The first meeting of economic ministers slated for Monday will focus on discussions for new measures to stimulate the economy, says Deputy Finance Minister Julapun Amornvivat.
He said the first meeting of the government’s economic ministers will include officials from all economic-related ministries, with stimulus measures being one of the agenda items.
Mr Julapun said the Finance Ministry already prepared its plans for presentation at the meeting, and other departments are also likely prepared.
“Although the economic growth figures for the first quarter this year are better than many expected, they are still the lowest in Southeast Asia. Therefore, new measures to stimulate the economy are necessary,” he said.
The first-quarter economic figures were recently released by the National Economic and Social Development Council (NESDC), revealing the export and industrial sectors contracted, while delays to fiscal 2024 budget disbursement hampered growth.
However, the service and tourism sectors helped to shore up the economy.
Mr Julapun said he believes the economic figures for the second quarter will improve based on the Songkran festival, which the government promoted to increase tourism.
The NESDC announced the Thai economy grew by 1.5% in the first quarter year-on-year.
The economy grew by 1.1% in the first quarter compared with the fourth quarter of 2023, which posted a 0.4% contraction against the third quarter of last year.
The economy avoided a contraction for two consecutive quarters, which is sometimes deemed a technical recession, said the government’s planning unit.
The NESDC downgraded its GDP growth outlook to 2.5% for this year, dipping from 2.7%, attributed to potential risks from the US-China trade war.
The planning unit also trimmed its forecast for the country’s exports in US dollar terms to 2% growth for the entire year, down from 2.9% forecast in February.
Shipments in the first quarter of this year shrank by 2% year-on-year.