NESDB eyes only 0.2% export growth
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The Office of National Economic and Social Development Board (NESDB) expects Thailand to post only 0.2 per cent growth in exports in 2015, compared to the previous forecast of 3.5 per cent.
Exports contracted 4.3 per cent in the first quarter.
NESDB Secretary General Arkhom Termpittayapaisith attributed the dismal figures to economic sluggishness in key economies, particularly China which is experiencing slower growth. Meanwhile, demand in Japan remained weak while recovery in the euro zone has been delayed. Meanwhile, the US economic growth was lower than expected.
Meanwhile, the baht had strengthened by 13.7 per cent against Japanese yen in the first quarter of this year, and 17.8 per cent against the euro.
The NESDB forecast that Thailand's imports would contract 0.8 per cent this year, from the previous growth forecast of 1.8 per cent. Imports dropped by 7.2 per cent in the first quarter, chiefly due to lower oil prices, gold and chemicals.
The current account surplus for this year is expected to hit 3.9 per cent of gross domestic product (GDP).
The Thai economy showed economic growth of 3 per cent in the first quarter, thanks to improvement in private consumption and public spending.
