Thai Economy Expected To Grow By 3.6 Pct This Year

By Mohd Haikal Mohd Isa BANGKOK, April 27 (Bernama) -- Thailand's economy is expected to expand by 3.6 per cent this year, against 3.2 per cent in 2016, according to the Finance Ministry here Thursday. Spokesman Krisda Chinavicharana said the better growth projection comes from increasing demand for Thai exports and government expenditure in big ticket infrastructure projects. "Exports are also growing faster than expected, due to the improving economic situation in Thailand's trading economies, while government spending remained the major driver of the economy" he added. Government expenditure which stood at 2.37 trillion Baht (about US$68 billion) this year is expected to increase by 190 billion Baht (about US$5.2 billion) this year, due to additional investments in infrastructures. Chinavicharana said as the economy stabilised, headline inflation is expected to run at 1.4 per cent in 2017 following the rise in crude oil prices, while the current account surplus is expected to reach US$39 billion (US$1=RM4.35) or 9.2 per cent of the gross domestic product. He also forecast that private investment would increase this year as interest rates remained low. -- BERNAMA