The Thai economy remained sluggish during the second quarter of the year, with official estimates of GDP growth now reduced to around 3 percent for 2015 by the Thai government.
In its Asia Snapshot Research Report on the kingdom focusing on Q2, Colliers International’s Narin Phumviwattanasirikul noted how there has been some progress on large infrastructure projects, which it said will be an important growth driver going forward.
It said that although overall demand in the residential sector has slowed, the high-end market continued to do well, and consumer spending has not suffered. Investment opportunities are becoming more evident, with strong demand from local and regional investors for income-generating assets.
Tight supply in the office market has seen rents continue to rise at a moderate rate. The sector may get an additional boost from new incentives to open international operating headquarters, while the industrial sector continued to power ahead thanks to new incentives for higher value-added industries from Thailand’s Board of Investment.
Thailand has also benefits from the country’s increasing integration as a manufacturing hub for the ASEAN region, Colliers reported.
The full Colliers International Snapshot Report for Q2 2015 can be downloaded here.
