Team Thailand Must Revamp Strategy to Escape Growth Trap, Says Kasikornbank CEO
Kasikornbank chief Kattiya Indaravijaya calls for a disciplined 'Team Thailand' approach and 5% GDP growth to escape the middle-income trap
- Kasikornbank's CEO proposes a disciplined "Team Thailand" strategy, where businesses are attackers, banks are midfielders, and the government provides defense to escape the country's middle-income trap.
- The strategy requires specific economic targets, including accelerating annual GDP growth to over 5% (from a 2% average) and more than tripling productivity growth to 3.7%.
- To achieve this, the CEO argues Thailand must first overcome a "mindset trap" of complacency with past successes and traditional business models.
- The plan also emphasiหes the need for inclusive growth to avoid a "K-shaped recovery," ensuring that smaller enterprises and low-income households benefit from the economic revamp.
Kasikornbank chief Kattiya Indaravijaya calls for a disciplined 'Team Thailand' approach and 5% GDP growth to escape the middle-income trap.
Thailand must operate like a disciplined, highly trained football team—with businesses attacking on the front line, banks steering the midfield, and the government securing the defence—if it is to break out of its long-standing middle-income trap, according to Kasikornbank Chief Executive Officer Kattiya Indaravijaya.
Speaking at the Thailand Economic Outlook 2027 conference during a session titled Strategic Opportunities and Challenges in the New Economy, Kattiya warned that rapid global disruptions mean Thailand can no longer afford business as usual.
"The world is no longer the same," Kattiya said. "Remaining as we are or sticking to old habits is no longer viable. It presents a formidable challenge for the country."
Comparing national economic strategy to elite sport, she emphasised that success requires continuous physical conditioning, agility, tactical positioning, and, above all, unyielding discipline.
"Discipline means taking action and improving continuously—even on days when you lack motivation or when immediate results remain invisible," she noted.
Breaking the Mindset Trap
To overcome the middle-income trap, Kattiya argued that Thailand must first escape its "mindset trap"—the complacency that past successes or traditional business models will guarantee future prosperity.
Thailand’s annual per capita income stood at $7,690 in 2025, well short of the $14,375 threshold required to graduate from middle-income status. Inflation and global economic factors are projected to push that target beyond $16,000 per capita by 2037.
Bridging this widening gap requires extraordinary economic momentum, Kattiya stated, outlining a key formula for national revitalisation:
Real GDP Growth: Must accelerate to over 5% annually, up from the decade-long average of just 2%.
Productivity Growth: Needs to more than triple from 1.2% to 3.7% per year, driven by deep technology investment, automation, and workforce upskilling.
Financial Expansion: Capital markets, equity platforms, and credit growth must step up from 3% to 4% per year to fund structural transformation.
Deploying 'Team Thailand'
Achieving these targets demands seamless coordination across all sectors of society, structured much like a tactical sports team:
The Forwards (Real Sector): Private enterprises must act as strikers—relentlessly driving forward to score goals, expand international market access, and pioneer industries of the future using artificial intelligence and advanced technology.
The Midfielders (Financial Sector): Banks and financial institutions must orchestrate play, allocating capital efficiently and passing financial resources to high-potential enterprises.
The Defenders (Government & Infrastructure): Public institutions and regulatory bodies must maintain a solid foundation, modernising digital and physical infrastructure while dismantling bureaucratic red tape.
Kattiya added that Thailand should aim to rank among the world’s top 20 most competitive economies within three years.
Inclusive Growth Beyond the Numbers
However, national progress cannot be measured by top-line economic statistics alone. Kattiya cautioned against a "K-shaped recovery", where wealthy elites and large conglomerates thrive while smaller enterprises and low-income households lag behind.
Instead, national benchmarks must measure income redistribution, environmental sustainability, and supply-chain integration so that small-and-medium enterprises (SMEs) grow alongside major industrial players.
"This challenge does not belong to any single individual; it belongs to everyone," Kattiya concluded. "If we begin by transforming ourselves, fulfilling our respective roles, and uniting behind a clear direction, we will undoubtedly lead Thailand to its goal."
