Thai GDP growth forecast for the year slashed

The revision is in line with the number of local and global uncertainties and risks, particularly the outbreak of the novel coronavirus, according to its statement on Wednesday (Feburary 5).
The committee has estimated that if the virus situation drags on for between three to six months, it could cost the Thai tourism sector between Bt108 billion to Bt220 billion.
Other risks factors include the protracted delay in the disbursement of the 2020 fiscal budget, the ongoing drought, and impacts from the PM2.5 particulate dust pollution.
However, it has maintained the forecast for exports this year to between minus 2 per cent to flat growth.
TMB Analytics, an economic analysis division of TMB Bank, has also revised downward its 2020 GDP forecast for Thailand to between 1.7 per cent and 2.1 per cent from 2.7 per cent, due to the impacts from the virus outbreak, the drought, and the delayed budget disbursement.
The Cabinet on Tuesday (February 4) approved the Finance Ministry’s proposed measures to mitigate the impact of the novel coronavirus outbreak and global uncertainties on the tourism sector.
Among the measures approved is the extension of the deadline for filing personal income tax returns to June this year from March. Companies will be allowed to enjoy tax deductions for expenses on local seminar activities taking place during January-December 31, 2020, with the deduction being two times the actual cost.
It also approved the reduction of jet fuel excise tax for domestic flights from Bt4.726 per litre to Bt0.20 per litre until September 30.
The Cabinet also approved plans by state-run banks to offer soft loans and extend debt repayment periods to tourism businesses affected by the big decrease in the number of tourists amid the virus outbreak.