World Bank Charts Thailand's Urban Future for High-Income Growth

The World Bank has released a report on Thailand's Cities of the Future: Urban Foundations for a High-Income Economy, arguing that unlocking the economic potential of secondary cities is key to Thailand achieving high-income status within the next decade. The report, published on September 22, 2026, shows that approximately 89 percent of Thailand's GDP growth between 2010 and 2020 came from urban areas, and that Thailand will need average annual per-capita GDP growth of around 5.4 percent over the next ten years to reach high-income status by 2037. Efficient functioning of cities across the country will be crucial to closing this gap.

"Building Thailand's cities of the future is not merely an urban planning agenda, but one of growth, competitiveness, job creation, and resilience," said Stephen Ndegwa, World Bank Country Director for Thailand and Myanmar. "Unlocking the potential of secondary cities as drivers of stronger productivity and investment, supported by Bangkok's economic role, will be critical to Thailand's future growth."

The report builds on the World Bank's earlier comprehensive report Building Thailand's Future Today, launched at the Bangkok Business Summit 2026, which identified four priority areas: future industries, future businesses, future workforce, and future cities. The new report on Thailand's Cities of the Future examines the urban foundations of this agenda, including reforms and investments needed to make Thailand's cities engines of stronger growth.

Thailand's urban system remains heavily concentrated in Bangkok, with the capital and its metropolitan area generating nearly half of the country's economic output. Bangkok's population is almost 27 times larger than Chiang Mai, Thailand's second-largest city. While this concentration has driven economic development, the costs are mounting. Traffic congestion causes annual losses of 7-10 percent of Bangkok's gross regional product, while climate risks and infrastructure pressures are increasing the city's costs. Meanwhile, secondary cities are not fully realizing their potential.

Rather than choosing between Bangkok and other cities, the report recommends strengthening a network of cities, with Bangkok as the primary hub and secondary cities playing complementary economic roles. A successful urban network will depend on complementary specializations, productive density, strong linkages, robust institutions, and flexible infrastructure.

"The key is more strategic investment," said Dr. Pun Thiengboonrat, Deputy Director-General for Planning and Strategy at the Office of the National Higher Education Science Research and Innovation Policy Council. "Thailand can benefit much more from urban investment if it focuses on placing infrastructure and services that support each other in areas that help build resilience."