InfoQuest (April 9, 2019) -- Mr. Apisak Tantivorawong, minister of financeof Thailand said that although the survey result of Consumer Confidence Index (CCI) of March 2019 released by the University of the Thai Chamber of Commerce (UTCC) showed the first drop of CCI in three months, he still believed that the overall consumption of private sector in the first and second quarters is sound, which should be attributed to theelection campaign. But a worrying issue is private investment. From the conversation with foreign investors in April, the minister learned that most of them have postponed their investmentin Thailand, to wait for the official result of the election held last month.
"What concerns me is private investment. From survey and my conversation with many parties, I have learned that many from foreign private sector decided to wait for the time when Thai political situations are clear; as for Thai private sector, they know well the political situations of Thailand, and will continue their investment when decisions are made," said the minister of finance.
He also noted that when political situations are unclear, it is foreseeable to see investment slowdown of private sector. Therefore, at least for the upcoming1-2 months, the government should take measures to stimulate investment in infrastructure, to help offset sluggish private investment and ensure the sustained growth of Thai economy.
"We must work hard to push for the signing of infrastructure project contracts, to ensure the continuity of government investment. We do not know how long it will take before foreign investors make new investment, but we estimate that it will be at least 1-2 months. We should balance the situation by using government investment. We are duty-bound to gear the economy onto a road of stable growthbecause another economic slowdown is the last thing we want to see. When that happens, we need a great deal of resources to realize recovery while providing necessary support immediately requires less resources,"added the minister of finance.
Source: InfoQuest, by Kasamarporn Kittisamphan/ Rachada, translated by Xinhua Silk Road
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