World Bank trims Thailand’s 2021 economic growth outlook
The World Bank on Thursday projected Thailand’s 2021 economic growth at 2.2%, lower than the 3.4% initially forecasted. The projection cut was attributed to the country’s weak tourism and a third wave of COVID-19 infections.
The World Bank said it expects Thailand’s economy to return to its pre-pandemic levels in 2022, following a slow and uneven recovery. GDP growth next year is projected at 5.1%.
Thailand was seen to have 600,000 tourists this year, sharply down from a previous forecast of 4-5 million. The country received up to 40 million foreign tourists per year pre-pandemic.
The World Bank also highlighted the importance of good exports and the ongoing rollout of fiscal support measures to the country’s economic rebound.
Thailand’s tourism-reliant economy recorded a 6.1% contraction last year, its deepest slump in over two decades, due to the poor performance of its tourism sector.