Thailand’s household debt is increasing due to personal and credit card loans.
Household debt in Thailand increased by 3.9% to a record high of over THB14.9tn ($492bn) in Q3 2022, driven by personal loans and credit card borrowing, according to the National Economic and Social Development Council. Personal borrowing rose 20% and credit card borrowing increased by 10% over the same period. Non-performance loans increased to 4.7 million, while total non-performance loans in the system now stand at THB400bn ($13.2bn), compared to THB200m ($6.6bn) in Q1. However, despite the increase in debt, household debt levels as a percentage of GDP fell from 88.1% in Q2 to 86.6% in Q3. Employment improved by 1.5%, or 39.2 million people, with concerns over slowing exports and high living costs remaining.