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Thailand - Current economic position and prospects (Vol. 6) : Annex 10 : Pre-investment studies (Inglês)

In the last two years, Thailand has undergone a process of adjustment from an unusually favorable combination during 1966-69 of 9 percent GDP growth a year, balance of payments surpluses and price stability to a pattern more typical of less developed countries of about 6 percent GDP growth accompanied by balance of payments deficits. The Third Plan, prepared against a background of unfavorable external factors, regards the balance of payments as the major constraint on future growth. To help relieve this constraint, the Plan calls for more rapid export growth and slower import growth compared to the Second Plan. It also gives higher priority to agricluture in view of its central role in export growth and diversification. The shares of public expenditures on education and other social sectors will increase, while those on irrigation dams, transportation, and power will decline. The Third Plan relies heavily on official credits, and the balance of payments projections imply an increase in debt service payments. The growth objectives seem realistic; some policy changes for sectoral and regional development are recommended.

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