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Thailand GDP Growth Slows to 1.9% in Q2, Beats Forecast

Thailand’s economy expanded faster than expected in the second quarter, although growth slowed considerably from the previous period.

GDP increased 1.9% year-over-year in Q2, beating the 1.7% market forecast but easing from 2.8% growth in the previous quarter.
Thailand's central bank left its benchmark interest rate unchanged at 1.00%, matching market expectations and the previous rate.
Thailand’s economy grew 2.8% year over year in the first quarter, beating expectations of 2.2% and accelerating from the previous 2.5% growth rate.
Thailand Current Account posted a surplus of 2.1B in February, improving significantly from 0.7B previously.

Trade Account also returned to surplus at 0.60B, compared to a prior deficit of -0.70B.
Thailand’s consumer confidence index rose to 53.7 in February from 52.8 in the previous month, indicating a modest improvement in household sentiment and expectations about economic conditions.
Thailand’s inflation remained in negative territory in February, indicating continued deflationary pressure.

Headline CPI fell 0.88% year-on-year, worse than the expected −0.50% and deeper than the previous −0.66%. Meanwhile, core CPI, which excludes volatile food and energy prices, rose 0.56% YoY, slightly above the forecast of 0.50% but below the prior 0.60%.
Thailand recorded a trade deficit of THB 0.70 billion in January, reversing from a THB 2.70 billion surplus previously, indicating a deterioration in external trade conditions at the start of the year.
Thailand’s industrial production rose 1.46% year-on-year in January, slowing from the previous 2.52% increase.
Thailand’s central bank cut its policy rate to 1.00% from 1.25%, below the 1.25% forecast, signaling a shift toward monetary easing.
Thailand’s trade balance swung sharply deeper into deficit in January, according to customs-based data.

The country posted a trade deficit of $3.3 billion in January, widening significantly from a $0.35 billion deficit in the previous month.