The IMF expects Thailand’s economy to grow by 3.7% in 2023

Thailand’s economy is expected to grow 3.7% next year, more than the 2.7% forecast by the International Monetary Fund for the global average.

According to IMF forecasts, most APEC countries’ economies are shrinking. In addition, one in three economies worldwide is said to be in recession.

World GDP is projected to grow by only 2.7% in 2023, compared to 3.2% growth this year.

The pandemic has caused a permanent loss of economic output equivalent to 5.3% of global GDP. In Asia, a highly integrated region, it was even higher, with a loss of 9% of GDP. In addition, the war in Ukraine caused a major shock in energy prices.

Kristalina Georgieva, Executive Director of the IMF

Global Economy and APEC are slowing down

The IMF predicts that global growth will slow to 2.7% in 2023. At least one-third of the world’s population will face recession, and most APEC countries are experiencing a slowdown. The three main drivers of the global economy, the US, China and Europe, are slowing at the same time, which is hitting emerging market exports.

The current situation is particularly difficult for emerging markets because, on top of everything else, they are adversely affected by the tightening measures taken by central banks in developed countries. Borrowing rates rose and currencies lost value.

At the same time, climate threats are also increasing. This year, for the first time, climate shocks were felt across all continents, with the Asia-Pacific region suffering disproportionately. This area has accounted for 36% of all climate-related disasters since 1989.