Most senior execs optimistic about Thai economy, survey finds

Most senior executives believe that digital transformation and sustainability will be game changers for the Thai economy in 2025, a survey published by Thansettakij on Friday shows. 

The study revealed that 67.3% of the 50 executives surveyed expect Thailand’s GDP to expand by 2-3% next year, while 20.4% predict a growth rate of 3-4%. In terms of investment, 28.8% plan to boost their investment next year, while 36.7% will maintain their current levels. 

Executives identified government policies as the most significant factor affecting their businesses, followed by political situations and interest rates. They also believe the ASEAN region offers the best prospects for business expansion (49%), followed by India (24.5%) and China (18.4%). 

Despite concerns over potential trade barriers, executives believe the relocation of Chinese production bases to Thailand will help attract foreign investments amid global supply chain adjustments. 

AI as a game changer

Artificial intelligence (AI) and machine learning are seen as key drivers for Thailand’s future growth, with 71.4% of the executives focusing on AI adoption to enhance operational efficiency and competitiveness, particularly in data analysis and administrative tasks. 

Additionally, 52.2% are prioritising network upgrades, while 50% are also enhancing their security systems to prepare for the digital era. Hybrid work is also expected to become the norm next year, with 61.2% expecting its widespread adoption. 

The executives, however, expressed concerns about changing consumer behaviour, especially the growing emphasis on price over quality due to the rise of e-commerce and social commerce platforms. Despite this, they noted that consumers are increasingly valuing convenience and sustainability. 

On sustainability, 59.2% of the executives plan to make investments based on the environmental, social and governance (ESG) principles. Key areas of focus include green technology (67.3%), carbon dioxide reduction (40.8%), and governance (26.5%). Plus, 49% are planning initiatives to address climate change. 

Meanwhile, cybersecurity remains a key concern, with many executives investing in measures to protect against threats like data breaches, ransomware and supply chain attacks. 

Intense competition

More than half of the executives (55.1%) expect industrial competition to intensify next year, driven by digital transformation. They foresee super apps like Line, TikTok, Shopee and Grab playing a major role in business operations. To counter digital disruption, 44.9% are planning to implement new business models, with 40.8% planning to adjust their business structures or launch new ventures. 

Despite the challenges, most of the executives remain optimistic about their business performance, with 53% predicting a 0.1-10% growth and 22% expecting growth of above 10%. However, they called for government support in infrastructure development to boost competitiveness (28.6%), tax measures to attract investment (26.8%) and human resource development (22.4%).

Trends to watch in 2025

Thansettakij also outlined several upcoming trends: 

• Rapid digital transformation: Increased adoption of AI and machine learning, alongside enhanced cybersecurity measures, to cope with intense competition, especially in super apps. 
• Changes in consumer behaviour: Continued growth in online shopping, with a focus on sustainability and mobile payments. 
• Shift in working methods: Hybrid and result-based work models will become standard, creating demand for digital-skilled workers. 
• Global supply chain changes: More Chinese entrepreneurs are relocating their production to Thailand, with a growing emphasis on green supply chains and regional marketing.
• Importance of ESG and sustainability: ESG principles will drive investments in green technology and improved governance.