Poll, tourism offer hope for retail

While economic activity might be subdued initially, the latter half of the year is expected to benefit from stimulus measures introduced by the next administration, writes Kuakul Mornkum

- 

A shopper inspects an array of decorative decorations on display at Sampheng Market in Bangkok ahead of the Christmas and New Year festivities.

Weak consumer spending power, ongoing local and global political uncertainties, border clashes between Thailand and Cambodia, a decline in foreign arrivals and numerous natural disasters have all contributed to challenges for the Thai retail sector in 2025.

What about 2026? Will it be a promising outlook, or could it be another challenging period?

Thailand is approaching another general election, set for Feb 8, 2026.

The election brings hope among voters, who want to see their preferred candidates and parties form the next government.

However, the process will take time. While voting occurs on Feb 8, the Election Commission is not expected to announce official results until April 9.

Milin Veraratanaroj, chairman of Tang Ngee Soon Superstore, one of the largest traditional wholesale chains in Udon Thani, said government operations may not begin until mid-2026.

As a result, any stimulus measures aimed at reviving the sluggish economy are likely to come no earlier than the third quarter. This implies that economic activity in the first half of the year may stay subdued, he said.

Amid prolonged uncertainty over the new government's policy direction, he anticipates economic growth in 2026 to remain limited at around 1-2%.