Current-account deficit hits Bt119 bn in H1 as global demand sags
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THAILAND had a cumulative current-account deficit of US$3.8 billion (Bt119 billion) in the first half of the year, due mainly to weaker global demand and capital outflows, according to Bank of Thailand data.
The country’s trade deficit for the period came in at $768 million.
In its monthly economic report, the central bank revealed that the economy had continued to moderate in June, when weaker export demand, especially from China, pressured the export sector and private investment.
Still, the tourism industry continued to expand robustly while private consumption stabilised, the bank said.
During June, the Kingdom welcomed 2.1 million foreign tourists, some 25 per cent more than in the same period last year, thanks to more visitors from China, Malaysia, India and Russia.
The month’s exports were pressured by weak global demand, coupled with supply constraints due to shrimp disease.
The maintenance shutdown of petroleum refineries also weighed on exports temporarily, resulting in a 3.5-per-cent drop in the overall monthly export value to $18.8 billion.
An export slowdown was seen for many items, from agricultural products and fishery to manufacturing products. Hard-disk drives, petroleum products, electrical appliances and processed agricultural products were particularly affected.
Import value in June, meanwhile, expanded by just 0.9 per cent to $18.23 billion. Excluding fuel and gold, the value stood at $12.4 billion, a year-on-year drop of 5.1 per cent.
This led to a 3.5-per-cent fall in the manufacturing production index, and a 4.1-per-cent decline in the private investment index, said the central bank.
June capacity utilisation was at 64.1 per cent, down from 65.8 per cent in May. Over the first four months of the year, the utilisation rate stood at 67.1 per cent, 63 per cent, 71.1 per cent and 60.2 per cent, respectively.
The private consumption index showed signs of stabilisation during the month, rising by 0.8 per cent as non-durable purchases increased with fuel consumption and imports of consumer goods, especially food and beverages.
Durables consumption declined mainly as a result of auto purchases, as fewer vehicles remained to be delivered under the first-car scheme – and new car orders also dropped.
