Thailand Personal Spending Rises in May

Private consumption in Thailand rose 0.6% month-on-month in May 2026, following a 2.1% fall in the previous month. The improvement was driven mainly by stronger spending on durable goods, particularly passenger cars, as consumers increasingly favored electric vehicles amid elevated fuel prices. Spending on non-durable goods also edged up as fuel consumption normalized following earlier panic buying at the start of the Middle East conflict. At the same time, spending on services remained broadly stable, in line with domestic tourism activity. In contrast, consumption of semi-durable goods declined, reflected in lower imports of textiles and apparel. Consumer confidence continued to weaken, driven by concerns over the rising cost of living and uncertain income and employment prospects.

Private consumption in Thailand fell 2.1% month-on-month in April 2026, slipping further from a 0.8% decline in the previous month. It marked the steepest contraction since July 2021, mainly driven by weaker spending on non-durable goods, including consumer goods and fuel, amid higher energy costs that raised the cost of living, as well as adjustments in working and travel patterns amid significantly higher energy prices. The services index declined, weighed down by softer activity in hotels and restaurants, while expenditure by non-residents decreased. Meanwhile, consumer confidence decline amid energy prices linked to ongoing conflicts in the Middle East.

Private consumption in Thailand fell 0.8% month-on-month in March 2026, easing from a 1.8% fall in the previous month. Still, this marked a second consecutive monthly decline, driven largely by weaker spending on services, particularly hotels and restaurants amid subdued tourism activties. Consumption of semi-durable goods also decreased, weighed down by reduced imports of textiles and apparel as well as softer retail sales. In contrast, spending on non-durable goods increased, supported by higher purchases of fuel and consumer goods, as households responded to concerns over rising prices. Spending on durable goods also rose, underpinned by strong passenger car sales. Meanwhile, consumer confidence weakened, reflecting heightened concerns over spillovers from geopolitical tensions in the Middle East, particularly the risk of higher energy prices, which could add upward pressure to production and transportation costs.