Thailand CPI Unexpectedly Falls
2026-04-07 03:45
By
Kyrie Dichosa
1 min. read
Consumer prices in Thailand edged down 0.08% in March 2026, easing from a 0.88% decline in February and defying forecasts of a 0.20% gain.
This marked a year-long deflation, the longest stretch since the pandemic, but the softest decline in that sequence.
Inflation remains well below the central bank's 1%-3% target range.
Thailand’s reliance on crude oil imports from the Middle East has exposed the country to higher energy costs, with domestic diesel prices surging 36% since late February.
The Bank of Thailand now expects inflation to return to its target range faster than previously projected, partly due to rising oil prices, though it had earlier anticipated that headline inflation would only reach target levels in the second half of 2027.
Meanwhile, core consumer prices, which exclude volatile items such as food and energy, rose 0.57%, slightly above February’s 0.56% increase but below the expected 0.70%, marking the smallest growth since July 2024.