BoT call to extend incentives Housing market the beneficiary in 2022

The government should extend its property tax incentives to next year to drive housing market growth in 2022, in line with the projected economic recovery, the Bank of Thailand suggested.

Don Nakornthab, the central bank’s senior director for financial stability department, said extending the lower transfer and mortgage fees from the end of 2021 to the end of next year is another way to help the housing market next year.

“The government’s incentives can stimulate [the property market growth] a lot,” he said. “The central bank already eased the loan-to-value ratio for mortgage lending. The government should help drive the market further.”

At present, the property incentives include a cut of transfer and mortgage fees from 2% and 1% to 0.01%, respectively, for units priced 3 million baht or less. However, the unit price coverage is too narrow, according to many developers.

As well as an extension to the effective period, the incentives may include the first 3 million baht for every unit price as those who can buy a house priced 10 million baht or more get less of an impact than those eyeing units priced 3 million baht or less.

The central bank forecasts GDP growth in Thailand at around 1% in 2021, compared with negative growth last year. In 2022, even though higher growth is expected, a full recovery would not take place until 2023.

“An improving economy next year will make commercial banks lower their guard for mortgage lending,” he said. “However, there could be new factors, like the Omicron variant, which we need to watch out for.”

He said the impact from the new variant may be minimal, as proven by a pickup in stock markets in the US and an uptrend in the Thai stock market. If this trend continues, economic concerns might subside.

Mr Don said the impact on the tourism market from the reopening on Nov 1 has been better than expected. This situation showed good signs until Omicron emerged.

“We will reforecast the 2022 situation as we earlier expected the number of international arrivals next year to reach a total of six million,” he said. “To boost GDP growth to more than 5%, we need more than 10 million tourists.”

He said one positive impact from the reopening towards the property market is that there is a higher chance that foreigners will buy a property in Thailand.

Kamolpat Swaengkit, country manager of property portal website DDproperty.com, said a property market recovery to the level seen before the pandemic would take place in the next few years as the volatile situation this year was a key obstacle.

“Our survey found 71% of Thai consumers still want to buy a house but decided to delay it,” she said. “Key factors were lower income during the pandemic, while housing prices remained unaffordable.”

News Related

OTHER NEWS

German economic committee confirms plans for online meeting with Putin

BERLIN, January 27. /TASS/. The German Committee on Eastern European Economic Relations confirms a traditional meeting of German businessmen with Russian President Vladimir Putin, the Committee’s press service told TASS ... Read more »

McDonald's ends 2021 strong, but costs rising

The Associated PressFILE – This June 25, 2019, photo shows the sign outside a McDonald’s restaurant in Pittsburgh. McDonald’s is expanding U.S. testing of its meatless McPlant burger. The company ... Read more »

Finance Ministry sanctions amalgamation scheme of PMC Bank with Unity SF Bank

Finance Ministry (Image: PTI) The Finance Ministry has sanctioned and notified the amalgamation scheme of Punjab and Maharashtra Co-operative Bank (PMC Bank) with Unity Small Finance Bank Limited (Unity SF ... Read more »

Pin payments at shops back to pre-lockdown level

Photo: ANP Debit card payments at non-food stores have rebounded strongly since the reopening a week and a half ago, ING noticed. The debit card turnover returned to the level ... Read more »

US wave energy projects get funding boost as plans for open-water testing take shape

lindsay_imagery | E+ | Getty Images The U.S. Department of Energy has announced $25 million in funding for eight projects focused on wave energy technologies. The DOE said the projects ... Read more »

Ensure advisory board's recommendations are taken in fraud cases of over Rs 3 crore: CVC to Banks

The Central Vigilance Commission (CVC) has asked all public sector banks and insurance companies to ensure that they seek recommendations from its advisory board regarding all cases of fraud involving ... Read more »

Medvedev convinced Russia won't be unplugged from SWIFT

At the same time, Dmitry Medvedev stressed that Russia’s own system for transferring financial data in the event of Russia's disconnection from SWIFT would work without failures Read more »

Coforge Q3 results: Profit grows 51% YoY, revenue 39%; interim dividend of Rs 13 per share announced

IT major Coforge on January 27 declared its financial results for the third quarter of fiscal year 2021-22, with the company posting a 50.7 percent year-on-year surge in profit after ... Read more »

Five key takeaways from Boat's IPO prospectus

Direct-to-consumer (D2C) firm Boat, an Indian consumer electronics company owned by Imagine Marketing Ltd, has filed its documents with the Securities Exchange Board of India (SEBI) for a Rs 2,000-crore ... Read more »

Bargain store Action is growing again just like before the pandemic

Retailers had to keep their doors closed for almost three months last year, but bargain chain Action has not let those obstacles stop them. The sales of the company from ... Read more »

1G policy could work for nightclubs, but still questions

Photo: ANP Working with a 1G policy, whereby all visitors are tested for corona, could be a solution for nightclubs and other night catering. But then a number of things ... Read more »

Budget 2022: Retail industry seeks relief measures, initiatives to boost consumption

Representative image The beleaguered retail industry expects a slew of relief measures to help it tide over challenging times as it struggles with footfalls and low sales again, amid the ... Read more »

Education loan firm Avanse Financial raises Rs 357 crore via securitisation transaction

Amit Gainda, CEO, Avanse Financial Services Education loan firm Avanse Financial Services Ltd has raised Rs 357 crore via securitisation transaction from a global financial institution, the company said on ... Read more »

Budget 2022: One IPO to decide fate of divestment for two years

In the corporate world, past achievements tend to benchmark future targets. Not for the Central government, though. Despite a track record of missing divestment targets almost every year, the government ... Read more »

LIC IPO in early March: DIPAM Secretary

Life Insurance Corporation (LIC), India’s largest insurer, will launch its jumbo initial public offering (IPO) in early March, a top government official told CNBC-TV18 on January 27. “We are very ... Read more »

Navy: Oil spill cleanup to take 5 more days

An aerial view shows crude oil which leaked from an undersea pipeline near the Map Ta Phut industrial estate in Rayong province. (Photo: Royal Thai Navy) An oil spill caused ... Read more »

Renault and Nissan invest billions in electric cars

Photo: ANP The Franco-Japanese alliance of Renault, Nissan and Mitsubishi will invest 23 billion euros in the electrification of its joint vehicle fleet over the next five years. The alliance ... Read more »

State-owned bank's boss to reapply for job amid COVID loan fraud row

Catherine Lewis La Torre has told colleagues she plans to apply for the permanent role of CEO of the British Business Bank after 16 months running it on an interim basis, Sky News understands. Read more »

Businesses set for a boost as coronavirus restrictions lift in England

Listen to “Businesses set for a boost as coronavirus restrictions lift in England.”. Ian King speaks to bosses at Diageo and EasyJet to find out how relaxed coronavirus rules in ... Read more »

McDonald's is about to report its quarterly earnings. Here's what to expect

Signage outside a McDonald's Corp. fast food restaurant in Louisville, Kentucky, U.S., on Friday, Oct. 22, 2021.Luke Sharrett | Bloomberg | Getty Images McDonald's is expected to report its fourth-quarter ... Read more »

TVS Motor Company acquires Swiss E Mobility Group AG

Representative Image TVS Motor Company on January 27 announced that it has acquired a 75 percent stake in Swiss E Mobility Group AG (SEMG). With this acquisition, the TVS Motors ... Read more »

Technical View | Nifty forms small-bodied bullish candle; 17,309 is the level to watch

fando The Nifty50 ended below 17,200 in a highly volatile session of trade on January 27 amid weak global cues but healthy buying in the banking names helped the index ... Read more »

I feel very relieved; it has been a rollercoaster ride with legal challenges: DIPAM Secy on Air India sale

Tuhin Kanta Pandey, Secretary of the Department of Investment and Public Asset Management. Tuhin Kanta Pandey, Secretary, Department of Investment and Public Asset Management (DIPAM) said on January 27 that ... Read more »

Property tycoon Ronnie Chan urges Hong Kong government to rethink tough Covid-19 stance

Property tycoon Ronnie Chan has urged the government to rethink Hong Kong’s tough stance on Covid-19 as the highly infectious Omicron variant appears to produce milder symptoms than its counterparts. ... Read more »

Air India takeover | Will focus on bringing down operational costs, says Tata Sons Chairman N Chandrasekaran

Air India pilots who worked with him remember J.R.D. as strict but always polite, and a stickler for values like on-time travel and high quality of service. (Image of JRD ... Read more »

Colgate-Palmolive India net profit rises 1.6% to Rs 252.3 crore

FMCG major Colgate-Palmolive India Ltd on Thursday reported an increase of 1.6 per cent in its net profit to Rs 252.33 crore for the third quarter ended December 2021. The ... Read more »

Three quarters of injected gas already taken from European UGS — Gazprom

The like situation is in Ukrainian UGS, where reserves as of January 25 are already 45.4% lower than in the last year Read more »

To negotiate blind curves ahead, focus on offline digital payments

If a decade back researchers were asked what could be the most-promising area of research in the years to come, it’s highly unlikely that they would mention payment systems. Yet, ... Read more »

FY23 Budget: The aviation sector fears that as usual, it will be much ado about nothing

Year after year, stakeholders in the aviation sector draw up a wishlist they hope will be taken up in the Union Budget. But year after year it remains just that ... Read more »

Realigning income-tax Slabs, TDS relaxation: KPMG sets expectations ahead of Budget 2022

Realignment of income tax slabs for individuals, facilitation of overseas listing for companies, and rationalisation of TDS/TCS provisions are among the expectations from the upcoming Union Budget listed by KPMG, one ... Read more »

Buttigieg vows help as US car fatalities keep spiking higher

WASHINGTON — Transportation Secretary Pete Buttigieg is vowing to help stem rising traffic fatalities, releasing a broad-based strategy aimed at reducing speed, redesigning roads and boosting car safety features such ... Read more »

McDonald's responds to Elon Musk's announcement of eating a Happy Meal if the restaurant accepts Dogecoin

Photo by: Meghan Hessler/Unsplash Elon Musk said earlier this week that he would eat McDonald's Happy Meal live on TV if the fast-food chain would accept Dogecoin as payment. The ... Read more »

'Excited' to have Air India back, says Chandrasekaran as Tata Group formally takes over airline

On October 25, the government had signed the share purchase agreement with Tata Sons for the sale of national carrier Air India for Rs 18,000 crore. The Tata Group announced ... Read more »

From pigs' heads to duck, Bangkok shop offers Lunar New Year treats in jelly

Coconut milk jelly dessert cups in various shapes are displayed ahead of the Chinese new year at Namjai dessert shop in Bangkok, Jan 20, 2022. (Reuters photos) As people get ... Read more »

Skyroot raises $4.5 million led by early Google investor Ram Shriram

Representative Image (Source: ShutterStock) Space startup Skyroot Aerospace, which is building private space launch vehicles in India, on Thursday announced raising $4.5 million in a bridge round to Series-B led ... Read more »

EU turns to World Trade Organization over Chinese boycott of Lithuania

Taiwan was part of the Chinese Empire for about two centuries until 1895. It was then conquered by Japan and remained a Japanese colony until 1945. After World War II, ... Read more »

Nestlé: more money for cocoa farmers to combat child labour

Photo: ANP The Swiss food group Nestlé is going to expand a pilot in which cocoa farmers and their families in the Ivory Coast will receive extra money to prevent ... Read more »

Moneycontrol Pro Panorama | Markets get a bad cold from global chill

Dear Reader, The Panorama newsletter is sent to Moneycontrol Pro subscribers on market days. It offers easy access to stories published on Moneycontrol Pro and gives a little extra by ... Read more »

Bank of Thailand detects no surge in bad loans, eyes JV for bad assets

The Bank of Thailand (BoT) has not detected any signs of a surge in non-performing loans (NPLs) after imposing various measures to support debtors as the economic activity is hit ... Read more »

L&T ties up with Norwegian company for electrolyzer technology to push green hydrogen plans

Larsen & Toubro (L&T) has signed a pact with Norway-based electrolyzer technology and manufacturer HydrogenPro AS to set up a manufacturing unit in India that aims to tap opportunities in ... Read more »
On free-english-test.com you will find lots of free English exam practice materials to help you improve your English skills: grammar, listening, reading, writing, ielts, toeic