Thai economy continued to recover in October 2023 (BoT)

In October 2023, the Thai economy showed recovery in domestic demand, but service sector activities slowed and merchandise exports declined, while inflation declined and labor market conditions improved.

Summary

• In October 2023, the Thai economy continued to recover on the back of domestic demand, driven by private consumption and investment. However, activities in service sector slowed down, following lower numbers of both Thai and foreign tourists. In addition, the value of merchandise exports, excluding gold, declined after a good expansion in the preceding period and was in line with the manufacturing production. Meanwhile, public spending contracted from lower capital expenditures.
• On the economic stability front, headline inflation declined from lower energy and fresh food prices due to government subsidies on diesel, lower benzene prices as well as the high base last year in…