Fiscal stimulus should target the middle class and salaried workers as they are not as affected by the flagging economy and their purchasing power remains resilient, says the head of Krungsri Research. Without the stimulus packages, the economic slowdown will be aggravated, resulting in lower tax revenue and a higher budget deficit, said Mr Somprawin. Krungsri Research downgraded Thailand's 2019 economic growth outlook to 2.4% from 2.9% previously and forecasts 2.5% growth in 2020. Fresh economic stimulus measures must be unveiled at the right time and hit the right target, he said. The forecast of 2.5% growth in 2020 assumes the country's customs-cleared exports in dollar terms will reverse course to expand 1.5%.

Source: Bangkok Post December 03, 2019 23:31 UTC