Thai consumer confidence plunged to a 13-month low in June, dampened by weak economic prospects, tepid exports, low farm prices and the ongoing drought.
According to the latest survey by the University of the Thai Chamber of Commerce (UTCC), the consumer confidence index fell for a sixth straight month in June to 74.4 points, down from 75.6 in May, 76.6 in April, 77.7 in March, 79.1 in February, 80.4 in January and 81.1 last December.
The June reading was the lowest since May 2014, when confidence began rising on hopes of an economic rebound after the May 22 coup ended months of political unrest.
The survey also found confidence in the overall economy fell to 63.8 points last month from 65 in May, while confidence about job openings and future income fell to 69.4 and 90 from 70.3 and 91.4, respectively.
UTCC vice-president Thanavath Phonvichai said people were worried about slower-than-expected economic growth, weak exports and low farm prices.
"The ongoing drought in particular has hit people's confidence hard, as it has now delayed farming of the main rice crop that covers 2.4 million rai for two months," he said.
"That means income from rice sales for the season, a combined 15 billion baht, will definitely be put off, eventually affecting economic growth."
The Finance Ministry's Fiscal Policy Office (FPO) says the El Nino weather phenomenon will shave an estimated 0.15 percentage points off full-year GDP growth, well below Finance Minister Sommai Phasee's recent prediction of half a percentage point.
The UTCC expects the drought to trim economic growth by 0.1 percentage points this year.
"The decline in consumer confidence for six months in a row is a dangerous sign for the country's economic prospects," Mr Thanavath said.
"It's a must for the government's economic team to come up with economic stimulus measures to restore confidence and expedite budget disbursement, especially for projects in rural areas, to raise people's incomes."
Despite the sluggish Thai and global economic prospects, the UTCC is still maintaining its full-year economic growth forecast of between 3% and 3.5%.
The Bank of Thailand recently trimmed its own forecast to 3% from 3.8%, predicting exports would shrink by 1.5%. The FPO is also set to cut its growth forecast again this month.
Am Promsak, who works as a maid at the Industry Ministry, said she was not confident about the economic situation.
"Our family expenses grow bigger, and everything is more expensive, so I try to work more than one job," she said.
She also works as a street-food vendor, selling ready-to-eat food to earn more money for her family.
"If the government wants to help us, it can raise farm prices so I can earn more money from my farmland upcountry," she added.