quoted Patricia Mongkolvanit, Director-General of the Public Debt Management Office of the Thai Ministry of Finance, as saying that the rating decision was strongly influenced by solid industry activities, especially in the automotive and electronic sector.  

The country's well-known role as a leading hub for agriculture and tourism also contributed to reinforces Moody's assessment.

The rating has further been supported by the country's strong public and external finances, which helped it respond to the economic shock and market volatility brought by the pandemic.

According to Moody’s, Thailand’s economy is likely to expand by 2 percent this year, a more positive projection compared to the 0.7 -  1.2 percent prediction by the National Economic and Social Development Council earlier this month.

Moody's also reiterated in its report that political instability in Thailand could potentially reduce its attractiveness as a destination for foreign direct investment, undermining the outlook and the speed of economic recovery./.

VNA