by Daryl Lum | Feb 19, 2024 | News
Official data released on Monday indicates that the Thai economy experienced a 1.9% expansion in 2023, marking a deceleration from the revised 2.5% growth observed in the preceding year. This downturn is attributed to lackluster exports.
According to the National Economic and Social Development Council (NESDC), a government agency, the gross domestic product for the October-December quarter exhibited a 1.7% increase from the previous year. This surpassed the 1.5% growth witnessed in the July-September quarter, with robust tourism and heightened consumption being the contributing factors.
A recent economist poll by Reuters had initially projected a 2.4% growth for the entire year and 2.5% for the fourth quarter. In contrast, the NESDC had projected a 2.5% growth for the full year in November.
The underwhelming performance of the Thai economy in the past year underscores the impact of weak global demand on export-oriented economies in Southeast Asia. Malaysia, Singapore, and Vietnam all recorded slower growth in their annual GDP figures, attributed to the global economic slowdown, central banks’ monetary tightening, and a downturn in China, the primary trade partner for many countries in the region.
Looking ahead to 2024, the NESDC downgraded its forecast, anticipating the economy to grow between 2.2% and 3.2%, compared to the previous projection of 2.7% to 3.7%. This contrasts with private sector economists’ recent projections ranging between 3.6% and 4.1% for the year. They attribute the anticipated acceleration to an improved export outlook, increased household consumption, and augmented government spending. Foreign tourist numbers are also expected to contribute to the growth.
Enrico Tanuwidjaja, an economist at UOB’s research center, stated, “The 2024 growth would be supported by a sustained rebound in foreign demand for Thai goods and services, resilient private consumption, and fiscal stimulus driven by political and macroeconomic stability.” However, he cautioned that geopolitical conflicts, a more abrupt-than-expected global economic slowdown, and uncertainties surrounding China’s economic recovery could potentially derail the projected recovery.
![[ANNOUNCEMENT] The Invest Bangkok Property WhatsApp Community](https://investbangkokproperty.com/wp-content/uploads/2024/02/ibpwhatsappcommunity-1080x675.png)
by Daryl Lum | Feb 2, 2024 | News
Dear all,
We have started to use communities to disseminate messages. This will allow us to get announcements out to clients more efficiently. We need to harness the use of WhatsApp communities as our client list has grown to a size where we are unable to keep up with sending announcements to individual chats.
The WhatsApp community which we have set up will keep your number private. Only the admins, who are the team from Invest Bangkok Property, will be able to see your contact number. Other members of the community will not be able to see your contact number and similarly, you will not be able to see other members’ contact numbers.
Examples of the types of announcements which will be sent out in the community are as such:
1) Bangkok property news
2) Announcements like changes to any property-related rulings (for example, changes to property taxes and rulings like Thailand’s recent new ruling on foreign income remitted to Thailand by Thai citizens and foreign residents.)
3) Reminders to file notices and property and income taxes
4) New property launches and any good deals on the secondary market
If you see any announcement that you would like to know more about, you can contact any of the Community Admins through private messaging. The Community Admins list is located in Community Info. You can also contact the Invest Bangkok Property team via any group chat that you are in.
We will be shifting clients to the Invest Bangkok Property Community. If we have a WhatsApp group chat with you, we will still maintain that so that if you have any queries, you can message the team directly.
You can alternatively click this link to join the Invest Bangkok Property WhatsApp Community: https://chat.whatsapp.com/F17ESZNmLYtILCBxVEgb1V
We welcome others to join the Invest Bangkok Property WhatsApp Community as well.
Do visit and subscribe to our YouTube Channel at https://www.youtube.com/@InvestBangkokProperty.
Yours sincerely,
The client relations team at IBP Real Estate Co., Ltd.
by Daryl Lum | Jan 25, 2024 | News
The real estate landscape in Bangkok is witnessing a notable shift in condominium prices. Lower Sukhumvit has emerged as the focal point of a substantial surge in prices, contributing to the overall upward trajectory in the city. In contrast, neighboring provinces are grappling with a decline in prices, primarily attributed to an excess of unsold units.
Vichai Viratkapan, the acting director-general of the Real Estate Information Center (REIC), recently highlighted a consistent year-on-year increase in the price index of new condominium units in Bangkok. This trend has persisted over the past four quarters, commencing in the first quarter of 2023. According to Viratkapan, the condo price index in Bangkok is unequivocally on an upward trend, with lower Sukhumvit leading the way in the 7.51-10 million baht per unit price range.
Beyond lower Sukhumvit, other areas such as Thon Buri and the Lat Phrao-Wang Thong Lang-Bang Kapi zone have experienced notable increases, specifically in the 3.01-5 million baht price range.
In the Greater Bangkok region, which encompasses Bangkok, Nonthaburi, and Samut Prakarn, the price index for new condo units saw a 2.7% rise to 154.3 in the fourth quarter of 2023 compared to the same period in 2022. The primary impetus behind this increase was the 3.5% rise in the price index within Bangkok, reaching 157.3. However, it’s worth noting a marginal 0.5% decrease from the third quarter, attributed to a strategic decline in response to developers implementing year-end sales campaigns.
Viratkapan also pointed out a consistent year-on-year decline in the price index of condo units in Bangkok’s neighboring provinces, Samut Prakan and Nonthaburi. This decline, observed over five consecutive quarters since the fourth quarter of 2022, is largely attributed to a surplus of unsold units from projects initiated before 2021. The maintenance of construction costs based on earlier material and labor rates prompted developers to respond with discounts and campaigns, constituting 71.5% of the sales strategy in the fourth quarter of 2023.
According to REIS, the condo price index in Samut Prakan and Nonthaburi for the fourth quarter of 2023 was 141.2, reflecting a 0.9% year-on-year decrease and a 0.2% decrease from the third quarter of 2023.
In conclusion, Viratkapan highlighted, “The condo price index in these two provinces continues to decline due to consecutive year-on-year decreases over five quarters, from the fourth quarter of 2021 to the fourth quarter of 2022.” Notably, Muang Samut Prakan-Phra Pradaeng-Phra Samut Chedi, Muang Nonthaburi-Pak Kret, and the Bang Phli-Bang Bo-Bang Sao Thing zone have witnessed the most significant decreases, characterized by high competition and a notable inventory of unsold units in the 1.01-1.5 million baht, 2.01-3 million baht, and 2.01-3 million baht price ranges, respectively.
(Source: Bangkok Post)
by Daryl Lum | Jan 5, 2024 | News
Thailand is poised to achieve its target of welcoming 28 million foreign tourists in 2023, with a notable increase in visitors from neighboring Malaysia compensating for a sluggish recovery in the Chinese market, which was the primary source of inbound travellers before the onset of the Covid-19 pandemic.
Year-to-date, total arrivals have surpassed 25 million, with the number of Malaysian travellers more than doubling compared to last year, reaching four million, as reported by the Ministry of Tourism and Sports. Although approximately 3.1 million Chinese holidaymakers have visited Thailand this year, securing the second position and demonstrating growth from 273,567 in 2022, this year’s figure is anticipated to fall short of the official target of four million to 4.4 million, according to available data.
The Tourism Authority of Thailand envisions a continued recovery with 35 million visitors expected next year, including 8.2 million from China.
However, achieving this target appears ambitious in light of this year’s disappointing Chinese tourist numbers, as noted by Krungsri Securities. Instead, total tourist arrivals are projected to reach 33 million in 2024, attributed to a slower increase in Chinese visitors amid economic challenges in their home country, according to analyst Sirilak Konwai’s report.
Thailand’s Prime Minister Srettha Thavisin is banking on tourism to drive the nation’s economic growth, given that the sector contributes about 12 per cent to the gross domestic product and nearly a fifth of the jobs. The government has implemented temporary visa waivers for travellers from China, Russia, Kazakhstan, India, and Taiwan. Additionally, airlines have been instructed to expand routes and airport operations have been streamlined to reduce waiting times for visitors.
In 2019, the country witnessed a record influx of foreign arrivals, reaching almost 40 million, generating 1.91 trillion baht (S$72.9 billion) in revenue. During that year, each tourist spent an average of 47,895 baht during their nine-day trip, according to official data. This year, Thailand has generated 1.07 trillion baht from tourism.
(Source: Yahoo)
by Daryl Lum | Jan 2, 2024 | News
Thailand and China are set to establish a permanent visa waiver for each other’s citizens starting in March, as announced by Thai Prime Minister Srettha Thavisin on Tuesday (Jan 2).
As the second-largest economy in Southeast Asia, heavily reliant on tourism, Thailand had previously lifted entry requirements for Chinese tourists until February of the current year. Prime Minister Srettha highlighted that this move will strengthen the bilateral relationship between the two nations.
China’s Ministry of Foreign Affairs stated that both countries are intensifying people-to-people exchanges through the reciprocal exemption of visa requirements. Ministry spokesperson Wang Wenbin conveyed during a regular briefing that authorities from both sides are in close communication, eagerly anticipating the implementation of the agreed-upon arrangement.
In 2023, Thailand surpassed its target by welcoming 28 million foreign tourists, generating a revenue of 1.2 trillion baht (US$34.93 billion), according to government data. Malaysia was the primary source market with 4.5 million visitors, followed by 3.5 million arrivals from China. This performance, although slightly below the pre-COVID record of 39 million arrivals with 11 million from China, underscores the significance of international tourism for Thailand’s economy.
by Willie Tan | Nov 27, 2023 | News
Driven by a desire for his sons’ return, PM Srettha aims to amplify the government’s broader agenda for a prosperous Thailand.
His appeal to his sons abroad serves as a heartfelt connection underlying a larger mission. This personal approach intends to resonate with Thai expatriates globally, fostering a collective aspiration to reconnect with their home country.
During a formal address to the Thai community in the United States, the 61-year-old Prime Minister outlined a roadmap to entice skilled professionals back to Thailand. Central to this strategy is the Land Bridge, a significant project connecting Ranong province to Chumphon. PM Srettha views this infrastructural endeavor not only as a physical link but as a means of economic revival.
The Land Bridge initiative is envisioned as a catalyst, propelling Thailand into a new era of economic prosperity. It promises not just infrastructure development but also an improved quality of life, making the idea of returning more appealing for skilled expatriates.
The Bangkok-born PM emphasized the government’s steadfast dedication to enhancing Thailand’s global standing, citing significant projects like the Land Bridge as evidence of the nation’s commitment to international competition, as reported by Thailand Business News.
Furthermore, PM Srettha highlighted Thailand’s commitment to addressing global challenges during the APEC Economic Leaders’ Retreat. This includes a focus on multilateralism, climate change initiatives, and the promotion of the Bio-circular and Green (BCG) Economy. This commitment signifies not only economic progress but also a dedication to a sustainable and environmentally friendly future.
In related news, the PM engaged with Thai students at Stanford University, encouraging them to consider returning to work in Thailand. He expressed optimism about leading companies investing in the nation and offering employment opportunities in the future.
“In the upcoming period, the establishment and expansion of reputable businesses in Thailand would facilitate the return of students residing overseas, presenting distinct advantages. The recent visit to Stanford University, renowned globally for its academic excellence, aimed to underscore the government’s earnest commitment to catalyse substantial investments.
“This endeavor intends to generate employment prospects, encouraging Thai students abroad to come back and play a pivotal role in the nation, thus securing a brighter future for Thailand.
“The government’s role is to instill in students the promising prospects Thailand offers. We endeavor to comprehend and persuade students studying abroad to consider returning to contribute to Thailand’s workforce. Should numerous reputable companies choose to establish and expand their operations in Thailand in the near future, it would encourage the return of students residing abroad, resulting in advantageous outcomes.”
The prime minister’s visit to Stanford University aimed to emphasize the government’s authentic commitment to fostering substantial investments, consequently creating job opportunities for Thai students abroad, as reported by Sanook.
“We aim to demonstrate that this government genuinely seeks to encourage substantial investments that will provide job opportunities for Thai students abroad, enabling them to return and play a crucial role in the nation, ensuring a more promising future in Thailand.”
