Overview: Thailand, one of the more advanced developing countries in Asia, enjoyed its second straight exceptionally prosperous year in 1989. Real output again rose about 11%. The increasingly sophisticated manufacturing sector benefited from export-oriented investment, and agriculture grew by 4.0% because of improved weather. The trade deficit of $5.2 billion was more than offset by earnings from tourism ($3.9 billion), remittances, and net capital inflows. The government has followed a fairly sound fiscal and monetary policy, aided by increased tax receipts from the fast-moving economy. In 1989 the government approved new projects--roads, ports, electric power, communications--needed to refurbish the now overtaxed infrastructure. Although growth in 1990-91 must necessarily fall below the 1988-89 pace, Thailand's immediate economic outlook is good, assuming the continuation of prudent government policies in the context of a private-sector-oriented development strategy.

GNP: $64.5 billion, per capita $1,160; real growth rate 10.8% (1989 est.)

Inflation rate (consumer prices): 5.4% (1989)

Unemployment rate: 6% (1989 est.)

Budget: revenues $12.1 billion; expenditures $9.7 billion, including capital expenditures of NA (FY89)

Exports: $19.9 billion (f.o.b., 1989); commodities--textiles 12%, fishery products 12%, rice 8%, tapioca 8%, jewelry 6%, manufactured gas, corn, tin; partners--US 18%, Japan 14%, Singapore 9%, Netherlands, Malaysia, Hong Kong, China (1988)

Imports: $25.1 billion (c.i.f., 1989); commodities--machinery and parts 23%, petroleum products 13%, chemicals 11%, iron and steel, electrical appliances; partners--Japan 26%, US 14%, Singapore 7%, FRG, Malaysia, UK (1987)

External debt: $18.5 billion (December 1989 est.)

Industrial production: growth rate 12.5% (1989)

Electricity: 7,100,000 kW capacity; 28,000 million kWh produced, 500 kWh per capita (1989)

Industries: tourism is the largest source of foreign exchange; textiles and garments, agricultural processing, beverages, tobacco, cement, other light manufacturing, such as jewelry; electric appliances and components, integrated circuits, furniture, plastics; world's second-largest tungsten producer and third-largest tin producer

Agriculture: accounts for 16% of GNP and 73% of labor force; leading producer and exporter of rice and cassava (tapioca); other crops--rubber, corn, sugarcane, coconuts, soybeans; except for wheat, self-sufficient in food; fish catch of 2.2 million tons (1987)

Illicit drugs: a minor producer, major illicit trafficker of heroin, particularly from Burma and Laos, and cannabis for the international drug market; eradication efforts have reduced the area of cannabis cultivation and shifted some production to neighboring countries; opium poppy cultivation has been affected by eradication efforts, but unusually good weather boosted output in 1989

Aid: US commitments, including Ex-Im (FY70-88), $828 million; Western (non-US) countries, ODA and OOF bilateral commitments (1970-87), $7.0 billion; OPEC bilateral aid (1979-89), $19 million

Currency: baht (plural--baht); 1 baht (B) = 100 satang

Exchange rates: baht (B) per US$1--25.726 (January 1990), 25.699 (1989), 25.294 (1988), 25.723 (1987), 26.299 (1986), 27.159 (1985)

Fiscal year: 1 October-30 September

NOTE: The information regarding Thailand on this page is re-published from the 1990 World Fact Book of the United States Central Intelligence Agency. No claims are made regarding the accuracy of Thailand Economy 1990 information contained here. All suggestions for corrections of any errors about Thailand Economy 1990 should be addressed to the CIA.