Bt15bn to be injected into communities. THE National Village Fund plans to inject Bt15billion into the grassroots economy next month in a bid to shore up consumption in rural areas amid declining prices for farm products and rising household debt. (The Nation, 18/7/2017
FTI: Car exports to disappoint for 2nd year. Vehicle exports are likely to drop for a second straight year after growth figures remained in negative territory for 12 months in a row, says the Federation of Thai Industries. The FTI’s automotive industry club yesterday released its monthly report
Progress on railways: 5 dual-track railway projects worth Bt92bn are to be signed by November. Thirteen companies will be bidding for the Huahin-Prachuab line on July 27. Another nine new lines will be proposed to the Superboard within 4Q17 and to cabinet by yearend. (Thai Post, 20/7/17)
June exports defy baht, jump 11.7%. Exports in June surged 11.7% year-on-year despite the firmer baht, supported by strong orders from traditional markets and boosting the government’s confidence of meeting the full-year target of 5% growth in export value. The double-digit growth in June after a 13.2% leap in May signals a brighter outlook for the second half, the Commerce Ministry said, adding that shipments to traditional markets were up 7-8%. (Bangkok Post, 21/7/2017)
4 big bank 2Q17 earnings. KBANK made Bt8.98bn, -4.67%; SCB made Bt11.9bn, -7%; BBL made Bt8.04bn, +12.23%; KTB made Bt3.23bn, -63% due to higher provision from EARTH. (Khao Hoon, 21/7/17)
UNIQ, ITD, NWR, PLE, LOXLEY and ILINK are going to bid for the Bt1.9bn project to place electric lines underground. The bid winner will be announced in September. UNIQ and ILINK said that they will bid for all projects in the MEA’s total project list worth Bt65bn. (Thun Hoon, 18/7/2017
Watch out for a plunge in farm prices. This includes paddy, cassava, rubber, corn and fruit. The fall in price is expected to reduce overall consumption. (Prachachart, 19/7/2017)
TRC, ITD, NWR to bid for PTT’s gas pipeline line 5 phase 2 worth Bt10bn. The result will be announced by yearend. (Khao Hoon, 19/7/17
Bank of Japan keeps monetary policy steady, cuts inflation expectations. The Bank of Japan said Thursday that it kept its monetary policy unchanged after its two-day meeting, but it cut inflation forecasts for fiscal years 2017/2018 and 2018/2019. The central bank now expects inflation to be at 1.1 percent for the current fiscal year, down from its previous forecast of 1.4 percent. For the next financial year, it expects inflation to hit 1.8 percent instead of 1.9 percent. (CNBC, 21/7/2017)
Fed’s Kaplan, citing low inflation, urges patience on rate hikes. Dallas Federal Reserve Bank President Robert Kaplan on Thursday advocated a go-slow approach to further U.S. interest-rate hikes, saying he wants to see more evidence that inflation is heading back up to the Fed’s 2- percent goal. Kaplan said he believes that the U.S. economy will likely grow slightly faster than 2 percent this year, squeezing the remaining slack out of an already tightening labor market and putting upward pressure on inflation. (CNBC, 14/7/2017)
US retail sales drop 0.2% in June vs 0.1% increase expected. U.S. retail sales unexpectedly fell in June for a second straight month, which could temper expectations of strong acceleration in economic growth in the second quarter. The Commerce Department said on Friday retail sales fell 0.2 percent last month, weighed down by declines in receipts at service stations, clothing stores and supermarkets. Americans also cut back on spending at restaurants and bars, as well as on hobbies. (CNBC, 14/7/2017)
