Weak Spending Power Keeps Thai Business Confidence Near 35-Month Low Weak purchasing power, high household debt and rising costs kept the Thai Chamber of Commerce Confidence Index near a 35-month low in July. The index edged up to 41.5 from 41.4 in June, based on a survey of 369 businesses and chamber representatives nationwide. Thailand’s household debt stood at 16.41 trillion baht, or 85.9% of GDP, in the first quarter. Headline inflation rose 1.95% year-on-year in July, while producer prices jumped 7.3%, indicating that businesses faced sharply higher costs but had limited room to raise prices because of weak demand. The government said Thai Chuay Thai Plus generated 111.88 billion baht in transactions by August 12, including 64.35 billion baht in state subsidies and 47.53 billion baht in consumer contributions. However, the co-payment scheme has failed to produce a meaningful improvement in business confidence amid sluggish incomes, subdued provincial economies and weak tourism. The separate Consumer Confidence Index rose to 51.8 from 50.7, marking a second consecutive monthly increase. Its economic outlook component rose to 45.3 from 44.1, employment prospects to 49.8 from 48.7 and future income expectations to 60.5 from 59.3, although all remained below the neutral level of 100. #Thailand# #ดัชนีความเชื่อมั่นหอการค้าไทย#