18 Feb, 2020

Font size -16+

[vc_row][vc_column width=”1/2″][vc_column_text]

Thailand

Thailand was the 25th largest economy by nominal GDP in 2018 and the second-largest in South-East Asia. GDP per capita was $7,274 USD. Despite regular political instability, Thailand has enjoyed strong economic growth and social development over the past 40 years. Trade was 123 percent of GDP in 2018. It was ranked 65th in the World Bank's Human Capital Index and 32nd in the Economic Complexity Index in 2017. It is a member of ASEAN. Services accounted for 56.9 percent of GDP in 2018, followed by manufacturing (26.9 percent), and agriculture (8.1 percent). The largest export sectors in 2017 were services (24.2 percent), machinery (16.85 percent), electronics (15.14 percent), chemical (12 percent), and agriculture (11.16 percent). The largest export products were travel and tourism (18.2 percent), parts and accessories for office machines (6.3 percent), and electronic integrated circuits (4.11 percent). Its largest export partners were China (16.7 percent), the USA (12.95 percent), and Japan (9.12 percent). The largest import goods are electronic integrated circuits (4.9 percent), gold (4.62 percent), and parts of motor vehicles (3.4 percent). The ruling Chakri dynasty began to rule in 1782 and established Bangkok as their capital. Thailand began to modernise in the 19th century as they sought to prevent colonialism. However, rice would continue to dominate exports and the economy up until the 1960s. In 1932, a bloodless coup established a constitutional monarchy with parliamentary democracy. Japan occupied Thailand during WW2. In 1947, the military took power and stayed in power until 1973. Since then civilian rule has been punctuated by several military coups. The last coup was in 2014. The economy grew rapidly in the 1980s and 1990s. FDI was encouraged, manufacturing increased, and tourism was developed in Phuket. Manufacturing was initially focused on labour-intensive products such as textiles but by the late 1980s, manufacturing switched to medium and high-tech products. In 1997, the economy was devastated by the Asian Financial crisis, which was triggered by speculation against the Thai currency (the Baht) and the subsequent removal of its US dollar peg. In the 2000s, the economy grew slowly, hampered by political instability and protests. Since 2014, growth has started to improve. Poverty has fallen from 60 percent in 1990 to 7 percent in 2018.