Despite buoyant growth during the first six months, Thailand's economy is projected to expand at a slower pace in the second half mainly because of external headwinds, says Credit Suisse Securities Thailand. Based on the forecast of the National Economic and Social Development Board (NESDB) of 4.5% economic growth this year, growth in the second half should be 4.2% after the 4.8% showing in the first half, according to the Bank of Thailand. The NESDB in August reported economic growth of 4.6% for the three months to June and 4.8% for the first half. Despite having strong fundamentals among emerging market peers, Thai stocks are given an underweight outlook because of their high valuations, according to Credit Suisse Securities Thailand. For other alternative investment assets such as fixed income, Credit Suisse Securities Thailand views that the government bond yield is likely to rise further given steady economic growth and some signs indicating higher inflation.

Source: Bangkok Post September 10, 2018 23:48 UTC