Thai Finance Minister Arkhom Termpittayapaisith (Photo: bangkokpost.com) Bangkok (VNA) - Thailand's economy is ona solid path to recovery and showing resiliency, helped by good revenuecollection and a normalisation of its tourism sector, while inflation shouldcome in below 3% this year, said Thai Finance Minister ArkhomTermpittayapaisith on May 29.
Speaking at a World Bank forum, the minister saidthat the country’s economy expanded faster than expected in the first quarterof this year due to a revival in the vital tourism sector. The recoveryhas been supported by a comprehensive and timely policy mix of fiscal andmonetary policies.
He predicted inflation will come inbelow 3% this year, inside the central bank target range of 1% to 3%,but noted that there is still uncertainty over energy prices and US issuesto tell whether there will be a reduced need for raising interest rates.
According to a Reuters poll, the centralbank is expected to raise its key rate again by a quarter point to 2.0% onMay 31 before holding it steady through 2024.
The finance ministry acknowledged that the economy in April wassupported by stronger tourism, higher farm production and falling inflationwhile Thailand was well-positioned to withstand global volatility.
The minister cited that revenue collection is expected to surpassthe pre-pandemic level in the 2023 fiscal year, and forecast economic growthof 3.6% this year, after a 2.6% expansion last year./.
