Thailand’S Off-The-Books Debt Problem

[cavanami]

It's a cummin....

 

Thailand’s off-the-books debt problem

 

http://www.cnbc.com/id/102761128

 

 

 

 

 

A nasty consumer debt hangover awaits Thailand, as recently highlighted by EM Squared. Over the past decade, Thais have binged on auto financing and unsecured loans, to the extent that nominal household debt doubled between 2008 and 2014, and debt has reached 80 per cent of GDP*. Consumption growth has stalled, and neither consumers nor the country's banks can stomach much more.

 

Yet for many in Thailand, the situation is even more precarious than official figures suggest. Millions of the poorest Thais routinely turn to various forms of off-system money lenders when they cannot access legitimate forms of credit. These range from gold shops engaging in unlicensed lending, to illegal pawn shops, to loan sharks with links to organised crime...

[Dexi]

Looks like there will be lots more ladies looking for Mr. Jai Dee / Hansum man Farang sponsor.

[cavanami]

I stopped bring USD ($$$) in to Thailand. I expect that the Baht I have now will be greatly devalued!

 

Thailand is a bad investment, IMO.

[Flashermac]

It was pointed out several years ago that Pheu Thai's first time car owner idea encouraged people to buy cars they couldn't afford. As a result, they had to cut back on other expenses such as food, clothing, housing, entertainment etc