In the second quarter, the Thai economy decelerated slightly over the first quarter. While government spending improved in Q2, private consumption and fixed investment remained sluggish due to weak sentiment. Manufacturing production contracted for the fourth consecutive month in June and consumer confidence plummeted to a 14-month low in July. The baht depreciated sharply in August over concerns that the unprecedented bombing in Bangkok will affect the tourism sector, which is vital to the economy. Adding to that, the recent devaluation of the Chinese yuan is expected to weigh on Thai exports this year, thus becoming a drag on growth. On 19 August, Prime Minister Prayuth Chan-o-cha reshuffled his cabinet as pressure is increasing to revive an economy hit by a decline in manufacturing and plummeting exports.