In 2017, EIC sees the Thai economy expanding by 3.3% driven mainly by private demand recovery.
Pressure on household purchasing power will be lifted partially after loans from the first-car rebate scheme are paid off and higher household incomes due to additional deductions on personal income tax. Private investment is also likely to recover thanks to an expansion in service sector investment and clearer signals regarding public infrastructure mega projects. The public investment and tourism sectors that have been supporting the Thai economy are also projected to continue their high growth rates. Exports will improve only slightly as exports of consumer goods pick up and export prices rise with global oil prices.