Thailand’s economy in downward spiral after new Covid-19 wave hits

Thailand’s economic conditions are expected to deteriorate further this year as the nation battles a new wave of Covid-19 infections, according to a national survey.

About 52.2 per cent of respondents in the study undertaken by Bangkok’s National Institute of Development Administration predict the economy will be even worse in 2021 than it was last year, while 14.6 per cent anticipate an improvement, Bloomberg reported.

At the same time, the impact of Covid-19 may be even more deadly than in 2020, according to 48.1 per cent of the respondents. Just 28.8 per cent expect it to be less severe, the institute said in a statement released on January 3.

Thailand imposed a new set of restrictions on businesses and gatherings in 28 of its worst-affected provinces on January 5 to stem the latest flare-up in an outbreak that’s infected more than 3,000 people since the middle of December.

Bangkok in another lockdown

Bangkok, a city of more than ten million people, has already closed businesses including pubs, bars, gyms and other entertainment venues besides also shuttering schools until the end of January.

The central bank at its December policy meeting said gross domestic product probably shrank by 6.6 per cent in 2020 due to the impact of the pandemic. At the same gathering, it cut its forecast for this year to a growth of 3.2 per cent, from an earlier estimate of 3.6 per cent.

Prime Minister Prayut Chan-ocha has so far refrained from re-imposing a national lockdown, saying the nation can contain the recent outbreak. Still, the surge in infections is likely to delay plans to reopen the country to tourism with a nationwide state of emergency remaining in place to allow authorities impose restrictions quickly if deemed necessary.

Thailand may face additional hurdles to reviving its economy from a recurrence of anti-government protests, according to the institute’s survey.

Almost 77 per cent of respondents said they expected the political situation to remain chaotic or get worse, and 43.2 per cent of the participants anticipated that more pro-democracy protests will take place this year.



Support ASEAN news

Investvine has been a consistent voice in ASEAN news for more than a decade. From breaking news to exclusive interviews with key ASEAN leaders, we have brought you factual and engaging reports – the stories that matter, free of charge.

Like many news organisations, we are striving to survive in an age of reduced advertising and biased journalism. Our mission is to rise above today’s challenges and chart tomorrow’s world with clear, dependable reporting.

Support us now with a donation of your choosing. Your contribution will help us shine a light on important ASEAN stories, reach more people and lift the manifold voices of this dynamic, influential region.

$
Personal Info

Donation Total: $10.00

 

 

Thailand's economic conditions are expected to deteriorate further this year as the nation battles a new wave of Covid-19 infections, according to a national survey. About 52.2 per cent of respondents in the study undertaken by Bangkok's National Institute of Development Administration predict the economy will be even worse in 2021 than it was last year, while 14.6 per cent anticipate an improvement, Bloomberg reported. At the same time, the impact of Covid-19 may be even more deadly than in 2020, according to 48.1 per cent of the respondents. Just 28.8 per cent expect it to be less severe, the institute...

Thailand’s economic conditions are expected to deteriorate further this year as the nation battles a new wave of Covid-19 infections, according to a national survey.

About 52.2 per cent of respondents in the study undertaken by Bangkok’s National Institute of Development Administration predict the economy will be even worse in 2021 than it was last year, while 14.6 per cent anticipate an improvement, Bloomberg reported.

At the same time, the impact of Covid-19 may be even more deadly than in 2020, according to 48.1 per cent of the respondents. Just 28.8 per cent expect it to be less severe, the institute said in a statement released on January 3.

Thailand imposed a new set of restrictions on businesses and gatherings in 28 of its worst-affected provinces on January 5 to stem the latest flare-up in an outbreak that’s infected more than 3,000 people since the middle of December.

Bangkok in another lockdown

Bangkok, a city of more than ten million people, has already closed businesses including pubs, bars, gyms and other entertainment venues besides also shuttering schools until the end of January.

The central bank at its December policy meeting said gross domestic product probably shrank by 6.6 per cent in 2020 due to the impact of the pandemic. At the same gathering, it cut its forecast for this year to a growth of 3.2 per cent, from an earlier estimate of 3.6 per cent.

Prime Minister Prayut Chan-ocha has so far refrained from re-imposing a national lockdown, saying the nation can contain the recent outbreak. Still, the surge in infections is likely to delay plans to reopen the country to tourism with a nationwide state of emergency remaining in place to allow authorities impose restrictions quickly if deemed necessary.

Thailand may face additional hurdles to reviving its economy from a recurrence of anti-government protests, according to the institute’s survey.

Almost 77 per cent of respondents said they expected the political situation to remain chaotic or get worse, and 43.2 per cent of the participants anticipated that more pro-democracy protests will take place this year.



Support ASEAN news

Investvine has been a consistent voice in ASEAN news for more than a decade. From breaking news to exclusive interviews with key ASEAN leaders, we have brought you factual and engaging reports – the stories that matter, free of charge.

Like many news organisations, we are striving to survive in an age of reduced advertising and biased journalism. Our mission is to rise above today’s challenges and chart tomorrow’s world with clear, dependable reporting.

Support us now with a donation of your choosing. Your contribution will help us shine a light on important ASEAN stories, reach more people and lift the manifold voices of this dynamic, influential region.

$
Personal Info

Donation Total: $10.00

 

 

NO COMMENTS

Leave a Reply