Thai economy slowed down with lower exports and manufacturing production. Private investment stable, tourism revenue up. Public spending increased, inflation rose, current account surplus. Labor market unchanged.
Summary
- The Thai economy slowed down from the previous month due to lower merchandise exports and manufacturing production, leading to a contraction in related service sectors such as freight transportation. Nevertheless, private investment remained stable, while tourism revenue increased due to a higher proportion of long-haul tourists. Private consumption also increased slightly from the previous month across most major categories, except non-durable goods, which slowed down after a good expansion previously as a result of the government’s cash transfer program. Public spending continued to expand in both current and capital expenditures.
- On the economic stability front, headline inflation increased from the previous month mainly due to energy inflation. This was partly a result of the low base effect from last year’s government subsidies and rising benzene prices. Meanwhile, core inflation remained stable. The current account registered a higher surplus due to improvements in the services, income, and transfers balance, while the trade balance surplus remained similar to the previous month. The labor market condition remained unchanged in both the manufacturing and service sectors.
Source : https://www.bot.or.th/en/news-and-media/news/news-20250131.html
