We maintain our stable outlook on Thai commercial banks, despite the pressure on profitability and asset quality amid the economic headwinds induced by successive outbreaks of Covid-19.
Tough times continue
published : 22 Jul 2021 at 04:00
Tris Rating has revised its forecast of Thailand s 2021 real gross domestic product (GDP) growth downward to 1.0%, from a February forecast of 2.6%, mainly due to the severity of economic fallout from the third wave of the Covid-19 outbreak.
The country s overstretched public health system and slow progress of vaccine rollout will likely cause further delays in the revival of the country s tourism industry and the overall economy. We project real GDP growth in 2022 will be in the range of 3.0% to 3.5%, with any return to pre-Covid levels unlikely before the third quarter of 2023.
The new wave of the Covid outbreak has exacerbated already weak domestic private consumption. While government financial relief measures should alleviate falling consumption to some extent, the surge of new infections and a drawn-out timeline for containing the spread of the virus continue to aggravate the unhealed econom
As more major corporates move towards green investment, the issuance of environmental, social and corporate governance (ESG) bonds is expected to reach 100 billion baht this year, roughly 20% growth from 2020, says Ariya Tiranaprakit, executive vice-president of the Thai Bond Market Association (TBMA).
Thai exports is slow as the world’s major economies continue to struggle with sharp increases in domestic virus infections. - Reuters
BANGKOK (The Nation/ANN): Thai businesses were coping with the sharp declines in revenue by aggressively cutting costs, stockpiling cash, and delaying capital expenditures in anticipation of a tough time ahead, according to TRIS Rating on Thursday (Feb 18).
For its latest economic outlook, the credit-ratings agency assessed three key aspects governing Thailand’s recovery – pace of recovery, debt levels, and liquidity.
The recovery paths for most businesses in the manufacturing sector started in the third quarter of 2020, it said.