Citi Urges Thailand to Sharpen Economic Strategy
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- Citi recommended Thailand sharpen its economic strategy, speed up government procedures, and maintain policy and financial stability to capture more global investment, per Country Officer and Banking Head Navamin Raikong
- Thailand ranked as the second-most preferred investment destination in a Citi survey of 100+ large multinational corporations, chosen by 71% of respondents, behind Vietnam at 52%
- The Citi survey found 56% of multinational corporations were actively restructuring or diversifying their supply chains as of 2023, with AI-driven supply-chain diversification cited as a key driver
- Thailand's digital economy is expanding by 5-7% annually according to Citi, with e-commerce and digital activities growing even more quickly
- Citi warned Thailand that roughly 22% of jobs could be replaced by AI over the next five years, urging the country to implement independent decisions on adoption
- Thailand's medical tourism sector already ranks among the world's leading destinations, with about 30 internationally ranked hospitals, according to the Citi note
Why it matters: Thailand is in a tight race with Vietnam for supply-chain relocation capital, and the 19-percentage-point gap (71% vs. 52%) could widen if Bangkok doesn't match Hanoi's pace. With 56% of multinationals actively diversifying supply chains, the stakes for policy execution on AI adoption, medical tourism, and green-energy upgrading are immediate and competitive.
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