That’s the view of economists that Bloomberg surveyed after Srettha Thavisin’s election as prime minister on Wednesday. They agree that the end to the months-long political impasse will help revive public spending and support gross domestic product growth, but the new leader will have to contend with other challenges that are beyond his control.
“We still maintain our cautious view on the economy, forecasting GDP growth at 2.7% in 2023, amid multiple headwinds to growth ranging from China’s slowdown, intensifying drought to budget delay” Maintains that the Bank of Thailand’s hiking cycle is already over after 175 basis-points of increases, and sees limited scope for further increase given signs of economic slowdown and a continued drop in core inflation rate“In the short run, it should help to kick start both public and private investment.