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Thailand’s economy held steady in May, supported by growing tourism and a slight increase in domestic demand

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Asia's Industrial Supercycle awakens

In May, Thailand’s economy stabilized with increased tourism and slight domestic demand improvement. However, exports fell, manufacturing declined, and inflation remained elevated. Key concerns include living costs, geopolitical risks, and El Niño impacts.


Summary

  • The Thai economy in May remained broadly stable compared to the previous month.

    o On the external front, tourism receipts and foreign tourist arrivals overall increased, supported by a recovery in long-haul markets and an increase in tourist arrivals from China and Malaysia due to their long holiday period. However, other short-haul tourists declined due to weaker demand and reduced flights. Merchandise exports excluding gold decreased, mainly due to lower exports of electronics and jewelry following earlier acceleration in the previous period.

    o Domestic demand improved slightly, supported by increases in private consumption and private investment, particularly in the automotive sector. However, consumption and investment in other categories remained relatively stable.

    o On the supply side, Manufacturing production declined in line with merchandise exports, while the services sector remained broadly stable.

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The Thai economy in May remained broadly stable compared to the previous month. Tourism receipts increased overall, in line with higher foreign tourist arrivals, as supported by a recovery in long-haul markets as well as increased arrivals from China and Malaysia due to their long holiday periods. However, arrivals from other short-haul markets declined due to weaker demand and reduced flight services amid elevated energy costs. Merchandise exports excluding gold declined, mainly due to lower exports in electronics and jewelry after having accelerated in the previous period. 

Domestic demand improved slightly, supported by higher private consumption and investment, particularly in the electric vehicle sales, partly reflecting a shift toward the electric vehicle usage amid elevated domestic fuel prices. However, consumption and investment in other categories remained broadly stable. Government expenditure expanded from the same period last year, driven by both current and capital expenditures of the central government. 

On the supply side, economic activity remained broadly stable. Manufacturing production declined in line with weaker merchandise exports, while the services sector remained broadly unchanged.

Headline inflation remained elevated but broadly stable. Energy prices declined slightly, while core inflation increased marginally.

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Key issues to monitor: 1) The impact of elevated cost of living and production costs on households and businesses 2) geopolitical risks and U.S. trade policy, 3) the impact of government measures, and 4) El Niño developments

Source : https://www.bot.or.th/en/news-and-media/news/news-20260630.html

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Georgia Finch and her husband on their wedding day

Security staff at Aberdeen Airport have announced 14 days of strike action in a row over pay.

The union said it was left with no option as negotiations with ICTS HBS Security, through the conciliation service Acas, failed to produce a breakthrough.

The strikes, involving baggage screening staff, are set to begin on Monday.

The Unite union is warning of significant delays if the strikes go ahead and is urging the company to return to the negotiating table.

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The development comes after summer strikes at Glasgow and Edinburgh airports were averted after new deals were struck.

Unite members unanimously supported industrial action at Aberdeen.

Union officials said there would be significant delays as its members in ICTS make up the majority of the baggage screening team at the airport.

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Thailand Ranks Among Asia Pacific’s Top 5 Travel Destinations in Visa 2026 Study

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Cabinet Acknowledges Visa Measures to Boost Thailand’s Tourism and Economy

The Tourism Authority of Thailand (TAT) celebrates Visa’s 2026 study, ranking Thailand among top Asian-Pacific destinations. Emphasizing familiarity and unique experiences, TAT supports quality tourism, digital payments, and flexible travel.

Thailand’s Popularity Among Asia Pacific Travelers

Bangkok, 2 July 2026 – The Tourism Authority of Thailand (TAT) is celebrating Thailand’s recognition in Visa’s 2026 Global Travel Intentions study. This study highlights Thailand as one of the top five destinations for Asia Pacific travellers, showcasing a strong demand for convenient and enriching experiences. With over 47,000 respondents, including more than 17,000 from the Asia Pacific region, the study reveals a shift towards intentional travel planning, emphasizing familiarity and practical choices.

Shifts in Travel Planning and Payment Trends

The study shows 63% of Asia-Pacific respondents prefer regional travel, ranking Thailand alongside popular destinations like Japan and Australia. Notably, 37% of travelers prioritize local experiences such as food and culture, surpassing the global average. The use of AI in planning is growing, with travelers seeking detailed information on accommodations and travel requirements. Digital payments are pivotal, with 73% of respondents carrying cards or mobile wallets, aligning with Thailand’s “Pay Like a Local” initiative for seamless tourist experiences.

Enhancing Thailand’s Travel Experience

Visa’s findings support TAT’s vision of quality-led tourism, focusing on providing meaningful and culturally rich experiences. The emphasis is on wellness, gastronomy, and local connections, aligning with the “Healing is the New Luxury” concept. TAT is enhancing its approach through targeted communication, digital convenience, and promoting lesser-known destinations. As travelers value flexibility, opportunities abound for inspiring spending on local dining and unique experiences, reinforcing Thailand’s appeal as a trusted, well-rounded travel destination.

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Source : Thailand ranks among Asia Pacific travellers’ top five destinations in Visa study

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PB Fintech shares slide up to 8% after Temasek arm likely sells over 2% stake via block deal

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PB Fintech shares slide up to 8% after Temasek arm likely sells over 2% stake via block deal
PB Fintech shares fell as much as 8.12% to an intraday low of Rs 1,545.50 on Friday after Temasek’s arm reportedly sold more than a 2% stake in the company through a block deal.

According to a CNBC-TV18 report, the deal, involving 2.37% of the company’s equity capital and valued at up to Rs 1,740 crore, was executed at a floor price of Rs 1,601 per share. The floor price represented a discount of nearly 5% to Thursday’s closing price of Rs 1,682.10.

The transaction is in line with a proposed block deal reported on Thursday, under which Singapore-based Macritchie Investments Pte was expected to sell up to 1.19 crore shares, or about 2.6% of PB Fintech, for approximately Rs 1,909 crore.

MacRitchie is a Singapore investment holding company linked to the city’s state investment company, Temasek.

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LSEG data as of Thursday showed MacRitchie owned 6.48% or 29.9 million shares in PB Fintech.


This is the second such block deal in PB Fintech in a little over a month. In May, the company’s co-founders, Yashish Dahiya and Alok Bansal, sold stakes to a group of domestic and foreign institutional investors.
According to exchange data, On May 29 a total of 38 lakh shares changed hands at Rs 1,751 apiece, translating into a transaction value of about Rs 665 crore.PB Fintech Chairman and Group CEO Yashish Dahiya sold 26 lakh shares, while Vice Chairman Alok Bansal offloaded 12 lakh shares.

On the buy side, the shares were picked up by a diverse set of institutional investors, including National Pension System Trust, Tata Mutual Fund, Morgan Stanley Asia Singapore, Goldman Sachs Bank Europe, BNP Paribas Financial Markets, and funds managed by Wasatch Advisors.

PB Fintech operates digital platforms Policybazaar and Paisabazaar, which are among the country’s largest online insurance and lending marketplaces.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)

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10 questions for Maxine Fox of 5 Circles

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The founder of the North East-based business support consultancy 5 Circles answers our questions

5 Circles is a North East-based consultancy.

Maxine Fox of 5 Circles.(Image: 5 Circles)

Maxine Fox is the face of 5 Circles – a firm launched in 2025 to provide strategic support across people, marketing, finance and operations.

What was your first job and how much did it pay? My first job was in the shop in the village where I grew up in East Yorkshire. I worked there for years — all the way through secondary school and when I was home from university. I loved it. It was my favourite job of all time! It was a small village so everyone knew everyone, which was great from a community point of view. It wasn’t so great when you were up to no good and everybody knew who your mum was. When I started, I got paid £1 an hour and I seem to remember getting really excited when it went up to £1.10 per hour. This was a long time ago!

What is the best advice or support you’ve been given in business? Establish boundaries with your time. Running a business is all-consuming and I learned very quickly that it was eating into my time with my family and affecting the things I enjoy doing outside of work. Whilst I don’t always adhere to the advice, I am getting better at knowing where I should devote my time and when to down tools for the day. When I first started, I was working seven days a week and into the evenings. That’s simply not sustainable — either health-wise or in terms of being happily married! When you’re running a business your time is the most precious commodity and it needs to be used wisely.

What are the main changes you’ve seen in your business/sector and what are the challenges you’re facing? I’ve only been running 5 Circles since December 2025 so it’s difficult to provide a wider view. The main change is that I’ve introduced services that weren’t part of my original business plan. I’ve been able to adapt to meet the demands of the businesses I work with and that’s been a positive thing. The main challenge I face is that my time is finite and I just need more of it.

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What would your dream job be? TV Script writer. When I was a kid I used to enjoy writing plays and sometimes I added a music score too.

What advice would you give to someone starting out a career in your sector? Have a trusted circle of people that you know will understand what you’re going through and how lonely it can be. People that you can run ideas past and people who’ll give you honest answers are like gold dust.

What makes the North East a good place to do business? The community. I’m not originally from the region but moved here in 2002. People from the North East are proud to be from here and I like that. In my experience, the business community wants to help one another.

How important is it for business to play a role in society? Very important. When businesses are successful and attuned to their communities, the knock-on benefits reach across all aspects of society from the economy to health and education.

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Outside of work, what are you really good at? I have a pretty good knowledge of pop knowledge from the 60s to the 90s. I recently won the Radio 2 pop quiz — 10 to the Top with Vernon Kay.

Who would play you in a film about your life? Amy Adams

Which three people would you invite to a dinner party, and why? My best friend Sam from home, my best friend Juliet from university and my sister Gem. We don’t get chance to catch up as much as I would like and nobody makes me laugh as much as those three do.

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