The global economy was slowed down due to the crisis of confidence in the financial institution system, which may lead to tight credit in the business and household sectors. Mr. David R. Malpass, the President of the World Bank Group, had raised his global growth forecast for 2023 to 2% from 1.7% in January. But a slowdown after solid growth in 2022 would increase the debt problem for developing countries. However, China's economic growth should be monitored. If there were a strong recovery in China’s economy, it would positively affect the global economy.

Thailand's economy was supported by improved consumption and continued growth in the tourism sector. In particular, the number of tourists from Asia and the EU increased. In the first quarter of 2023, Thailand's economy improved from the previous quarter. The increasing number of Thai and foreign tourists was an important driving force. The Fiscal Policy Office had estimated and forecasted that Thailand's economy in 2023 would expand at 3.6% per year, increasing from last year.

The Thailand Industrial Sentiment Index (TISI) in April 2023 dropped to 95.0 from 97.8 in the previous month due to the slowdown in the manufacturing sector, weak foreign demand, and rising loan interest rates. However, there were still support factors from the expansion in domestic consumption and increasing foreign tourists. The government should roll out measures to help entrepreneurs affected by the increase in electricity prices to mitigate the impact and reduce production costs for the industrial sector. Overall, Thailand's consumer confidence index was reported at 53.5 in April 2023, up from 52.3 in the previous month. 

In terms of Thailand’s international trade in March 2023, Thailand’s export income value was 942,938.72 million baht, up 2.24% YoY and up 29.15% compared with the previous month. Meanwhile, Thailand’s import value was 860,535.49 million baht, down 1.04% YoY but up 10.83% compared with last month. Thailand's trade balance in March 2023 recorded a surplus of 82,403.23 million baht (Ministry of Commerce, 2023).

According to S&P Global, the Manufacturing Purchasing Managers' Index (PMI) increased to 50.2 in April 2023 from 49.2 the previous month. In April 2023, Thailand’s PMI stood at 60.4, up from 53.1 the previous month. The domestic manufacturing sector received new orders, increasing procurement and raw material stocks. Moreover, employment had improved as well.

The American Petroleum Institute (API) announced that crude oil inventories decreased by 6.1 million barrels to reach 466 million barrels for the week ending April 21, 2023. Overall, crude oil prices were volatile. The market was still monitoring the Federal Reserve's (Fed) meeting on whether to raise interest rates by 25 basis points in the meeting on May 2-3, 2023. It raised concerns about the global economy. On April 27, 2023, West Texas Intermediate (WTI) and Brent crude oil prices stood at 74.76 and 78.37 USD/barrel, respectively.

The average rubber prices announced by the Central Rubber Market in Songkhla in April 2023 decreased compared with the previous month due to the pressure factors such as baht currency, crude oil price, and weather. Furthermore, the market was concerned about an economic slowdown. In March 2023, Thailand exported 453,417 tons of natural rubber (including compound rubber), generating an export income of 21.5 billion baht. In the tyre sector, Thailand exported 12.25 million units of all tyres for a total value of 20.5 billion baht.

In March 2023, Thailand’s car production was 179,848 units, up 4.16% YoY and up 8.60% compared with the previous month due to an increase in semiconductor chips, including production for export of 100,986 units (56.15% of all production), up 11.72% YoY, and domestic sales of 78,862 units (43.85% of all production). Meanwhile, Thailand's domestic car sales in March 2023 were 79,943 units. Car sales declined due to the strictness of financial institutions in approving loans to pickup truck buyers. However, it still sold up 11.73% (MoM).