"The Thai economy in January 2019 was mainly driven by domestic demand. Private consumption reflected from passenger car sales recorded highest growth in 5 months, in lines with the expansion of consumer confident index. Moreover, private investment reflected from cement sales turned to expand. For the external demand, export values declined. Apart from that, the supply side indicators showed positive signs from the number of foreign tourists, especially tourists from China grew highest in 7 months at 10.3 percent per year. Furthermore, capacity utilization rate (Cap U) recorded highest growth in 7 months and agricultural production index (API) continually increased."
Mr. Pornchai Thiraveja, Financial Policy Advisor as Spokesperson of the Fiscal Policy Office, and Mr. Pisit Puapan, Executive Director of Macroeconomic Policy Bureau as Deputy Spokesperson of the Fiscal Policy Office revealed the economic report in January 2019 that "The Thai economy in January 2019 was mainly driven by domestic demand. Private consumption reflected from passenger car sales recorded highest growth in 5 months, in lines with the expansion of consumer confident index. Moreover, private investment reflected from cement sales turned to expand. For the external demand, export values declined. Apart from that, the supply side indicators showed positive signs from the number of foreign tourists, especially tourists from China grew highest in 7 months at 10.3 percent per year. Furthermore, capacity utilization rate (Cap U) recorded highest growth in 7 months and agricultural production index (API) continually increased."
Economic indicators on private consumption expenditures in January 2019 continually rose as shown by passenger car sales recorded highest in 5 months, in lines with the expansion of consumer confident index.
Economic indicators on private investment in January 2019 showed expanding sign especially in equipment and machinery sector reflected from commercial car sales recorded the double-digit expansion of 17.3 percent per year. Moreover, cement sales grew by 5.5 percent per year.
For the fiscal sector, total government expenditure in January 2019 was amounted at 304.9 billion baht and annual budgetary expenditure was disbursed at 286.5 billion baht as a result of current expenditure which was disbursed at 256.4 billion baht, capital expenditure which was disbursed at 30.1 billion baht, and carry-over budget which was disbursed at 18.4 billion baht.
External demand as reflected by export values in January 2019 was 18.9 billion USD decreased by -5.7 percent per year. Meanwhile, import values were 23.1 billion USD recording strong growth of 14 percent per year due to temporary impact from military training equipment import. However, without this, import values would have grown at 3.7 percent per year. As a result, trade balance in January 2019 showed a deficit of 4.032 billion USD. Excluding temporary military training equipment import (which is a non-BOP transaction and to be reexported in the coming months), trade balance would record lower deficit at 1.9 billion USD.
Supply-side indicators showed positive sign from the number of foreign tourists, agricultural production index, and Thai industries sentiment index (TISI).
Internal economic stability remained favourable and external economic stability remained robust.
Number 12 /2019
27 February 2019
Source: Fiscal Policy Office / www.fpo.go.th