Thailand's economic fundamentals remain strong

BANGKOK, July 23 (TNA) - The Bank of Thailand (BOT) has insisted that the country's economic fundamentals remain strong despite challenges, domestically and globally. In response to a recent move by the BOT’s Monetary Policy Committee (MPC) to lower its projection of Thailand’s gross domestic product (GDP) growth this year to 4.2 per cent, from 5.1 per cent, BOT Governor Prasarn Trairatvorakul told journalists on Tuesday (Jul 23) that the MPC's revised projection is relevant to economic problems prevailing in the region, including a slowdown in regional exports. Prasarn affirmed, however, that Thailand’s economic fundamentals and foreign reserves remain strong although the country may confront risk factors and people should monitor the updated situation. The BOT chief pointed out that the monetary policy alone cannot direct national economic growth and the government should, thus, focus on boosting goods production processes to boost national competitiveness. According to the BOT chief, although the Thai economy has slowed down over the past 10 years, shown by the country’s GDP growth which earlier expanded by 8-9 per cent, the Thai economy in 2014 is expected to return to around 5 per cent. The BOT chief suggested that the Thai government invest in mega infrastructure projects, as they will cushion the national economy in long-term. (TNA)