Thai economy shrinks by 2.6% in Q1
The Thai economy shrank by 2.6% in the first quarter of this year — an improvement from a 4.2% contraction in the previous quarter — after it was boosted by a continued increase in agricultural production, recovery of non-agricultural production, acceleration in domestic investments, rise in government consumption expenditure and improvement in exports of goods.
However, the new wave of Covid-19 infections at the end of 2020 affected private consumption expenditure adversely, prompting the government’s planning unit — the National Economic and Social Development Council (NESDC) — to lower its economic growth forecast for a second time to 1.5-2.5% from 2.5-3.5% made on Feb 15 and against 3.5-4.5% growth made in November last year.
Bangkok Post Reporter
