BANGKOK, Thailand – The Bank of Thailand is evaluating the severe economic disruption caused by the southern floods while coordinating immediate financial relief for victims.
Bank of Thailand’s Senior Director of Macroeconomic Department Pranee Suthasri revealed that the bank is conducting an impact assessment for key economic zones affected by the disaster, specifically Songkhla and Nakhon Si Thammarat.
The Central Bank has acknowledged that the flooding has halted trade, manufacturing, and agriculture, while the tourism sector is also facing a steep decline, as daily arrivals from Malaysia have since dropped significantly from the daily average of 10,000 visitors.
In response, the Bank of Thailand has ordered financial institutions to activate disaster relief protocols. Lenders are relaxing criteria for non-performing debt classification, in order to offer immediate assistance to borrowers.
Despite the crisis in the South, the overall national economy expanded in October, driven by exports and government stimulus. However, the Central Bank lists the floods and incoming U.S. tax policies as critical risk factors for the remainder of the year. (NNT)
