World Bank trims Thailand’s 2023 growth outlook to 2.5 pct-Xinhua

Tourists are seen in the Khao Yai National Park, Thailand, Dec. 11, 2023. (Xinhua/Rachen Sageamsak)

BANGKOK, Dec. 15 (Xinhua) — Thailand’s economic growth is projected at 2.5 percent this year, down from 3.4 percent expected in October as global headwinds hampered economic recovery, the World Bank said on Thursday.

The Southeast Asian country’s growth outlook for 2024 was revised down to 3.2 percent from 3.5 percent, mainly driven by tourism and private consumption, while exports are expected to rebound due to favorable global trade, according to the bank’s Thailand Economic Monitor.

Tourism is projected to return to pre-pandemic levels in mid-2025, dragged down by slowing tourist arrivals from key markets, the World Bank said.

The Thai government’s planned digital wallet scheme could potentially boost near-term growth further, amounting to 2.7 percent of the gross domestic product (GDP) if implemented, the Washington-based bank said.

The potential GDP growth rate from 2023 to 2030 is estimated at 2.7 percent, 0.5 percentage points lower when compared to the previous decades due to aging population and subdued productivity growth, it said. ■