Thailand recorded a $17.6 billion current-account deficit in the second quarter, a sharp swing from a $1.4 billion surplus in the prior quarter and the first shortfall in eight quarters, while GDP growth slowed to 1.9% year on year from 2.8% in the first quarter. Deputy Prime Minister and Finance Minister Ekniti Nitithanprapas said the gap, equivalent to about 600 billion baht and more than 12% of gross domestic product, exposed the economy's fragility, particularly its dependence on imported oil from Middle Eastern countries to fuel a transport sector still reliant on fossil fuels. Data released by the Office of the National Economic and Social Development Council pointed to broader pressure on Southeast Asia's second-largest economy. Supavud Saicheua, chairman of the National Economic and Social Development Council, said the current-account gap, tight fiscal conditions and uncertainty over trade negotiations with the United States were reducing the government's ability to support growth. The deterioration matters because higher oil import costs can quickly weaken Thailand's external position, pressure the baht and complicate policy choices if weaker growth coincides with imported inflation (price increases driven by costlier foreign goods).