Thailand’s drop in global competitiveness rankings temporary, says govt
Despite Thailand’s drop in competitiveness rankings, the many state subsidy schemes have helped businesses keep their heads above water, the government spokesman said.
Spokesman Anucha Buraphachaisri said on Sunday that though Thailand has dropped five points to 33 in this year’s International Institute for Management Development competitiveness list, the country is still improving in many respects.
The institute studied the competitiveness levels of 63 countries, with Denmark topping the list followed by Switzerland and Singapore.
Thailand’s ranking in economic performance has dropped from 21 to 34 as the Covid-19 pandemic had a short-term impact on the import-export sector, Anucha explained.
“However, Thailand’s exports will start rising once the situation returns to normal,” he said.
He added that Thailand’s consumer spending was still on a positive trajectory despite rising fuel prices, thanks to the government’s co-spending schemes like “Khon La Khrueng”.
The government’s ranking for efficiency has also dropped from 20 to 31 due to high public debts. Anucha said this was because the authorities had to take huge loans to boost the country’s liquidity, revive the economy, maintain employment and boost investment.
Anucha said that though Thailand’s business sector has dropped from 21 to 30, the country’s productivity is rising thanks to the government’s many projects, like Sustainable Manufacturing Centre, launched to enhance production.
Moves are also being made to boost entrepreneurs’ potential through tools like the Digital Economy Promotion Agency’s digital start-up fund.
The spokesman added that though Thailand’s ranking for overall infrastructure has dropped by one point to 44, basic infrastructure is improving because of new railway and road projects.
“The government is developing the digital infrastructure to meet the business sector’s needs and cover the changes in consumer behaviour,” he said.
“The government is also paying close attention to investment in the telecommunications industry.”
