Export contraction very likely: Kosit
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Thailand's export sector is likely to contract from the previous year, said renowned economist, Kosit Panpiemras.
Kosit, executive chairman of Bangkok Bank, added that this makes it likely that the economic growth would be only 3 per cent or even lower this year.
The Office of the National Economic and Social Development Board recently revised down export growth target to 0.2 per cent.
"It's difficult for the export sector to drive the economy given the global slowdown and a fall in purchasing power. No matter how we try to boost the capacity, it is useless if the products can't find buyers. It's very likely that the sector would witness contraction," he said.
He noted that public investment would be the only engine to drive the economy. Yet, the economy may not benefit from public investment in mega projects in the near term.
