Thai consumer confidence falls as energy costs and job insecurity grow
The April index fell to 50.6 from 51.8 in March as energy prices, employment worries and weaker growth forecasts weighed on sentiment.
- Thailand's Consumer Confidence Index fell to an eight-month low in April, marking the second consecutive monthly decline.
- The drop was driven by concerns that conflict in the Middle East could increase global energy prices, raising domestic production and living costs.
- Worsening job insecurity also contributed significantly, with the current employment index falling to its lowest level in 40 months.
- Confidence was further dampened by official forecasts for Thailand's 2026 economic growth being revised downwards to 1.5%.
Assoc Prof Thanavath Phonvichai, president of the University of the Thai Chamber of Commerce and chief adviser to the Centre for Economic and Business Forecasting, said the April 2026 consumer confidence survey showed indices had fallen across all categories for a second consecutive month, reaching the lowest level in eight months.
The confidence index for the overall economy fell to 44.1, while the index for job opportunities stood at 48.6 and the index for future income was 59.0. As a result, the overall Consumer Confidence Index in April declined to 50.6 from 51.8 in March.
Negative factors with a significant impact on confidence came from the conflict involving the United States, Iran and Israel, which raised concerns over a sharp increase in global energy prices. This directly affected domestic production costs, transport costs and the cost of living.
Amid job insecurity, the confidence index for job opportunities also declined, while the current employment index hit its lowest level in 40 months, reflecting consumers’ sense of insecurity about their careers.
In addition, the Fiscal Policy Office (FPO) and the Monetary Policy Committee (MPC) cut their forecasts for Thai economic growth in 2026 to 1.5%, reflecting an overall economy recovering more slowly than expected.
Among positive factors helping to support the economy, tourism remained the main engine, especially during the Songkran festival, when many Chinese tourists and visitors from long-haul markets travelled to Thailand. Exports in March also expanded by 18.67%, while the SET Index showed signs of recovery in late April.
Meanwhile, the TCC Confidence Index fell from 43.3 to 42.2 points, with business operators in all regions expressing concern about the current situation and the outlook over the next six months, particularly liquidity, rising household debt and uncertainty over tax policy (10% VAT).
However, there was still hope from the government’s economic stimulus policies, particularly the “Thai Helps Thai Plus” scheme, which is expected to open for registration in late May and begin spending in June. The scheme is expected to inject about THB200 billion into the economy over four months.
The University of the Thai Chamber of Commerce estimated that if the war situation eased and government measures proceeded as planned, Thailand’s economy in 2026 could expand within a range of 1.5-2.0%, with clearer recovery signs expected from late in the third quarter to early in the fourth quarter.
