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PR Newswire
19-08-2013, 10:02 PM
http://www.todayonline.com/business/thai...cession-q2
BANGKOK - Thailand’s economy contracted unexpectedly in the second quarter, slipping into a mild recession because of weakness in exports, domestic consumption and investment.
Southeast Asia’s second-largest economy shrank 0.3 per cent in the second quarter from the preceding three-month period, after contracting by a revised 1.7 per cent in January-March, data showed on Monday. The median forecast in a Reuters poll was for growth of 0.2 per cent.
On an annual basis, economic growth in April-June slowed to 2.8 per cent, versus 3.3 per cent in the poll, and compared with a revised 5.4 per cent in January-March.
Also on Monday, the National Economic and Social Development Board (NESDB) cut its forecast for full-year economic expansion to between 3.8 and 4.3 per cent from between 4.2 and 5.2 per cent seen in May. A Reuters poll projected 4 per cent growth.
Thailand has been hurt by prolonged weakness in global demand that is weighing on industrial production. Export value in the second quarter totaled US$55.6 billion (S$71.1 billion), a 1.9 per cent contraction compared with 4.5 per cent growth in the first quarter. The contraction was due to the slow recovery of global economy and the appreciation of the Thai baht.
Domestic consumption - which makes up about half of the economy - also has declined due to the fading impact of government stimulus measures and recovery work after the severe flooding in late 2011. - REUTERS
BANGKOK - Thailand’s economy contracted unexpectedly in the second quarter, slipping into a mild recession because of weakness in exports, domestic consumption and investment.
Southeast Asia’s second-largest economy shrank 0.3 per cent in the second quarter from the preceding three-month period, after contracting by a revised 1.7 per cent in January-March, data showed on Monday. The median forecast in a Reuters poll was for growth of 0.2 per cent.
On an annual basis, economic growth in April-June slowed to 2.8 per cent, versus 3.3 per cent in the poll, and compared with a revised 5.4 per cent in January-March.
Also on Monday, the National Economic and Social Development Board (NESDB) cut its forecast for full-year economic expansion to between 3.8 and 4.3 per cent from between 4.2 and 5.2 per cent seen in May. A Reuters poll projected 4 per cent growth.
Thailand has been hurt by prolonged weakness in global demand that is weighing on industrial production. Export value in the second quarter totaled US$55.6 billion (S$71.1 billion), a 1.9 per cent contraction compared with 4.5 per cent growth in the first quarter. The contraction was due to the slow recovery of global economy and the appreciation of the Thai baht.
Domestic consumption - which makes up about half of the economy - also has declined due to the fading impact of government stimulus measures and recovery work after the severe flooding in late 2011. - REUTERS