The Joint Standing Committee on Commerce, Industry and Banking (JSCCIB) on Wednesday proposed that the government spend 200 billion baht more on support measures while it lowered the GDP growth forecast from 2.0-4.0 per cent to 1.5-3.5 per cent.
Kalin Sarasin, chairman of the joint business group on commerce, industry and banking, told a briefing after its meeting that the new wave of Covid-19 in Thailand and other countries slowed down economic recovery.
It projected that Thai economy in 2021 would grow 1.5-3.5 per cent, based on an assumption that the government expedites spending additional 200 billion baht on relief measures to support the economy and can contain the new epidemic with three months.
It forecast Thai exports in 2021 would expand 3.0-5.0 per cent and headline inflation would hover around 0.8-1.0 per cent.
The JSCCIB viewed that the latest of the Covid-19 outbreak in Thailand since late last year had impacts on the economy, particularly on the tourism sector, a key driver of the Thai economy in the second half of 2020 following travel restrictions in some tourist destinations. It also has negative effects on consumer and investor confidence, which could prolong for 2-3 months. (TNA)
