BANGKOK, April 2 (TNA) – World Bank predicts Thailand’s
economy to contract 3-5 percent this year due to the impacts of the coronavirus
pandemic.
The Covid-19 crisis had affected Thailand’s main economic
engine – exports and tourism – that could cause the economy to shrink by 3-5
percent, Birgit Hansl, the World Bank Country Manager for Thailand, said on
Thursday.
Developing countries in East Asia and the Pacific that were
recovering from trade tensions now faced with the pressure from the crisis
could lead to a 0.5 percent contraction of Southeast Asian economies, she said.
Covid-19 pandemic would potentially lead to an economic
shock, undermining the attempts to eradicate poverty in the region, she
said. The World Bank estimated 11
million more people would be pushed into poverty, said Hansl.
Earlier last week, the Bank of Thailand (BOT) forecast the
economy to shrink by 5.3% this year, the first contraction since the 2008
global financial crisis. Prior to the
coronavirus pandemic, the BOT predicted 2.8 percent economic growth for 2020.
Hansl said the World Bank recommended an urgent investment
on long-term public health service. (TNA)
