Thailand’s Consumer Confidence Index (CCI), recorded by The University of the Thai Chamber of Commerce (UTCC), hit 80.1 during August 2014, the fourth consecutive monthly increase and a 13-month high.
Thanawat Polwichai, Director of the Center for Economic and Business Forecasting at UTCC, indicated that the CCI had risen for four months in a row, edging up from 78.2 in June to 80.1 in August. The latest reading of the index also hit its 13-month high and improvements were seen across the board.
The confidence index on the overall economy jumped to 70.1 from the previous month. Similarly, the indexes on job opportunities and future income settled at 73.6 and 96.4 respectively. The index on the political situation, meanwhile, stood at 87.5, the highest in 88 months since May 2006.
Thanawat attributed the increases to the return of stability in Thailand, especially in the political arena. The Royal endorsement of General Prayuth as the 29th Prime Minister of Thailand, as well as the formation of his cabinet, prompted public members to hope for a better economy.
Despite the bright prospects, domestic spending remains rather sluggish due to falling prices of agricultural goods, timid export growth and slower-than-expected budget disbursement.
Thanawat advised that the new government adopt concrete stimulus plans, consider deactivating the martial law in tourism provinces and speed up infrastructure investments in order to boost economic growth in the fourth quarter and through the year 2015.
Andrew Batt, International Group Editor of PropertyGuru Group, wrote this story. To contact him about this or other stories email andrew@propertyguru.com.sg
