(Photo by Weerawong Wongpredee)Thailand's household debt is expected to decrease slightly this year as nominal GDP growth is forecast to offset the debt expansion ratio, says Kasikorn Research Center (K-Research). But the think tank said household debt remains a fragile issue among certain segments and the young. Household debt is expected to be 77-78% of GDP in 2018 as nominal GDP growth (the denominator) is anticipated to be higher than the increase in accumulated debt (the numerator), said K-Research in its report. "But the outstanding household debt ratio, which continues to climb, reflects how the debt burden remains a fragile issue for certain households, especially those shouldering several debt liabilities," said the report. This could induce household loans to grow 4% year-on-year in the fourth quarter, up from 3.7% growth in the previous quarter.

Source: Bangkok Post January 22, 2018 23:47 UTC