PORTALBERITA.CO.ID - The Consumer Confidence Index (CCI) in Thailand registered a significant dip in May, falling to 49.5 from 50.6 recorded in the preceding month of April. This decline marks the lowest level observed for the index in 42 months, according to data released on Thursday, June 11.
The primary drivers behind this pessimism are clear: elevated energy prices and growing regional concerns stemming from the conflict in the Middle East are severely weighing down the mood of local consumers. This assessment was made following a comprehensive survey conducted by the University of the Thai Chamber of Commerce.
However, the broader economic picture shows some resilience, as the nation recorded stronger-than-anticipated economic growth during the first quarter of the year. Furthermore, expanding export volumes provided essential underpinning support to Thailand's overall financial stability during this period.
To counteract the escalating cost of living pressures impacting households across the nation, the Thai government swiftly introduced a substantial consumer subsidy program. This specific scheme is valued at 176 billion baht, which converts to approximately 6.9 billion Singapore dollars.
Regarding future prospects, the president of the university offered a cautiously optimistic view concerning the trajectory of consumer sentiment in the immediate future.
"Consumer confidence is likely to recover following government stimulus measures," stated Thanavath Phonvichai, president of the university, during a press briefing detailing the economic outlook.
Reinforcing the positive impact of official interventions, a leading business organization upgraded its projection for Thailand's 2026 economic growth range upward to settle between 1.6 percent and 2 percent on Wednesday.
Conversely, the state planning agency decided to maintain its existing forecast for 2026 growth, keeping it steady at the 1.5 to 2.5 percent range. This decision reflects continued caution due to lingering uncertainties associated with the ongoing conflict in the Middle East.
Further insight into the national financial outlook came from the central bank leadership, which provided projections aligning with broader expectations for the current fiscal year while evaluating current monetary conditions.
