Thailand lowers 2023 economic growth forecast (Photo: VNA) Bangkok (VNA) – Thailand's Finance Ministry on October 27 cut its 2023 economic growth forecast to 2.7% from 3.5%, due to weaker exports and lower government consumption.
However, the ministry has forecast higher growth, of 3.2% in 2024, adding that the projection has yet to evaluate the effect of the government's planned 'digital wallet' handout scheme. Thailand’s economic growth was 2.6% in 2022.
As exports are weak, Southeast Asian's second-largest economy continues to be supported by tourism and domestic consumption, the ministry said.
Exports, a key driver of the Thai economy, are forecast to contract 1.8% this year, compared with a previous forecast for a 0.8% drop, but should rise 4.4% next year, the ministry said.
The ministry forecast foreign tourist arrivals at 27.7 million this year against an earlier estimate of 29.5 million. It predicted 34.5 million foreign visitors in 2024.
Pre-pandemic 2019 saw a record of nearly 40 million foreign tourists, who spent about 1.91 trillion THB (53 billion USD), or more than 11% of the country's gross domestic product (GDP)./.
