It could take at least five years for the Thai economy to get through the current vicious cycle, says former central bank chairman Virabongsa Ramangkura. He said pessimism had scaled back hopes of a full rebound next year, with the Thai economy expected to make a U-shaped upturn.
"If it's a cycle, a slowdown period will take five years and a growth period will last five years," said Mr Virabongsa, also a former finance minister.
"During the slowdown duration, illusions that the economy is picking up emerge sometimes, but it grows a little bit before turning down again."
Dismal exports, low inflation and a slump in goods prices have taken a toll on the country's economy, and the current conditions could cause a shortfall in the Finance Ministry's revenue target.
The Asian Development Bank has painted a gloomier picture for next year, cutting its growth forecast to 2% from an earlier 4% -- well below the Bank of Thailand's 2016 forecast of 3.7%.
The Asian Development Bank has painted a gloomier picture for next year, cutting its growth forecast to 2% from an earlier 4% -- well below the Bank of Thailand's 2016 forecast of 3.7%.
Mr Virabongsa applauded Deputy Prime Minister Somkid Jatusripitak's economic stimulus measures as the right approach for coping with the economic situation but cautioned the stimulus effects could be short-lived. Mr...