Panel projects H2 growth below 1%

The local private sector anticipates Thai GDP growth will be less than 1% in the second half of the year, primarily due to the impact of tariffs.

- SOMRUEDI BANCHONGDUANG

According to the Joint Standing Committee on Commerce, Industry and Banking (JSCCIB), Thailand’s economic growth is expected to lag 1% in the second half this year, forecasting full-year GDP growth of 1.5-2%, down from an earlier projection of 2-2.2%.

Speaking after the JSCCIB's meeting yesterday, Payong Srivanich, chairman of the Thai Bankers’ Association, said first-half growth is expected to be around 3% year-on-year, falling to less than 1% in the second half depending on the outcome of the US-Thailand tariff negotiations compared with other economies.

The heightened uncertainty surrounding tariffs is expected to continue to weigh on Thai exports and private investment in the second half of the year, noted the panel.