BANGKOK- Thailand’s economy is expected to grow 2.8 percent to 3.3 percent this year, but remains at risk from weak exports and domestic demand and is in need of stimulus measures and lower interest rates, a leading joint business group said on Wednesday.
The growth projection by the Joint Standing Committee on Commerce, Industry and Banking, which includes representatives from those sectors, was in line with its earlier forecast. The economy grew 1.9 percent last year.
Exports, key driver of the Thai economy, are projected to rise 2.0 percent to 3.0 percent this year, the group said, also in line with forecast.
The business group also maintained its inflation outlook at 0.7 percent to 1.2 percent seen in March.
Southeast Asia’s second-largest economy unexpectedly shrank 0.6 percent in the final quarter of 2023 from the third, with full-year growth at 1.9 percent , lower than the 2.5 percent growth in 2022.
Last month, the central bank lowered its 2024 growth outlook to 2.5 percent -3.0 percent from 3.2 percent.
The group’s remarks comes as the government rushes to find funding for its 500 billion baht ($13.64 billion) signature scheme to transfer 10,000 baht to 50 million Thais to be spent in their local communities via a digital wallet.
