Thai consumer confidence drops in September, survey shows

BANGKOK, Oct 8 : Thailand's consumer confidence index dropped for the first time in four months in September, hurt by flooding, a slow economic recovery and high living costs, a survey showed on Thursday.

• The consumer confidence index of the University of the Thai Chamber of Commerce fell to 52.1 in September from 53.2 in August, it said.

• Late last month, Bangkok's governor declared the capital a disaster-affected zone after nearly 300 mm (12 inches) of rain swamped the city in just three days, as much as it typically receives in the whole of September.

• Economic damage from the floods is estimated at 22 billion baht to 30 billion baht ($655 million to $893 million), and could remain within that range if conditions start to improve next week, Thanavath Phonvichai, the university's president, told a briefing.

• Global tensions also weighed on confidence in the economy, the university said.

• Sentiment could improve later this year if flood risks ease, oil prices fall, tourism picks up and government stimulus measures gain traction, the university said.

• The economy is expected to grow by 2.2 per cent to 2.5 per cent this year, Thanavath said.

• Southeast Asia's second-largest economy expanded 2.4 per cent last year, lagging peers.