In January 2022, the Thai economy slowed down due to the influence of Omicron

Strong growth in the fourth quarter of 2021 was undermined by the sudden spread of a new variation of COVID-19 and lockdown. However, the slowdown can be attributed to seasonal reasons.

In December 2021, the Kingdom’s economic situation improved compared to November, and the fourth quarter grew by the third quarter of the same year.

Part of this growth, at least in statistical terms, can be attributed to the "low base effect". For example, 20 months of strict quarantine restrictions introduced in 2020 reduced the number of foreigners arriving in the country to 1% of the pre-pandemic indicators. In this situation, any significant growth can show exaggerated relative indicators.

Nevertheless, the growth was also recorded in real terms.

According to the Central Bank of Thailand (Bank of Thailand), at the end of 2021, domestic consumption and investment inflows increased in the country. Export indicators showed an annual growth of 23%, imports — 28.2%. The trade balance amounted to $2.8 billion.

In December, the account deficit was $1.4 billion. In November, on the contrary, there was a positive balance of $ 0.3 billion.

The sudden growth of the balance sheet deficit showed that the Kingdom had found interested lenders confident in the country's ability to pay off the loan funds.

Nevertheless, from mid-December to early February, the country went into lockdown and reopened its borders on February 1, 2022.

The economic situation of Thailand is linked to foreigners visiting the country. These are tourists, businessmen, investors, and expats. It remains to be seen how the situation will affect the results of the first quarter of 2022.