Press Release on the Economic and Monetary Conditions for October 2025
BOT Press Release No. 44/2025 | 28 Nov 2025
- The Thai economy registered a modest month-on-month expansion, supported by improvements in both demand and supply-side indicators.
- Demand side: Merchandise exports, excluding gold, continued to grow, mainly driven by technology-related products. Foreign tourist receipts increased in line with higher tourist arrivals, while private consumption improved across nearly all categories.
- Supply side: Activity improved, primarily in the services sector, although manufacturing production remained broadly unchanged.
- Labor market conditions improved, particularly employment in the services sector.
- Headline inflation was slightly negative, mainly due to lower energy and raw food prices. The current account recorded a deficit, mainly due to the trade deficit.
- Key issues to monitor: The impact of (1) the flooding situation, (2) U.S. tariff affecting Thai exports, and (3) government stimulus measures.
The Thai economy moderately improved in October. Merchandise exports excluding gold expanded, led by electronic products. Foreign tourist receipts also increased in line with higher arrivals. Private Consumption improved, partly supported by government measures, which also boosted the service-sector activities. However, manufacturing production was broadly unchanged, as higher electronics production was offset by a decline in petroleum output due to temporary maintenance shutdowns. Meanwhile, private investment contracted, mainly in machinery and equipment, following accelerated investment in the previous period.
On the economic stability front, headline inflation stayed negative, consistent with the previous month, primarily due to lower energy inflation following a decline in domestic retail gasoline prices reflecting declining global crude oil prices. Raw food inflation became less negative as vegetable prices rose due to supply disruptions caused by flooding. Meanwhile, core inflation remained positive and stable. Labor market conditions improved, supported by employment growth in the services sector. The current account recorded a deficit, driven mainly by a trade deficit.
