Thailand Cuts 2025 GDP Growth Forecast to 2.2%

Thailand’s Finance Ministry expects the economy to grow by 2.2% in 2025, slower than an earlier estimate of 2.4% and easing from 2.5% in 2024, due to moderating exports and domestic demand, said Vinit Visessuvanapoom, head of the ministry’s Fiscal Policy Office, at a press conference, according to Reuters. Meanwhile, GDP growth is forecast to remain at 2.0% this year, with exports expected to rise 1.0%, compared with an earlier forecast of a 1.5% decline. The central bank has forecast economic growth of 1.5% in 2026. Thailand’s economy has been struggling with US tariffs, an appreciating baht, high household debt, border tensions with Cambodia, and political uncertainty ahead of elections in early February. The baht has gained about 1.4% against the dollar so far this year, following a 9% rise in 2025, threatening the competitiveness of the export and tourism sectors.