FX.co ★ World Bank Cuts Thai GDP Growth to 1.8% in 2025

The World Bank has revised its projection for Thailand's economic growth in 2025 to 1.8%, a significant reduction from the 2.9% predicted in January. This update is detailed in the World Bank's semi-annual Global Economic Prospects report, where increased tariffs and growing uncertainties are identified as major obstacles to economic expansion. This adjustment follows similar downgrades made by the International Monetary Fund in April. The World Bank anticipates further deceleration, projecting Thailand’s GDP growth to slow to 1.7% in 2026. Additionally, last month, Thailand's National Economic and Social Development Council adjusted its 2025 growth forecast to a range of 1.3% to 2.3%, down from a previous estimate of 2.3% to 3.3%. The council also reduced its export growth prediction to 1.8%, from 3.5%, primarily due to the effects of US tariffs. In 2024, Thailand's economy expanded by 2.5%, slightly trailing the official target of 2.7%.