Thailand posts current account deficit in Nov, exports fall

BANGKOK – Thailand recorded a current account deficit $0.4 billion in November after a revised surplus of $0.6 billion the previous month, the central bank said on Thursday.

Exports, a key driver of growth, dropped 5.5 percent year-on-year in November, and imports rose 8.2 percent year-on-year, resulting in a trade surplus of $0.5 billion in the month, the Bank of Thailand said in a statement.

Southeast Asia’s second-largest economy was still on the recovery path in November, helped by a rebound in the vital tourism sector. Economic activity was likely to recover further in December, the BOT said.

The central bank said it would monitor slowing global demand, China’s border reopening, and rising prices.

The baht strengthened in December due to China’s reopening plans, turning investors positive about a recovery in Asian economies, including Thailand, BOT Assistant Governor Chayawadee Chai-Anant told a news conference.

The central bank has forecast the economy will expand 3.2 percent this year and 3.7 percent in 2023, boosted by recovery in private consumption and tourism.

Earlier this month, Finance Minister Arkhom Termpittayapaisith said economic growth might hit 3.8 percent next year on optimism over China’s reopening plans.