The Thai economy weakened sharply in the second quarter, prompting Goldman Sachs analysts to cut the 2026 GDP growth forecast from 1.9% to 1.8%. Chris Poe and Danny Suvarnabruti pointed out in a report that domestic demand in Thailand has weakened significantly due to the decline in both private and public consumption. The decline in private consumption was particularly significant. This was the first contraction since the third quarter of 2021, and there was a general decline in service and commodity consumption. Goldman Sachs said that private investment, which accounts for about two-thirds of total investment, remained resilient, but was offset by a sharp decline in public investment.

The Thai economy weakened sharply in the second quarter, prompting Goldman Sachs analysts to cut the 2026 GDP growth forecast from 1.9% to 1.8%. Chris Poe and Danny Suvarnabruti pointed out in a report that domestic demand in Thailand has weakened significantly due to the decline in both private and public consumption. The decline in private consumption was particularly significant. This was the first contraction since the third quarter of 2021, and there was a general decline in service and commodity consumption. Goldman Sachs said that private investment, which accounts for about two-thirds of total investment, remained resilient, but was offset by a sharp decline in public investment.