Thailand Economy Expands 2% QoQ in Q1



Thailand's economy advanced 2 percent quarter-on-quarter in the March quarter of 2018, following a 0.5 percent growth in the previous period and easily beating market consensus of a 1.05 percent expansion. It is the strongest quarterly growth since the fourth quarter 2012, mainly supported by faster rises in private consumption and fixed investment.

On the expenditure side, private consumption increased at a stronger 1.3 percent (from 0.8 percent in the December quarter. Also, gross fixed capital formation expanded by 2.8 percent, faster than a 2.3 percent rise in the prior quarter. On the other hand, goverment spending contracted 0.1 percent, after a 4.7 percent growth in Q4. Meantime, net external demand contributed negatively to growth, as exports of goods and services went up 1 percent (from 1.2 percent in the preceding quarter), while imports rose by 3 percent, the same as in the December quarter.

On the production side, manufacturing sector grew by 0.3 percent, faster than a 0.1 percent rise in the preceding quarter. At the same time, agriculture sector expanded 11.6 percent, rebounding sharply from a 7 percent decline in the prior three month-period. Meanwhile, wholesale and retail trade; repair of motor grew by 1.5 percent (from 2.1 percent). On the other hand, financial intermediation shrank 0.4 percent, following a 1.2 percent rise in the prior quarter.

Year-on-year, the country's GDP grew by 4.8 percent from a year earlier, above estimates of a 4 percent expansion and after a 4 percent growth in the December quarter. It is the strongest pace of expansion since the March quarter 2013.

Thailand Economy Expands 2% QoQ in Q1


NESDB l Rida | rida@tradingeconomics.com
5/21/2018 4:21:27 AM