JSCCIB Cut 2021 GDP Growth to 0.0-1.5% as New Covid Wave Stalls Economic Recovery

The Joint Standing Committee on Commerce, Industry, and Banking reduced Thailand’s economic growth forecast to 0.0-1.5% from 0.5-2.0%, citing the new wave Covid-19 outbreak’s severe impact on the Thai economy and escalating the risk on domestic demand, despite the global economy’s ongoing recovery boosting Thailand’s exports.

The GDP was reportedly projected to expand by 0.5-2.0% in 2021, however, the result would be highly dependent on the intensity of the pandemic and additional government’s relief measures.

Meanwhile, the Committee revised its forecast for Thai export growth to 8.0-10.0% from 5.0-7.0 %, citing the global economy’s faster-than-expected recovery. Headline inflation will be in the range of 1.0% to 1.2% as previously forecast.