Bond market steady, but risks remain

Forecast for B900bn in corporate issuance

- NUNTAWUN POLKUAMDEE

Thailand's bond market is expected to remain stable in 2026, with corporate bond issuance projected at 900 billion baht, reflecting corporates' reliance on the debt market amid subdued economic growth and expectations of easing interest rates, says the Thai Bond Market Association (ThaiBMA).

Somjin Sornpaisarn, president of ThaiBMA, said the economy expanded below expectations last year due to external headwinds such as global economic uncertainty and trade tensions, alongside domestic constraints of high household debt and weak private investment.

These factors led to a 3.51% decline in long-term corporate bond issuance, even as the overall Thai bond market expanded by 4.67% thanks to increased government bond issuance.

The outstanding value of Thailand's bond market tallied 17.9 trillion baht at year-end 2025 as outstanding corporate bonds edged lower for a second consecutive year.