Investors confident in Thailand’s economic growth, financial stability: Arkhom
Most investors are still confident in Thailand’s economic growth, especially financial stability, Finance Minister Arkhom Termpittayapaisith said on Wednesday.
He made the remark during the discourse “Thailand Economic Reopening and Enhancing Competitive Advantage” at the Thailand Focus 2022 event at Grand Hyatt Erawan Bangkok Hotel.
The event, organised by the Stock Exchange of Thailand, will continue until Friday.
Arkhom said Thailand’s gross domestic product (GDP) would expand by up to 3.5 per cent depending on exports and tourism.
“We believe tourism and exports will help support our GDP growth in the second half of the year,” he said, adding that the Thai National Shippers’ Council had promised to do its best to boost exports.
The public debt-to-GDP ratio is 60 per cent. This debt will drop further if the government can generate more revenue, he noted.
Arkhom went on to say that the economy is expected to grow because of four factors – tourism, exports, domestic expense and investment.
He pointed out that the number of foreign visitors had increased over the past eight years, and expected 8 million to 10 million visitors this year.
However, the minister noted, it depends on each country’s policies. For example, he said, Chinese tourists are facing difficulties in travelling to Thailand due to strict government policy.
Regarding exports, Arkhom said they have gained positive sentiment from a weakening baht – compared to the previous year – and demand for consumer goods, especially food and agricultural products.
As for domestic expenses, he believed these would increase once the economy recovered. He also expected inflation to hit a peak in the third quarter before falling in the fourth.
Meanwhile, the government has launched the fifth phase of the “Khon La Khrueng” (Let’s Go Halves) shopping subsidy scheme in a bid to boost domestic expenses as the economy starts to recover, Arkhom said.
“The scheme will benefit the grass-roots economy, such as food outlets and fresh markets,” he said, adding that there are also measures to mitigate the impact of rising energy prices.
Concerning investment, the minister said the budget bill for fiscal year 2023 would come into effect on October 1 this year.
He also said the Comptroller-General’s Department has done away with measures to assist entrepreneurs and contractors on procurement, so they must speed up their work to be ready for new projects next year.
“The budget for fiscal year 2023 would be allocated in the fourth quarter this year,” he said, adding that the Interior Ministry will speed up allocation of money to other provinces.
