Kasikorn Research Center advises Thailand to accelerate resolution of structural problems

Kasikorn Research Center advises Thailand to accelerate resolution of structural problems

In this regard, the Thai economic situation at present and in the past period is like a sick person. But he did not die yet. There were periods when he was seriously ill and then got better. From the fact that the government has not solved various problems in a concrete way. Especially the structural problems and economic problems in the past, it can be seen that the government will only solve the problems when the crisis arises.

“In the past, we waited for the crisis first. To come and solve the problem – the continuing lack of problem solving and this leads to the economy growing less than 5% to 3% over the next ten years if there is no solution to the structural problem. “The Thai economy may only have a chance to grow by 2% or even less than 2%,” Mr Boren said.

Ms. Natafon Triratsirikul, Deputy Director of Administration, Kasikorn Research Center Co., Ltd. revealed that the research centre
Kasikorn Bank has cut its forecast for Thai economic growth in 2024 to 2.6%, slowing from the 2.8% level previously expected. This comes after government investment and spending were lower than expected. In addition, Thai exports tend to recover more slowly than expected.

As for the direction of the Thai economy in the second half of 2024, it is likely to accelerate. According to accelerated exchange
The budget and exports expanded more positively. Fundamentals are lower in 2023 and there remains the issue of risks from trade protectionist measures that are likely to intensify. The release of goods from China's excess production capacity to the global market, including Thailand, while structural problems and reduced competitiveness As a result, Thai exports will recover more slowly than expected.

Kasikorn Research Center forecasts that in 2024, Thai exports will expand by 1.5%, lower than the previous estimate of 2.0% due to structural problems and low competitiveness. As a result, Thai exports are likely to recover slowly and will not benefit as much as expected from the rebound in global trade this year.

Page 13 Thansitakij Newspaper, Year 44, Issue 4003, Date 23 – 26 June 2024

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