Paetongtarn confident in government’s ability to achieve 3-3.5% GDP growth

Prime Minister Paetongtarn Shinawatra has expressed confidence that the government will achieve GDP growth of 3-3.5% this year after a dismal 2024 that saw the country’s economic growth lagging behind its ASEAN peers.

Her remarks follow the release of National Economics and Social Development Council (NESDC) data, showing that Thai GDP grew by 2.5% in 2024, only marginally higher than Myanmar's 2.2%.

In contrast, seven ASEAN countries enjoyed strong growth, namely Vietnam (6.4%), the Philippines (6.0%), Cambodia (6.0%), Malaysia (5.0%), Indonesia (5.0%), Laos (4.5%) and Singapore (4.0%).

After the mobile cabinet meeting at the Prince of Songkla University in Hat Yai district on Tuesday, Paetongtarn reiterated that Thailand’s fourth quarter GDP had grown across the board.

She said the decline in private investment was due in part to liquidity problems faced by SMEs and the stringent lending procedures put in place by commercial banks.

Private business development had slowed over the past 10 years, she explained, adding that the government is making every effort to increase investment.

Referring to NESDC’s forecast of 2.8% growth this year, Paetongtarn said the government should seek collaboration from the Bank of Thailand and commercial banks on the best ways to stimulate the economy.

In the meantime, the government plans to develop tourism and attractions with a focus on both secondary cities and major destinations.

“Collaboration from all sectors will be important if we are to attract foreign investment and achieve the Finance Ministry’s growth target of 3-3.5%. Please be assured that the government is doing its utmost and will cooperate with all parties to drive the economy forward,” she added.

(2025/02/18-00:00)