BANGKOK, April 15 (TNA) — The Thai Bankers’ Association predicted that economic damage to result from the coronavirus disease 2019 (COVID-19) might amount to 1.3 trillion baht if the pandemic is not prolonged.
TBA chairman Predee Daochai announced the prediction and said that the 1.3-trillion-baht damage was equivalent to 7.7% of the gross domestic product of Thailand and close to damage from the economic recession in 1997. Damage in the tourism sector alone was estimated at 1.1 trillion baht, he said.
Mr Predee warned that the damage could be worse unless the COVID-19 pandemic is contained within the second quarter of this year.
Unlike the 1997 crisis, he said, the government offered quick and considerable assistance to support the economy. Measures of assistance were aimed at containing the disease, helping more patients and supporting people plagued with financial problems. The government hurriedly borrowed 1 trillion baht and rearranged budgets earlier allocated to ministries to implement the measures, Mr Predee said.
“I am confident that monetary and fiscal action by the government should limit the recession of the Thai economy this year and prevent it from becoming a worst crisis. Although situations will eventually depend on when the COVID-19 pandemic will end, I believe that the Thai government still has adequately more resources to shore up the economy through this crisis,” Mr Predee said.
He also said that third-phase economic rehabilitation measures with the planned spending of 1.9 trillion baht was important and extremely necessary. (END)
