Thai economy to grow 3.8% this year, inflation to ebb – minister

BANGKOK, Feb 25 (Reuters) – Thailand’s economy is expected to grow 3.8% this year, helped by a rebound in the vital tourism sector, while inflation should cool to its target range, the finance minister said on Saturday.

Domestic spending has increased and the government will accelerate large project investment to help growth, Arkhom Termpittayapaisith told a Radio Thailand programme.

As the global slowdown hurts exports, “tourism is our hope,” he said.

Southeast Asia’s second-largest economy expanded a weaker-than expected 2.6% last year, lagging that of others in the region as its tourism sector just started to pick up.

The finance ministry has forecast 27.5 million foreign tourist arrivals this year, after Thailand