For business, any kind of instability that reduces predictability is not well tolerated. Thailand may have appeared like a case study of economic resilience, given what the country has gone through in the past decade of varying colour-coded protests and turmoil. In the current round of crisis and confrontation, however, doubts are surfacing as to how many more self-inflicted shocks this country can absorb.
On top of the erosion of confidence among foreign trade and investment partners over our prolonged political unrest, the opportunity loss from upgrading Thailand's competitiveness amid increasing global challenges may prove costly.
There is no denying how impressively Thailand has bounced back economically time and again. Despite the coup in 2006, Thailand managed a growth rate of 5% in 2007. Days of violent unrest in Bangkok in 2009-2010 that left dozens dead and many more injured did not stop the economy from clocking a 7.8% expansion in 2010, the highest for a decade. Following the disastrous floods of 2011, the economy surged back to an impressive 6.5% growth rate in 2012.
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