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Economic Research

Thailand Economic Outlook, Q3 2009

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Executive Summary

  • Rising job losses and the uncertainty of farm earnings will keep consumer spending at bay;
  • There is little need to expand production capacity as capacity utilization is at its lowest since 1998;
  • Base effects and rapid deflation in producer prices signal further deflation in consumer prices.

Thailand’s political instability of yesteryear continues to be the bane of the economy in 2009. Though a new, Democrat-led coalition government has formed, investor and tourist confidence will be difficult to regain after the violent protests and airport shutdowns that plagued[...]

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