Thai Consumer Confidence Decline – September 2023

People eat street food in Bangkok’s Chinatown, Thailand, on Mar 17, 2022. (Photo: REUTERS/Athit Perawongmetha)

BANGKOK: Thai consumer confidence declined for the seventh month in a row in September, reaching its lowest point in 17 months.

The University of the Thai Chamber of Commerce reported that its consumer confidence index dropped to 55.3 in September, down from 56.5 in August, as stated in a release from the university.

The university reported that consumer confidence was negatively impacted by both flooding and high living costs, despite government financial assistance for vulnerable populations.

“The floods have created a psychological effect, dampening the positive outlook expected from the handout program,” said university president Thanavath Phonvichai at a press conference.

Last month, the government launched the first phase of its major US$14 billion stimulus handout program, which aims to boost economic activity by providing approximately 45 million people with 10,000 baht (US$298) each, to be spent over a six-month period.

In the initial phase, 14.5 million welfare cardholders and individuals with disabilities will receive cash payments.

This scheme, set for rollout in the last quarter of this year, is central to the government’s plan to stimulate growth in Southeast Asia’s second-largest economy, which expanded by 2.3 percent in the second quarter of 2024.

The central bank forecasts a 2.6 percent growth for this year, following last year’s 1.9 percent increase, which lagged behind other countries in the region.

Source: channelnewsasia.com