Finance Ministry foresees 3.6% economic growth

BANGKOK, July 28 (TNA) -- The Finance Ministry predicts the Thai economy will grow by 3.6% this year thanks to rising exports and increasing government spending. Krisada Chinavicharana, spokesman of the ministry, said this year’s economic growth was faster than its 3.2% pace last year supported by external demand as the global economy was likely to expand by 3.56%. He commented that baht would be 3.7% stronger, at about 34 baht against a US dollar. He also predicted that the Dubai crude price should stand at US$50.4 a barrel as the Organization of the Petroleum Exporting Countries (OPEC) continues to cut its production. According to Mr Krisada, Thai exports will increase 4.7% this year thanks to the economic recovery of trading partners. The government has increased the 2017 fiscal budget and is actively investing in infrastructure projects. Private investment is gradually expanding thanks to low interest rates. Investment in the government sector rises by 9.8% while that of the private sector does at 2.6%. Private investment in the construction sector is slowing down while farmers’ income and tourism are growing. Mr Krisada said the Thai economy was stable. Its headline inflation runs at 0.8% and its current account surplus will be US$42.3 billion baht, equivalent to 9.5% of the gross domestic product. Government revenue in the first nine months (from October to June) of fiscal 2017 amounted to 1.74 trillion baht, 0.4% higher than earlier expected. (TNA)