RHB | Thailand | Growth to Pick Up In 2H 2014, Albeit Gradually

Economic Research	18 Sept 2014
Thailand
Economic Outlook
Growth to Pick Up In 2H 2014, Albeit Gradually Thailand’s economic condition had stabilised with real GDP growth expanding by 0.4% y-o-y in 2Q 2014, after registering a decline of 0.5% in the 1Q and compared with +0.6% in the 4Q of 2013, which reflected a more stable political situation following a military coup in late May. A pick-up in growth will likely be more apparent in the 4Q, on the back of the stimulus measures that will take time to filter down and amid a low base last year. However, it will not be adequate to lift growth to the government targeted 2.0% pace, in our opinion. As a result, our GDP forecast is retained at 1.2% for 2014, which will be slower than the +2.9% registered last year. Economist:  Peck Boon Soon  | +603 9280 2163