Economics
Thai Finance Ministry Cuts 2021 GDP Forecast on New Outbreak
- Estimate of last year’s contraction is revised slightly upward
- Tourist arrivals to fall further this year after 2020 plunge
Photographer: Sirachai Arunrugstichai/Getty Images
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Thailand’s Finance Ministry cut its economic forecast for 2021 to 2.8% from the 4.5% expected in October, factoring in the resurgence of Covid-19 and fresh government stimulus measures.
Thursday’s downgrade follows similar recent warnings that Thailand faces downside risks: Earlier this month the central bank signaled its own 3.2% GDP growth forecast for the year may need to be reduced. The International Monetary Fund also recently lowered its 2021 GDP estimate for Thailand to 2.7%, from 4% previously.