S&P maintains Thailand’s BBB+ rating

Thailand’s fiscal position is still solid and its economy has a stable outlook despite stress factors caused by the coronavirus pandemic, according to Standard & Poor’s (S&P) Global Ratings.

In publishing its report on Thailand, S&P said that it awarded the Kingdom a positive credit rating and economic outlook because of its strong finance and foreign currency parameters, despite the global economic doldrums caused by COVID-19.

That was good news for the government of Prime Minister Prayut Chan-o-cha. The administration has delivered economic relief to businesses and people throughout the pandemic.

“The economic outlook for Thailand by S&P has reflected the truth that the government is now on the right track in its efforts to revive the economy and boost confidence among local and foreign investors about the future of Thailand’s economy,” said Thanakorn Wangboonkongchana, a government spokesman.

“S&P believes that Thailand will be able to raise revenues and lower budget deficits later when its economy has recovered from the pandemic,” said Patricia Mongkhonvanit, Director-General of the Public Debt Management Office (PDMO).

A variety of institutions and analysts, including S&P, are forecasting weak growth of just 1.1 percent this year, with the rate increasing to about 3.6 percent per year for the next two or three years.

Photo courtesy of: https://www.spglobal.com/ratings/en/