BANGKOK, July 4 (TNA) – Political uncertainty and slow
economic recovery have dragged Thai consumers’ confidence index to a 21-month
low in June, according to the latest survey by the University of the Thai
Chamber of Commerce (UTCC).
UTCC’s Centre for Economic and Business Forecasting
announced the Consumer Confidence Index in June sliding from 77.7 to 76.4, the
lowest in 21 months.
Thanavath Phonvichai, director of the Centre, the decline
also reflected the concerns over global economic uncertainties, amid the trade
war between US and China and low exports and crop prices.
As the new government had not been formed, consumers were
concerned of local political uncertainty and the likelihood of instability of
the next government, thus, the confidence index involving politics dropped to
its lowest in five years, he said.
Under the circumstance, consumers would be careful in their
spending until the third quarter, said Mr Thanavath.
However, he noted that the Centre predicted the Thai
economic growth to expand 3.5 percent if the new government injected billion of
baht through welfare schemes and introduce tourism campaign.
A new Cabinet is expected to be sworn in this month.
The administration would be tasked with restoring confidence
and accelerate budget disbursement to stimulate the economy, he said.(TNA)
