NationThailand-Feb 24
Melinda Good, Division Director for Thailand and Myanmar at the World Bank on Tuesday (February 24)
highlighted that while global economic conditions over the past year resembled a “huge storm” threatening significant downturns, the world economy has proven more resilient than anticipated, growing by an average of 2.7%, which was half a percentage point higher than forecasts. However, Melinda cautioned that some of these positive factors are short-term, particularly the rising policy uncertainty globally, which she described as a “hidden tax” that limits firms’ investment decisions and capital flow. Given Thailand’s open economy and high reliance on exports, these global challenges are bound to affect the country. To tackle these challenges, Melinda suggested that Thailand must identify its strong points and emerging global trends. Globally, 1.2 billion youth are set to enter the workforce in the next decade, but only 400 million jobs will be available. Meanwhile, Thailand, like much of ASEAN, is ageing, with forecasts indicating a future worker-to-retired-person ratio of 1:2. Melinda stressed that the skills mismatch in Thailand, particularly the shortage of tech talent, remains a significant concern. She recommended fast-tracking the creation of a “skills bridge” to help workers develop the digital skills needed for the future. Developing such skills could contribute up to a 20% increase in Thailand’s GDP. AI, robotics, and cloud computing are no longer distant concepts but are transforming investment and global supply chains. Thailand ranks second in ASEAN for AI adoption, just behind Singapore. However, Melinda pointed out that Thailand must focus on applying these technologies in manufacturing to create higher-value jobs. Read more at: https://www.nationthailand.com/business/economy/40062934
