Thanks to its longstanding record of prudent macroeconomic management, Thailand entered the Covid-19 pandemic from a position of strength. Ample fiscal space allowed the authorities to swiftly deploy a bold package of policy support that, together with the rapid rollout of vaccines, helped cushion the impact of the pandemic.
The economic recovery that began in 2021 has taken hold with the elimination of travel restrictions and a rebound in private consumption. While the near-term outlook continues to be uncertain given the persistent weakness in external demand, overall growth is projected to accelerate in 2023 as tourism, including from China, continues to recover.
