Thailand's GDP grows 3.2% in 3Q16

But multiple headwinds loom for 4Q16.

Thailand's 3Q16 GDP grew 3.2%, vs 3.5% in the previous quarter. After seasonal adjustments, 3Q16 GDP expanded by 0.6% from 2Q16. In the first nine months, the Thai economy registered an average of 3.3% growth.

Maybank KimEng notes that this is below Bloomberg's expectation of 3.4%. However, on a YTD basis, it is still in line with BOT and NESDB’s expectation of 3.2%.

GDP growth in 3Q16 was underpinned by rising private consumption, public spending as well as a rise in the tourism sector.

Private consumption grew by 3.5% YoY in 3Q16, continuing momentum from 2Q16 of 3.8%. Meanwhile, public spending grew by 6.3% in 3Q16. However, the growth was lower vs the 11.9% in 2Q16. Finally, the services sector showed a strong growth of 14.7% in 3Q16, higher than growth of 12.6% in 2Q16.

Another key positive was that the agricultural sector saw growth rebounding to +0.9% YoY in 3Q16 vs - 1.2% in 2Q16 (after seven consecutive quarters of decline).

Looking ahead, Maybank KimEng sees multiple headwinds emerging that can affect 4Q16 and have a high risk of spilling into 1Q17, partly because of the dampening effect caused by the mourning on many economic activities; weaker tourism due to crack down of zero dollar tours and weak prices in a number of crops in the current harvest season.

The people you want to reach are already in this room.

Every quarter, SBR lands on the desks of the founders, CFOs, and directors running Asia's most consequential companies. Every day, they open our newsletter and read our website. It's a room that took twenty years to build — and it's the one most of our partners are trying to get into.

The good news is that the door is open. We work with companies on thought leadership articles, sponsored content, industry summits across Southeast Asia, regional awards programmes, podcasts, and media placements in print and digital. The shape of the right partnership depends on what you're trying to do, which is why we'd rather start with a conversation than send a rate card.

If you have something this room should know about, tell us. We'll tell you honestly whether we can help, and how.

No rate cards until we understand the brief. It's a better use of everyone's time.

Book a meeting

| Or download the media kit (PDF)

240,000 senior readers quarterly in print Top 1,700 Singapore companies reached

7 markets across Southeast Asia