BANGKOK, 22 March 2014 The Monetary Policy Committee (MPC) has markedly reduced the country’s GDP projection, due to the ongoing political unrest.
The Assistant Governor of the Bank of Thailand (BOT) Paiboon Kittisrikangwan, in his capacity as Secretary of the MPC, said the central bank has adjusted Thailand’s expected GDP growth down to 2.7 percent, whereas its previous projection was 3 percent, adding that adjustments are likely to be made again in the near future following the Constitutional Court’s decision to nullify the February 2nd election.
The assistant governor also predicted that domestic consumption would only grow by 0.3 percent, investments by the private sector would shrink 0.5 percent, while government spending would expand by 2.5 percent.
He went on to say that government spending had been heavily affected by the dissolution of parliament, causing budget disbursements to fall behind by one quarter.
