- Says GDP growth outlook of 3.8% in 2023 could be missed
- Tourism will help the economy as exports slow
BANGKOK, Nov 29 (Reuters) – Thailand’s economy may fall short of projected 3.8% growth next year due to a global economic slowdown, but this year’s forecast should still be met, the finance minister said on Tuesday.
Slowing exports will not hurt the ministry’s 3.4% growth outlook for this year as the important tourism sector picks up steam, Treasury Secretary Arkhom Termpittayapaisith told reporters.
Exports, a key driver of Thailand’s growth, fell unexpectedly in October for the first time in 20 months and the Commerce Ministry forecast a further slowdown on weaker global demand.
However, export shipments still rose 9.1% year on year in the first 10 months of 2022, and Arkhom said a weak baht helped.
The Treasury expects exports to grow by 8.1% this year and 2.5% next year.
The ministry sees 10.3 million foreign tourist arrivals in 2022 and 21.5 million in 2023. Before the 2019 pandemic, Thailand received 40 million foreign tourists.
“Tourism is expected to continue growing despite signs of a slowdown in exports,” he said.
Arkhom said Thailand’s fiscal position remains strong enough to withstand future risks.
On Tuesday, the cabinet approved a budget of around 37 billion baht ($1.04 billion) to expand Don Mueang International Airport from the current 30 million to 40 million passengers a year.
($1 = 35.50 baht)
Reporting by Kitiphong Thaichareon and Panarat Thepgumpanat Writing by Orathai Sriring Editing by Ed Davies
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