The economy of BANGKOK in Thailand grew at its fastest pace in more than a year, according to official data released on Monday, boosted by a revival in tourism and increased consumption.
Southeast Asia's second-largest economy increased by 4.5 percent in the month of September from a year earlier, according to data from the National Economic and Social Development Council.
Thailand's economy is on a steady recovery path with growth in the crucial tourism sector picking up speed after the government lifted all COVID 19 curbs earlier this year, but the outlook is clouded by the risks of slowing global growth and high inflation.
The economy will grow by 3.2 per cent this year, compared with the previous forecast range of 2.7 per cent to 3.2 per cent. It projected growth in 2023 at 3 per cent to 4 per cent. The 1.5 per cent growth in the region last year was among the slowest in the region.
The growth of the tourism sector in 2023 will be supported by the recovery of private and public investments, the expansion of domestic demand and the favourable growth of the agricultural sector, the state planning agency said in a statement.
The Reuters poll showed that third-quarter growth was in line with expectations for a 4.5 per cent rise in the quarter and was an improvement from the 2.5 per cent growth seen in the April-June quarter.
The data will reinforce expectations for a 25 basis-point rate hike at the Bank of Thailand's Nov. 30 meeting, as the central bank tries to strike a tricky balance between containing near 14 year high inflation and supporting the fragile recovery.
Gross domestic product GDP grew 1.2 per cent on a quarterly basis, beating expectations for an increase of 0.9 per cent in July-September.