In 2020, Thailand was the envy of the world for its deft handling of COVID-19. But this year, not so much, as the Delta variant surges and squashes hopes of recovery for the country’s usually buoyant tourist industry, which accounts for a large share of its economic activity. What are the realistic expectations for the Thai economy?
Thailand’s COVID-19 experience is not unique: lockdowns, closed borders, shuttered businesses, reduced exports, dropping property values—all adding up to a disastrous year. Tourism is a large component of Thailand’s economic prosperity, so its loss has hit hard. What do the country’s prospects look like as the pandemic grinds on worldwide, although not in Thailand, which combated the virus successfully? And what can it do to soften the economic blow?
Thailand, an emerging market economy, is recognized as Southeast Asia’s second-largest economy, with enviable growth over the years—however, its growth has slowed in 2019. Its export-led economy is feeling the pinch from the global economic slowdown, currency appreciation and trade squabbles between the world’s heavyweights. The new government of Thailand is committed to utilizing this captivating nation’s many attributes, keeping it at the forefront of the region’s innovation and investment.