Thailand says Covid-19 resurgence could cut GDP by 0.8-2% this year, Economy News & Top Stories

BANGKOK • The latest coronavirus wave to hit Thailand is expected to reduce gross domestic product (GDP) by 0.8 per cent to 2 per cent this year, the central bank said yesterday, as the South-east Asian country tackles its biggest outbreak of the virus to date.

The current Covid-19 wave has seen daily record infections, which the Bank of Thailand (BOT) said had became more severe and prolonged than previously expected.

Stricter containment measures have caused economic activity to plummet to levels close to those reached during a lockdown last year, and is likely to fall further, senior director Chayawadee Chai-Anant told a briefing.

GDP could drop by as much as 2 per cent if the current curbs do not reduce infections and the outbreak drags on throughout the year,” she said, adding that a base case was for a 1.2 per cent GDP fall.

“That’s only an impact on GDP. But there could…