Thailand's faltering exports may have dragged down Q1 growth

Thailand will release Q1 GDP data on 18 May. Despite a strong recovery in tourism, tepid consumption and poor export performance likely continued to drag down GDP growth in Q1. 

The Thai economy contracted 0.2% q/q on a seasonally adjusted (SA) basis, versus a 1.7% q/q expansion in the previous quarter. This likely prompted the central bank to lower the policy rate in March and April in an attempt to ensure continued economic recovery. 

"We look for 3.0% y/y GDP growth for Q1, up from 2.3% y/y recorded in Q4-2014", said Standard Chartered in a report on Friday.