Thailand expected to lag East Asia in growth

[buksida]

Thailand's economic growth is expected to be the lowest in East Asia this year and next, according to the World Bank.

If the prediction comes true, this would be the third year that the country lagged its regional peers in growth, a trend that started in 2005.

The World Bank estimated growth this year at 4.3%, rising to 4.6% in 2008. In contrast, Indonesia was projected to grow by 6.3% this year and 6.4% next year, Malaysia 5.7% and 5.9%, and the Philippines 6.7% and 6.2%.

Milan Brahmbhatt, lead economist for East Asia and Pacific, said Thailand's domestic demand had been relatively weaker than other regional countries because of political uncertainties and high dependence on oil.

Meanwhile, Singapore and South Korea will likely see growth exceeding 8% for two years in a row in 2007.

Domestic demand among East Asian economies will likely strengthen next year, while exports moderate as a result of the economic slowdown in the United States.

Full Story: Bangkok Post

Thought: A democratically elected government that does not clamp down on foreign investment would help.

[sargeant]

Somebody needs to explain why if the above is correct (and i believe it is ) what the hell is keeping the baht so strong

[lomuamart]

The Baht isn't strong, is it? Must admit that I havn't checked for all of three days or so, but I was consistently getting around 69 to the pound.
Ok, it's not over 70, but it's better than a median point of 65 that I always worked to a year ago.