Academic Expert Warns: Populism Won't Help, Urges Government to Develop New Proactive Economic Strategy

Sompop Mana-Rungsarn, President of Panyapiwat Institute of Management (PIM), commented on the World Bank's reduced economic growth projection for Thailand in 2026 to 1.6% from 1.8%. He noted this is unsurprising and consistent with other domestic and international assessments, reflecting ongoing structural problems and declining competitive capabilities. The low economic growth projection clearly indicates the new government must work harder, especially given Thailand's perceived lack of new economic drivers. Relying solely on populist policies may be insufficient for long-term growth potential. The government must work proactively, develop a clear 'new approach' or blueprint to build confidence among international organizations. At the regional level, Thailand's economic growth is now lower than the ASEAN average of 4-5% annually, suggesting Thailand is falling behind. Vietnam, in particular, is a critical competitor with a similar economic structure and rapid growth that could potentially overtake Thailand in 2-3 years if Thailand does not quickly adapt.