Bouncing Back

Although the Asian Financial Crisis brought a long term troublesome economy to the Kingdom of Thailand in the mid 1990s, it was able to reverse the economic downturn with the aid of the International Monetary Fund (IMF). Since then it has achieved a developed infrastructure, minimal government ownership of enterprises, and Thaksinomics or policies that encourage trade. In late December of 2004, parts of Thailand were destructed by a monstrous tsunami as was its economy. Despite this negative occurrence, the country is on its path to restoration due to its endowments. Thailand is considered to be one of the most desirable tourist and business destinations in the world. Tourism contributes heavily to Thailand’s GDP and export demands in particularly agriculture and automobile production have performed exceptionally well prompted by trade agreements with a variety of partners. Its capital city, Bangkok is Thailand’s largest transshipment center surrounded by passable waterways. Such physical accessibility to world markets permits inexpensive transportation costs. It is no wonder export levels increased to nearly 17% in the previous year (CIA). Thailand’s economy will restore in no time as it is driven by ever increasing tourism and export demand.

Written by Trisha Le, Research Intern for GLOBAL ID LLC.