Thai 2010 GDP revised to 5-6 percent

The Fiscal Policy Office at the Thai Ministry of Finance has revised its 2010 economic growth projection from 4-5 per cent to 5-6 per cent year-on year on the back of substantial expansion in the country’s exports, FPO director Sathit Rangkasiri said on Tuesday morning.

Mr. Sathit said the revision of the economic growth figures was based on the sharp gross domestic product (GDP) expansion of 12 percent in the first quarter of the year. The faster than expected recovery in the global economy, especially the country’s trade partners, had helped boost Thai exports, he told the Bangkok Post.

In addition, internal spending, including domestic consumption and private investment, had significantly increased when compared to last year, he said.

The director said his office also adjusted its targeted inflation rate for this year from 4 per cent to 3.5 per cent as the government has extended the cost of living relief measures for low-income earners.

The FPO expected GDP would expand about 5.6 per cent in the second quarter of the year.