Economy exceeds expectations, technology promises strong future

Economic growth in Thailand is gaining momentum, with global growth and a recovery from severe drought buoying an expansion of GDP by 3.3 per cent in the first quarter and 3.7 per cent in the second quarter of 2017, exceeding market expectations.
Economic growth for the full year 2017 is now projected around 3.5 per cent, says a new World Bank report.
According to the August 2017 edition of the Thailand Economic Monitor, 7.7 per cent growth in the agricultural sector boosted incomes, and complemented the continued fiscal stimulus and an upturn in merchandise exports, which recorded its highest growth rate – 6.6 per cent – of the last four years.
Although uncertainty in the global economy, such as increased trade protectionism, poses some risks to the growth momentum, Thailand’s economy is expected to expand further in 2018, by around 3.6 per cent. The Thailand government says that even faster growth may be possible in the long-term, if policy reforms continue in education, services liberalisation, and public infrastructure management, and the National Masterplan for the Digital Economy is fully carried out.
“The government of Thailand recognizes the significance of the digital economy and has launched various projects including high-speed Internet access for all villages and setting up a government big-data analytics centre,” said Pichet Durongkaveroj, minister of digital economy and society.
“These projects aim to enhance connectivity, create new opportunities for people in communities, and harness data for better decision-making. These are examples of the Thai government’s vision to lay a solid foundation toward Thailand 4.0 through digital transformation encompassing security, infrastructure, government, manpower and, last but not least, applications (SIGMA).”
The rise of the digital economy is continuing to transform Thailand, said the ministry, citing the low cost and wide use of mobile services. At the same time, technical digital skills can improve, as can the regulatory environment.
In 2016, Thailand ranked 82 out of 175 countries in the telecommunications development sector (ITU-D) and information communication technology (ICT), development index, which measures access to, usage of, and skills related to ICT. The country ranked 77 out of 193 countries in the United Nations E-Government Survey, which follows progress in the use of e-government to improve the delivery of public services.