Thailand’s economy is strengthening on the back of resilient private demand, continued recovery in tourism, and accelerated government disbursement. Growth is expected to strengthen to 2.8 percent in 2024 and to 3.3 percent in 2025. However, the economy is at risk of continued growth underperformance unless there is a marked improvement in the implementation and execution of structural reforms and development plans.

Over the longer term, Thailand faces challenges in reversing the persistent decline in growth potential. This necessitates growth-enhancing structural transformation and reforms across all sectors of the economy, while carefully managing fiscal and monetary policies within tightening constraints.