Government upbeat on steady credit rating

The government remains confident that credit rating agencies will maintain Thailand's sovereign credit rating atits current level thanks to the strength of Thai financial institutions and the country’s ability to retain fiscal discipline after the Covid-19 crisis.

- WICHIT CHANTANUSORNSIRI

Speaking on Wednesday during the 2025 Spring Meetings of the World Bank Group and the International Monetary Fund (IMF) held in Washington, DC, Deputy Finance Minister Paopoom Rojanasakul said he had discussions with three major credit rating agencies: JPMorgan, Moody's, and Standard & Poor's (S&P).

He said Thailand is gradually recovering from prolonged low growth. While there are emerging signs of recovery in several sectors, the economy has yet to reach its full potential.

Inaddition, Mr Paopoom said uncertainty due to US trade policies is likely to significantly impact Thailand’s economy — both directly through exports and indirectly via a global economic slowdown and decreased investment activity.

Inresponse, the Thai government is preparing fiscal and monetary policies, as well as deploying state-owned specialised financial institutions, to cautiously manage this transition period and economic volatility.

“Thailand has maintained macroeconomic stability, with low and stable inflation. Both public and private financial institutions remain financially sound, with commercial banks posting a Bank for International Settlements ratio of 20.1%, reflecting robust financial health,’ he said.