BANGKOK (NNT) – The Ministry of Finance is now projecting an economic rebound to 4.5% growth next year, with government investments serving as key drivers. The Minister of Finance says the government will focus more on inclusive growth next year, with no sectors left behind.

Minister of Finance Arkhom Termpittayapaisith has outlined the expectations for Thailand’s economic performance from the end of this year through 2022, as part of his special remarks delivered at the “Investment Minute” seminar organized by state-owned public broadcaster MCOT.

The Minister of Finance says Thailand’s economy this year would see only a 1.1-1.2% growth, with the border reopening for international visitors giving a positive push to economic and tourism recovery, along with the government’s stimulating measures to maintain domestic consumption.

For next year, the Ministry of Finance is projecting an economic growth of 3.5-4.5% from effective pandemic control measures, incentives, domestic spending, the export sector, private investment support, global economic recovery, and government expenditures.

Mr. Arkhom said the government’s 1 trillion baht infrastructure investments, which include metro lines construction, the Eastern Economic Corridor project, and the three-airport rail connector project, would help enhance the country’s competitiveness.

He said however the government’s economic management plan for next year will focus more on inclusivity, by ensuring growth from the bottom-up within the grassroots economy rather than focusing on any particular sector.

On the potential economic impacts from the Omicron COVID-19 variant of concern, the Minister of Finance said the situation should be closely monitored, as it remains unclear whether this new strain would cause more severe disease, or how effective available vaccines would be.

Stock markets across the world have responded unfavorably to the report of this new variant, with the Thai stock exchange today closing 20.92 points lower, reflecting the concerns investors have over the next phase of the pandemic.

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BANGKOK (NNT) – Truckers have made their way toward the Ministry of Energy to submit their demands and proposals in response to the heightened prices of fuel in Thailand, which followed the continued increase of global oil prices.

The Land Transport Federation of Thailand (LTFT) today (16 Nov) staged a demonstration by truck drivers who drove in convoys toward the Ministry of Energy in Bangkok to demand that the government cap the retail diesel price at 25 baht per liter for one year.

The so-called ‘Truck Power’ campaign called for trucks operated by LTFT members to be driven to the Ministry of Energy from Bangkok’s outlying highways such as the Outer Ring Road and Bang Na-Trat highway. The truckers said the aim was to submit their demands and proposals relating to the problem of rising oil prices, which they said have affected transportation costs in Thailand. Some drivers of passenger vehicles have also joined in and parked their vehicles in the vicinity of the Ministry of Energy. Meanwhile, police officers and security guards were facilitating traffic and keeping order at the Energy Complex on Vibhavadi Rangsit Road, where the Ministry of Energy was located.

The truckers’ demands were unchanged from previously. They asked that the retail diesel price be capped at 25 baht per liter and the excise on diesel be cut by 5 baht per liter for one year. They also demanded that adjustments be made to the domestic fuel price structure and surcharges and fees associated with oil prices be reduced.

LTFT Chairman Apichart Prairungruang told reporters he previously discussed the issue of oil prices with the minister of energy and presented the truckers’ demand for the diesel price to be capped at 25 baht per liter. He said this demand was not heeded and truckers responded by increasing their pressure on the government via a 20% reduction in freight trips nationwide. The chairman added that if the government remained unresponsive, the pressure on it will be elevated by means of a 10% increase on all types of transportation fees on December 1 while other measures might also come into play.

Association of Southern Logistics & Transport President Kittichai Thammasiriphong said he wanted the government to revisit the problem of diesel price structure, which was the main cost for transport service businesses. He noted that his association would like the government to decouple diesel from biodiesel fuel for the time being, as the price of biodiesel was now much higher than diesel oil.

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BANGKOK (NNT) – The Federation of Thai Industries (FTI) has laid down 6 strategies to support industries and businesses, with a focus being placed on surviving and thriving on opportunities created by the shift toward digital technology.

FTI chairman Supant Mongkolsuthree inaugurated the GS1 Thailand Annual Meeting 2021, which was held under the theme of “Stay-at-Home Economy,” and gave a special lecture on the topic of “Business Survivability Amidst COVID-19.” He explained during the lecture that technological shifts were made toward AI, VR, Big Data, Blockchain, and 5G in light of COVID-19, and businesses needed to determine which of these technologies suited their operations and take the initiative to utilize the chosen technology and relevant innovations to reduce costs and improve productivity.

GS1 Thailand operates under the FTI as a leading provider of barcodes and EPC/RFID standards and solutions for industry sectors in Thailand.

The FTI has laid out 6 strategies to service federation members. In the aspect of marketing, the FTI would facilitate business matchings, e-commerce adoption, and projects for made-in-Thailand products. In the dimension of finance, the FTI was collaborating with banks to offer various services to members and was also working with the Stock Exchange of Thailand to enable small businesses to raise capital in the ‘LiVE Exchange’ market. With regard to innovation, an ‘innovations fund’ had been established to promote the use of innovations to create added value.

The 4th strategy involved learning centers that provide knowledge to personnel in the industrial sector and facilitate re-skilling and up-skilling for employees – there were about 80 specific curricula on offer at the moment. The 5th strategy called for improving efficiency and standards at businesses through digital transformation, and the 6th strategy involved the promotion of sustainability in the industrial sector.

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BANGKOK (NNT) – Ongoing efforts to stimulate the Thai economy, especially the reopening of the country to international tourists, have prompted the research house of CIMB Thai Bank to raise its growth projection for the Thai economy to 1.1% for 2021 and 3.8% for 2022.

Mr. Amonthep Chawla, assistant managing director of CIMB Thai Bank, said CIMB has revised its growth projection for the Thai economy to 1.1% this year, from 0.4% earlier. The upward revision was due to improved efficiency in controlling the spread of COVID-19 in the country and economic stimulation measures, especially the reopening to international tourists.

For 2022, the bank now predicts a 3.8% growth in GDP instead of 3.2% previously, owing to 3 support factors. The first of the factors is exports, which are expected to grow by 4.7% because of continued recovery in exports of electronics, automobiles and parts, and rubber products. Tourism is the second factor, with the bank expecting 5.1 million international tourists to arrive in Thailand in 2022. The third factor is increased purchasing power, owing to the lifting of Covid restrictions.

Mr. Amornthep also noted risk factors that may affect the Thai economy. These include renewed outbreaks of Covid in Thailand or major trade partners, ongoing conflicts between the United States and China, and inflation issues stemming from rising fuel and fresh food prices.

CIMB Thai viewed that the central bank’s Monetary Policy Committee is likely to retain the 0.5% policy interest rate throughout 2022.

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