Thailand closely monitors "shutdown" impacts
Prime Minister Yingluck Shinawatra on Wednesday instructed economic ministries and government agencies to closely monitor the possible impacts from the US shutdown.
She had a meeting today with all economic ministers and chiefs of the National Economic and Social Development Board, the Board of Investment and Bank of Thailand.
Deputy Prime Minister and Finance Minister Kittiratt Na-Ranong said that the prime minister was concerned that the shutdown may send negative impacts on the Thai economy in the fourth quarter.
"The fourth quarter is a critical period as it’s normally the best export season. Notably, volatility in the foreign exchange rates must be monitored," he said.
Siam Commercial Bank’s economic centre said that as Thailand's exports to the US are mainly durable goods such as electronics and electrical appliances, a brief shutdown was unlikely to derail consumers' decisions to spend on such items.
It expects the shutdown to last only several days, and to end before the October 17 fundingbill deadline in Washington.