Postponement of general election not seriously affect Thai economy

BANGKOK, January 9 (TNA) - The private sector sees that a postponement of Thailand's general election should not seriously affect the national economic prospect, especially the confidence in the Thai economy among international investors. Kalin Sarasin, Chairman of the Thai Chamber of Commerce Board and the Board of Trade of Thailand, told journalists of the assessment, after Wednesday's meeting of the Joint Standing Committee on Commerce, Industry and Banking (JSCCIB). Kalin said it was agreed at the latest JSCCIB meeting that more international investment projects should continue pouring into the Thai economy, especially into the government-supported Eastern Economic Corridor (EEC) Project. Kalin acknowledged, however, if Thailand's new general election was organized in late next month as earlier planned and the newly-elected administration was smoothly set up thereafter, the Thai economy could grow by up to 4.5 per cent year-on-year in 2019. The Thai government is reportedly considering to postpone the country's new general election to late March, instead of late next month, as it is preparing activities related to the Royal Coronation ceremony on May 4, 2019. Kalin revealed that Wednesday's JSCCIB meeting initially projected that the Thai economy should grow by 4-4.3 per cent year-on-year in 2019, the comparable rate of the national economic growth in 2018, while Thai exports should expand by 5-7 per cent year-on-year, from about 8 per cent year-on-year in 2018. As Thailand's economic growth this year, thus, appears to be more relying on the government's spending, Kalin quoted the JSCCIB as cautioning that risk factors against the national economic expansion remain this year, including impacts from the ongoing trade war between the United States and China and the uncertain direction of the world financial market and the Thai baht consequently. Meanwhile, Predee Daochai, Chairman of the Thai Bankers' Association (TBA), told reporters it is unlikely that commercial banks in the country to raise their lending rates shortly, despite a new increase in the Thai central bank's key interest rate recently, in order to help maintain living costs of people. (TNA)