Phayao: The president of the Thai Bankers’ Association has acknowledged the pressures on the economy stemming from the Thai-Cambodian border situation and tariff measures implemented by the Trump administration. Discussions are currently underway with key economic bodies to formulate new economic stimulus strategies expected to be ready within one month.
According to Thai News Agency, Mr. Payong Srivanich, President of the Thai Bankers’ Association, highlighted the challenges posed by the United States’ tariff strategies, which are aimed at influencing Thailand-Cambodia ceasefire negotiations. Despite these challenges, Mr. Srivanich noted a positive outcome for Thailand, with negotiated tariffs remaining below 36%. The negotiations, involving global powers like the United States and China, are intended to play a significant role in resolving ongoing tensions. Mr. Srivanich emphasized the importance of understanding the global context and integrating discussions to hopefully yield positive results for Thailand.
The Trump administration’s tariff measures are exerting considerable pressure on Thailand’s economic growth, necessitating vigilant monitoring due to their effects on supply chains, adjustments, dumping, imports, and employment. The Thai Bankers’ Association is actively collaborating with the Joint Standing Committee on Commerce, Industry, and Banking (JSCCIB), the Bank of Thailand (BOT), the National Economic and Social Development Council (NESDC), the Puey Ungphakorn Institute for Economic Research, and the Fiscal Policy Office (FPO). Their goal is to create both short-term and long-term measures to support a new economic model that facilitates comprehensive recovery across the supply chain. These discussions occur weekly and are aimed at developing solutions within a month.
Mr. Srivanich remarked on the complexity of the current situation, describing it as a “perfect storm” of issues that require innovative recovery strategies. He stressed the necessity of adapting to a competitive global environment, given the constraints of the country’s resources and the pressures from household and public debt, as well as the informal economy. He concluded by questioning how Thailand could remain competitive while adapting to new global trade rules and market dynamics.