Bangkok:S&P Global Ratings has affirmed Thailand's sovereign credit rating at 'BBB+' and maintained a stable outlook. This assessment reflects confidence in the government's economic policies, which aim to support economic growth while maintaining strict fiscal discipline, according to Dr. Ekniti Nitithanpraphas, Deputy Prime Minister and Minister of Finance.
According to Thai News Agency, S&P forecasts that the Thai economy will grow by 2.3 percent in 2026, slightly down from 2.4 percent in 2025, amidst external risks and structural economic constraints. The government's fiscal policy is expected to help mitigate these impacts, and increased government stability is anticipated to facilitate the continuity of long-term economic policies and enhance flexibility in addressing short-term challenges.
The Thai government is prioritizing investment in line with national reform plans, particularly through the Eastern Economic Corridor (EEC) and transportation infrastructure development. Investment by state-owned enterprises and public-private partnerships (PPPs) is seen as crucial for driving national infrastructure investment. Additionally, the government is promoting investment in high-tech industries through tax incentives and support for Thai entrepreneurs in global AI supply chains.
S&P forecasts that net government debt accumulation will be 4.2% of GDP in 2026, with an average of 3.5% from 2026 to 2029. Despite this, Thailand's strong external finance sector and equilibrium in the current account balance in 2026, followed by a surplus from 2027 onwards, support the country's credit rating.
Key factors monitored by S&P include Thailand's economic growth relative to peers, per capita GDP, fiscal policy outlook, and domestic political stability. This stability is crucial for the continuity of economic policies and could contribute to a future upgrade in Thailand's credit rating.
Dr. Ekniti emphasized that the stable outlook from Fitch, Moody's, and S&P reflects confidence in the government's economic policy direction. The government plans to continue implementing policies to enhance competitiveness, prioritize fiscal discipline, and strengthen investor confidence for stable and sustainable economic growth.