Economic and Business Forecast Center University of the Thai Chamber of Commerce The consumer confidence index for August 2023 has improved again. After last month it dropped for the first time in 14 months due to the clarity of the new government.
Assoc. Prof. Dr. Thanawat Phonwichai, President of the University of the Thai Chamber of Commerce and Advisory Chairman of the Center for Economic and Business Forecasting, discussed the results of the Consumer Confidence Index survey for August 2023, with the Consumer Confidence Index improving further. This time after last month dropped for the first time in 14 months as consumers began to regain confidence in the new government that would be established quickly to drive the economy to recovery after the appointment of Mr. Se Rattha Thavisin was the 30th Prime Minister of Thailand and saw that Thai politics would be more stable in the future after the government was established to break up various political divisions. that have different opinions, with the political conflict likely to be resolved As a result, the confidence of every consumer has improved in every item.
However, consumers are still concerned about the high cost of living, especially the cost of electricity, as well as concerns about the global economic slowdown. As well as raising interest rates to solve the problem of inflation in countries around the world, this may be a factor that increases the pressure of the recovery of the world economic system into recession. This has a negative effect on Thai exports, causing exports to shrink during this period. and has a negative impact on the purchasing power of people in every region
The overall economic confidence index Index of confidence in overall job opportunities and the confidence index regarding future income was at 51.6, 53.9, and 65.2, respectively, improving in every item when compared to the index in July. At the levels of 50.3, 52.7, and 63.9, respectively, it shows that consumers are beginning to regain confidence that the Thai economy can recover after the government is established. However, the index is still lower than normal (at the 100 level), indicating that consumers are still not confident about the economic situation Opportunity to find work and future income because there is concern about the political situation in the country Energy prices and the cost of living remain stable at high levels. as well as the global economic problem that is at risk of entering a state of slowdown. This will affect the Thai economy and employment to have a chance to recover slowly in the future. This makes the future income of consumers highly uncertain.
In addition, the improvement of the Consumer Confidence Index (CCI) from 55.6 to 56.9 is an improvement after declining for the first time in 14 years. months because of the delay in government formation. However, the overall consumer confidence index still moves below the 100 level, showing that consumers still see that the overall economic situation is still recovering slowly, the cost of living is high, and Raising interest rates in Thailand and around the world It has a negative psychological impact on domestic purchasing power. Tourism sector, export sector, general business and future employment There is still an opportunity to continually undermine consumer confidence both at present and in the future in the near term.
Current consumer confidence improved from 40.7 to 41.7, while the future confidence index improved as well. It improved from the level of 62.8 to the level of 64.2. The consumer confidence index returned to improve in every item. It shows that consumer confidence has begun to improve due to the political situation and the establishment of a new, stable government. As a result, consumer confidence is likely to continue to improve in the future. especially If the new government can stimulate the Thai economy to recover concretely and quickly under the policies it has campaigned for, etc. – Thai News Agency
Source: Thai News Agency