KRC raises economic growth prediction

 July 31  – The Thai economy is likely to grow more than 7 per cent in the second quarter of this year, higher than the 5.5-6 per cent forecast earlier, according to the Kasikorn Reseach Center (KRC). The leading think tank said in its analysis report that the recent political violence had limited impacts on Thailand's economy in May and June.

Private confidence recovered rapidly after the political protest demonstration at Ratchaprasong intersection ended. Private consumption and investment as well as the government spending recovered strongly in June, the last month of the second quarter of the year.

Given these positive factors as well as substantial export growth, Kasikorn believes the Thai economy will show more than expected growth in the 2rd quarter this year.

It forecast the Thai economy would expand at least 7 per cent in the second quarter of this year, higher than the range of 5.5-6 per cent projected earlier.

However, KRC believes the economy will grow more slowly in the second half of this year, in the same direction as other major world economies.

What should be closely monitored now is the trend of Thailand’s export sector in the second half of the year, said KRC.

(By:MCOT online news)