Fiscal Policy Office slashes GDP forecast for 2019 from 3% to 2.8%

14 Sept 02:14 Key points summarised by AI

The Fiscal Policy Office (FPO) reduced Thailand's 2019 GDP growth forecast to 2.8% from 3%, primarily blaming external factors like the US-China trade war, which severely impacted Thai exports, now projected to shrink by 2.5%.
Despite the downward revision, government stimulus packages, such as 'Chim-Shop-Chai,' are anticipated to elevate second-half growth to 3.1%, mitigating the weaker performance of the first half.
While 2019 tourism figures were slightly adjusted, the sector remains robust, with a healthy 7.2% increase in arrivals for Q3 and a positive 2020 outlook forecasting 41.5 million tourists and an overall GDP growth of 3.3%.

Speculation growing over merger between Bhumjaithai and Kla Tham parties

Yesterday 16:46 Key points summarised by AI

A dinner between Bhumjaithai and Kla Tham party leaders sparked rumors of a potential merger, though Bhumjaithai's leader, Anutin, downplayed it as a casual meal.
The meeting is widely interpreted as a strategic message from Bhumjaithai to the Pheu Thai party, signaling alternative support ahead of an upcoming no-confidence debate.
Thailand's Constitution (Section 99) currently prohibits direct mergers of parties with sitting MPs during the House's term, a rule designed to prevent the 'buying and selling' of MPs.
While direct mergers are restricted, MPs can still switch parties if dismissed by a three-fourths party vote or if their party dissolves, allowing for indirect political realignments.
Kla Tham's voting behavior in the censure debate will demonstrate its loyalty to the government, potentially influencing future political dynamics despite current merger restrictions.