Author Topic: Academic says Thai economy is approaching recession  (Read 763 times)

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Offline thaiga

Academic says Thai economy is approaching recession
« on: February 24, 2014, 04:37:29 PM »
The Thai economy is approaching recession with the growth rate projection for the first half of the year to register 2.5 percent in the best case scenario or minus 0.5 percent in the worst case scenario, said Mr Anusorn Thamjai, dean of the economics faculty of Rangsit University.

He attributed the dismal growth rate to the ongoing political conflict which, he claimed, has already caused 490 billion baht in damages from lost opportunities and investment loss.

However, he warned that loss could spiral to one trillion baht in value in case the conflict has descended into a civil war, widespread bloodshed or a coup.

Despite global economic recovery which has benefited Thai exports, he said that political conflict has affected tourism business, caused delay in the dispensing of government budget and rice repayments to farmers under the rice pledging scheme.

Mr Anusorn suggested that the government lower policy rate from 2.25 percent to 1.5 percent to stimulate the economy.

Regarding the plight confronted by rice farmers over delayed repayments, he said the government must improve its efficiency in unloading its huge rice stockpiles with minimum loss and, at the same time, must convince financial institutions to have faith in the government so that they will be willing to lend to the government so it will be able to repay the farmers.
Anyone who goes to a psychiatrist should have his head examined.

Offline thaiga

Re: CIMB Thai Bank expects recession in first half of 2014
« Reply #1 on: February 28, 2014, 03:18:20 PM »
Thailand is expected to experience the economic recession in within the first half of this year, due to the lack of growth engine, according to Amonthep Chawla, vice president and head of economic and financial-market research at CIMB Thai Bank.

The bank has forecast that the Thai economy will decline 1.6 per cent in the first quarter and 0.3 per cent in the second quarter. The economy will pick up in the second half, if the successful formation of the new government is made in the third quarter.

The bank has revised down its projection of the country’s economic growth this year to 2.4 per cent from from 3.4 per cent forecast earlier in last September.

The Nation
Anyone who goes to a psychiatrist should have his head examined.