BANGKOK, Thailand – The Center for Economic and Business Forecasting (CEBF) of the University of the Thai Chamber of Commerce (UTCC) reported that all components of consumer confidence weakened due to concerns surrounding “Trump 2.0” trade policies and global economic uncertainty. Although the government has introduced stimulus measures, consumers remain skeptical about Thailand’s economic recovery, high living costs, and political instability.
The sub-indices on overall economic confidence, job opportunities, and future income fell to 51.5, 55.2, and 66.7, respectively, reflecting declining optimism. The current confidence index dropped from 42.4 to 41.7, while future confidence declined from 67.0 to 65.6, signaling heightened concerns over prolonged economic uncertainty.
The Thai Chamber of Commerce Confidence Index (TCC-CI), however, saw a slight increase to 49.4, supported by government stimulus programs, including Phase 2 of the Senior Citizen Economic Stimulus Scheme, which grants 10,000 baht to individuals aged 60 and above, and the Easy E-Receipt initiative. Factors such as a 3.2% GDP expansion in Q4 2024, a policy rate cut by the Bank of Thailand’s Monetary Policy Committee, and rising tourism numbers also contributed to this improvement.
Despite these gains, analysts warn that a worsening trade war and persistent economic sluggishness could further erode consumer confidence if recovery efforts fail to deliver swift and tangible improvements. (NNT)
