Blog

The delay in the formation of the new government amid high levels of household debt, living costs, and interests as well as a slowdown in exports have resulted in the Thai Industries Sentiment Index (TISI) dropping to its lowest level in 10 months.

The index stood at 92.3, having declined from the prior month due to a slowdown in demand for goods and in the manufacturing sector.

Key TakeawaysThe delay in the formation of a new government in Thailand has contributed to a drop in the Thai Industries Sentiment Index due to factors such as high household debt, living costs, and interest rates.The fragile global economy and a slowdown in exports are adding to the concerns, with Thailand’s exports declining for nine consecutive months and the lower-than-expected growth of the Chinese economy posing risks.The private sector is urging for a quick formation of the new government, along with the issuance of economic rehabilitation and stimulation policies to boost investor …

Chinese automaker BYD has announced that it has reached a milestone of producing five million cars, a growth rate usually associated with the digital economy rather than the automotive industry.

Key Takeaways Chinese electric vehicle manufacturer BYD has reached a milestone of five million vehicles sold, achieving rapid growth primarily driven by the strong demand for electric vehicles in China. BYD took 13 years to sell its first million vehicles, but then managed to double that number in just six months, and reach the five million mark in a total of nine months. While the majority of BYD’s sales are within China, the company is expanding its presence in international markets and recently launched a new brand to directly compete with German premium car manufacturers.

It took BYD 13 years to sell its first million vehicles, but only six months to double that number, and an additional nine months to reach five million. The majority of this achievement was made in …

The Bank of Thailand has raised its key interest rate to a nine-year high of 2.25% due to concerns about rising prices.

Key Takeaways The Bank of Thailand raised its key interest rate to 2.25%, citing concerns about upside risks to prices and the need to ensure inflation stays low in the long term. Despite easing inflation and a forecasted steady economic expansion driven by tourism and private consumption, policymakers remain cautious due to weak exports, domestic political uncertainty, and the potential impact of a severe El Nino episode on food prices. The central bank expects inflation to rebound in the second half of the year after temporary factors dissipate, but analysts believe this rate hike will likely be the last for now, considering the downside risks to growth and subdued inflation.

Despite inflation easing and falling below the central bank’s target, policymakers aim to ensure it remains low. The central bank expects the econo…

The Stock Exchange of Thailand (SET) has announced a collaboration with various entities in the capital market sector, business organizations, and government agencies to fight against investment fraud.

The collaboration aims to exchange information, detect fake news, and raise public awareness about investment scams.

Key TakeawaysThe Stock Exchange of Thailand and various entities in the capital market sector have formed a collaborative initiative to fight against investment fraud and educate the public about scams.The initiative aims to exchange information, detect fake news, and provide knowledge to build immunity among investors and the public to prevent them from falling victim to scammers.The collaboration includes government agencies, business organizations, and industry experts who will work together to develop efficient processes to stop fraudulent investment cases and protect individuals from financial and investment fraud.

The initiative includes semin…

Thailand’s industrial sentiment has increased for the first time in three months in June due to higher domestic demand.

Key TakeawaysThailand’s industrial sentiment improved in June due to higher domestic demand, but sluggish exports and political uncertainty remain challenging.Soft global demand continues to impact Thai exports, which are crucial for the country’s economic growth.The formation of a new government in Thailand remains uncertain after the May national election, adding to the political instability.

However, sluggish exports and uncertainty over the formation of a new government remain concerns. The Federation of Thai Industries reported that the industrial sentiment index rose to 94.1 in June from 92.5 in May.

Domestic demand has been supported by a recovery in the tourism sector, but global demand continues to hinder Thai exports. Additionally, political uncertainty persists after the national election in May as a new government has yet to be form…

Thailand’s economic recovery remains on track, with projected growth of 2.9% in the first half of the year and 4.2% in the second half, according to the Bank of Thailand.

Key TakeawaysThailand’s economic growth is expected to be 2.9% in the first half of 2023 and 4.2% in the second half, with the central bank gradually normalizing interest rates.Despite the economic recovery, exports are projected to remain flat for the year, while annual inflation is at its slowest pace in 22 months.Thailand is expected to receive 29 million foreign tourists in 2023, with the number surpassing 15 million by the end of July.

The Thai economy is expected to continue expanding, driven mainly by tourism and private consumption. Headline inflation has returned to the target range, but there remain upside risks stemming from mounting demand pressures and higher cost pass-through from supply pressures.

The Thai economy is expected to grow by 3.6% in 2023 and 3.8% in 2024, driven by co…