Thailand faces current account blowout on oil, tourism risks

Thailand is heading for a rare back-to-back current-account deficit as the outlook for tourist arrivals becomes less rosy with a flare-up in Covid cases globally and energy import bills ballooning amid soaring oil prices.

The net-oil importer may post a shortfall of $4.6 billion this year, according to Bank of Ayudhya Plc, which previously estimated a surplus of $5.8 billion in the current account — the broadest measure of trade and investment. Nomura Holdings, DBS Bank and Maybank Investment Banking Group too expect Southeast Asia’s second-largest economy to post a second straight year of deficit, the first time since 1997.

“The odds are now shifting towards a current-account deficit for Thailand…