Thailand’s household debt reaches 18-year high over COVID-19

Spraying disinfectant to prevent the spread of COVID-19 in Bangkok, Thailand. (Photo: Xinhua/VNA)

Bangkok (VNA) - Thailand's household debt rose to 14.13 trillion THB or 90.5 percent of GDP in the first quarter, hitting the highest level in 18 years, reported the Kasikorn Research Center (K-Research).

In the fourth quarter of 2020, the household debt ratio was 84.9 percent.

The prolonged COVID-19 outbreak this year led to an economic slump and swelled household debt. As a result, K-Research changed Thailand's household debt forecast in 2022 to a range of 90-92 percent of GDP from 89-91 percent previously.

Outstanding household debt increased by 88.1 billion THB in the first quarter this year on a quarter-on-quarter basis because of three core loan types: mortgages, occupation loans, and loans for daily needs, including food.

On July 3, Thailand posted 6.230 COVID-19 infections and 41 deaths, increasing its national tally and death toll to 277,151 and 2,182./.

VNA