Thailand: Finance Ministry says economy may miss 2023 forecast

A street in Bangkok capital of Thailand (Photo: AFP/VNA)

Bangkok (NNT/VNA) - The Thai Ministry of Finance has indicated that the Thai economy may not reach a forecast growth of 3.8% next year due to a global economic slowdown, but said this year’s outlook should still be achieved.

According to Finance Minister Arkhom Termpittayapaisith, slowing exports will not affect the ministry’s growth outlook of 3.4% for this year as the crucial tourism sector picks up pace.

Exports, a key driver of Thai growth, unexpectedly dropped in October for the first time in 20 months and the Ministry of Commerce predicted a further slowdown amid softer global demand.

Export shipments, however, were still up 9.1% in the first 10 months of 2022 from a year earlier, assisted by a weak baht.

The finance ministry expects exports to rise 8.1% this year and increase 2.5% next year. It also sees 10.3 million foreign tourist arrivals in 2022 and 21.5 million in 2023.

Arkhom noted that Thailand’s fiscal position remains strong enough to withstand future risks.

On November 29, the Thai Cabinet approved a budget of about 37 billion THB (1.04 billion USD) to expand Don Mueang International Airport to accommodate 40 million passengers per year from 30 million currently./.

VNA/