Thailand’s exports to see strong growth: think tank

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(Xinhua) — Thailand’s Krungsri Research, a think tank, has upgraded its 2021 growth forecast for the country’s exports after strong growth was recorded in June amid improving global demand.

The research unit under Thailand’s Bank of Ayudhya said exports would be the main driver of the country’s economic growth this year, and raised its full-year export growth forecast to up to 15 percent from its previous estimate of 9 percent.

Thailand’s exports surged 43.8 percent from a year earlier in June, the strongest increase since July 2010, according to data from the Ministry of Commerce.

The Krungsri Research expected Thailand’s exports to maintain the positive momentum in the second half of the year, but said the pace of growth may moderate from the first six months because of base effect.

It said the country’s pandemic control measures to contain the surge in new infections and possible labor shortage in certain fields may impact manufacturing production and exports in the third quarter of the year.

It also expected the strong exports to lift GDP growth by 0.6 percentage point, putting its projection for the country’s GDP growth this year at 1.2 percent.