Thailand’s economy on recovery path as tourism rises

Tourists wait to check in for flights, ahead of brace of an influx of Chinese tourists as COVID restriction are dismantled, at Bangkok’s Suvarnabhumi airport, Thailand, Jan 4, 2023. REUTERS/Athit Perawongmetha/File photo

BANGKOK  – Thailand’s economic recovery remained on track in June as the tourism sector expanded in line with higher foreign tourist arrivals while exports declined, the central bank said on Monday.

Economic activity was seen gradually improving, with the tourism sector remaining the main driver, the Bank of Thailand (BOT) said in a statement.

Thailand recorded a current account surplus of $1.4 billion in June, after a deficit of $2.8 billion in May, the BOT said.

Exports, a key driver of growth, dropped 5.9 percent year-on-year in June, the same pace as in May.

Private consumption dipped 0.3 percent in June from the previous month while private investment contracted 1.8 percent on the month, the BOT said.

In the second quarter of 2023, Southeast Asia’s second-largest economy displayed a moderate improvement from the previous quarter as foreign tourist numbers increased and the service and private consumption expanded, the central bank said.