Thailand’s consumer sentiment drops for sixth straight month in June

Consumer sentiment in Thailand during the month of June dropped for the sixth straight month in a row, on overwhelming concerns that the decision of Britain to leave the European Union will adversely affect both the domestic and global economy.

Thailand’s consumer sentiment index fell to 71.6 in June from 72.6 in May, the lowest since May 2014, posting a 25-month low, since the military seized power to end prolonged political unrest.

The Bank of Thailand has forecast economic growth of 3.1 per cent this year but predicts that exports will contract 2.5 percent. The economy expanded 2.8 percent last year amid prolonged political unrest. Meanwhile, the economy has witnessed a growth of 0.9 percent in the Jan-Mar quarter, compared to the previous quarter and 3.2 percent from a year earlier period.

However, the junta has since been struggling to revive South-east Asia’s second largest economy, in an attempt to boost exports and domestic demand that have continued to be on a declining trend at a time since household debts have mounted.

Despite efforts to revive the slumping economy, consumers remained concerned about low commodity prices and felt the country's economic recovery was slow, the University of the Thai Chamber of Commerce said. Overall consumer confidence Index reflects views on the economy, job opportunities and future income. The survey is usually done in the last week of the month.