With the economic revovery finding a firmer footing, 2002 may be remembered as the Year of the Consumer. Spurred by low credit, Thai people poured money into new housing, automobiles and consumer durables.

The consumtion revival was held as well by government policies intended to improve buying power at the grassroots level through the promotion of community enterprises.

The jury is still out on long-term prospects for programmes sush as the Village Funds and One Tambon, One Product, but the Thaksin government has won some plaudits for its focus on a demand-driven recovery.

While Thailand's export performance began to pick up in the second half of the year, the outlook going forward is uncertain, especially if a US-led war on Iraq takes place, given the potential impact on the US and global economies.

The future success of Thailand's export-oriented sectors will lie in adding value to increase competitiveness.
Another recurring theme has been the challenge posed by China, which is now the world's leading exporter of a host of low-priced products.

But with challenges come oppotunities. China's entry into the World Trade Organisation has led to the opening of markets in the world's most populous nation, whose burgeoning consumer market Thailand is well positioned to serve.