THE swearing-in of a new government in Thailand on Sep 5 marked a positive step for the country’s economy – it ensures that the nation will move forward in a good direction and is set to help enhance investor confidence and boost foreign direct investment (FDI).
However, succeeding in the current regional and global macro-economic environment comes with challenges. Geopolitical tensions, slowing growth in China, and the end of ultra-low interest rates in some of the world’s largest economies are just some of the factors that will weigh on Thailand’s prospects.
It is therefore heartening that Thailand’s new government has a multi-pronged strategy for overcoming these challenges and achieving sustainable growth, bolstered by the country’s already-strong position economically.
First, with a GDP of US$535 billion in 2022, Thailand is one of the leading players in the 10-member Association of Southeast Asian Nations (Asean) bloc.
The country is strategically located in a fast-growing region with excellent infrastructure, strong logistics (Thailand is currently ranked second in the Asean Logistics Performance Index) and widespread digital connectivity.
To effectively leverage Thailand’s numerous advantages and enable businesses to unlock greater opportunities in Asean, collaborating with partners that have a wide network and understand the region well is critical.
