BANGKOK: Consumer confidence in Thailand fell for a second straight month in February, according to a university survey, as low commodity prices and marginal economic growth kept down domestic demand.
The consumer confidence index of the University of the Thai Chamber of Commerce fell to 79.1 last month from 80.4 in January and December's 81.1, an 18-month high.
The February reading is the lowest since July's 78.2. While a reduction in retail oil prices from last year has given consumers more to spend, falling prices for rubber and rice have hurt demand in the provinces.
"Consumers thought the economy had not recovered much," the university said. "Although the political situation was more stable, worries about high living costs and future income continued to dent consumer confidence."
Thanavath Phonvichai, an economics professor at the university, said confidence could fall further as gasoline prices increased recently and commodity prices keep declining.
"But spending may improve in May or June as the government accelerates its spending," he said.
A coup in May ended months of political tension, but the military-led government has still struggled to get Southeast Asia's second-biggest economy on track as exports have stayed weak and domestic consumption sluggish.
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