July 1, 2008
BANGKOK (AFP) - The current account returned to a surplus in May as exports grew strongly while import growth slowed, according to the central bank.
Thailand recorded a 631 million dollar surplus in May, compared to 246 million dollars one year ago, the Bank of Thailand said in its monthly report Monday.
In April Thailand had posted a 1.66 billion dollar deficit in the current account, as imports surged due to high global oil prices and increased buying of gold, which Thais turned to as a safe haven investment.
"Trade surplus at 1.26 billion dollars in May led to the current account surplus in May, with deceleration of imports and acceleration of exports," said a central bank official.
Exports, which account for more than 60 percent of the Thai economy, rose to 15.29 billion dollars in May, up 22.1 percent year on year, due mainly to rising prices in agricultural goods.
Exports of gems and jewelry, computers, automobiles, plastic, iron products as well as petroleum products also grew in May, the bank said.
Imports grew at a slower pace in May, increasing to 14.02 billion dollars, up 15.7 percent year on year.
The decline in imports was due mainly to a drop in crude oil imports along with a slowdown in purchases of machinery, food and non-durable goods, the bank said.
Exports to the United States rose 2.97 percent year-on-year to 1.73 billion dollars, while shipments to Japan grew 19.46 percent to 1.78 billion dollars in May.
EU-bound exports also expanded 10 percent to 2.09 billion dollars, the Bank of Thailand said.
