Bank of Thailand reports July economic expansion led by technology exports and tourism

The Bank of Thailand reported that the economy expanded from the previous month in July, supported by electronics exports linked to the global technology and artificial intelligence cycle and continued improvement in tourism. Stronger exports lifted manufacturing, although export growth remained heavily reliant on imported inputs. Private consumption rose on higher services spending, while government expenditure increased and private investment softened after strong growth in the previous period. Tourism receipts and foreign arrivals increased, particularly from long-haul markets, as flight capacity recovered and summer travel demand strengthened. Headline inflation declined because of lower domestic retail oil prices, while core inflation edged higher as increased costs passed through to prepared food and cooking ingredients. The current account deficit narrowed as lower gold and fuel imports reduced the trade deficit, and labor market conditions remained stable.