ADB:Thai economy is expected to rebound in 2014

BANGKOK, November 25 (TNA) - The Manila-based Asian Development Bank says that the Thai economy should rebound next year, thanks to the recovering world economy and the Thai government's new 2.2 trillion-baht investment plans. Laksamon Atthapit, a senior economist of the ADB office in Thailand, told journalists on Monday that the Thai economy in 2014 should better expand, with increased exports, in line with the recovering world economy, while the government’s new 2.2-trillion-baht investment projects should also stimulate domestic private investment. Laksamon acknowledged, however, that the ADB's positive forecast for the Thai economy next year depends on how fast the Thai government could disburse money for the new mega investment plans and the ongoing domestic political turmoil would not persist, as it could negatively affect consumers’ confidence and the national economy. Laksamon noted that the ADB was working to revise downward its projection of Thailand’s economic growth this year, from 3.8 per cent it earlier forecast, due to a slowdown in Thai exports and impacts on domestic private consumption from the ongoing political strife. Meanwhile, Chen Namchaisiri, Vice Chairman of the Federation of Thai Industries (FTI), cautioned that the ongoing anti-government demonstration, if prolonged, could affect domestic tourism during the current high season, as many countries have told their citizens to avoid protest areas in Thailand, while the political protest has started affecting the local manufacturing sector in accordance with a slowdown in consumers’ purchasing power and the national economic growth, as well as in a slow recovery of the world economy. The FTI vice chair recommended that the Thai government spend money to fund its new 2.2 trillion baht investment plans transparently and efficiently to create a bright future for the country without any negative impact from its delay in repaying the obliged public debt. (TNA)