Thailand’s consumer confidence reaches 20-month high in November

Rice for sale at a supermarket in Bangkok, Thailand. (Photo: AFP/VNA)

Bangkok (VNA) – Thailand’s consumer confidence rose 47.9 points in November, hitting a 20-month high and marking a rise for six straight months, thanks to improved economic performance, an increasing number of foreign visitors and declined petroleum prices.

Data released by the University of Thai Chamber of Commerce (UTCC) announced on December 8 showed that Thailand’s consumer index rose 47.9 points in November from 46.1 points in October.

UTCC President Thanavath Phonvichai said that Thai consumers felt the country’s economic recovery as fewer COVID-19 infections are reported, the disease control and prevention measures are loosened, facilitating the resumption of economic activities.

As more foreign tourists arrive in the country, more money is circulated in the economy and more transactions are done, he said.

However, Thai consumers are still concerned about high living costs, the impacts of the Russia-Ukraine conflict and increasing interest rates by central banks across the world in a bid to curb inflation, which could hinder global economic recovery.

Despite negative risks, the Thai economy is believed to be recovering with economic growth reaching 3.2-3.3% this year, imports increasing 7.1-7.2%, an inflation rate of 6-6.1% and international arrivals of about 10 million.

UTCC forecasts that next year, the Thai economy may grow by 3.5-4%, with exports expanding by 2-3% and international arrivals hitting 20-22 million, which will help further improve consumer confidence.

According to Thanavath, New Year's events are expected to cost 100 billion THB (2.87 billion USD), roughly equal to 120-130 billion THB spent for such events before the COVID-19 outbreak.

He also said that the general election in Thailand taking place in the second quarter of next year will likely generate at least 40 billion THB in spending, contributing 0.4-0.6 percentage points to its 2023 economic growth./.