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Middle East Conflict Disrupts Global Energy Markets: Prolonged High Natural Gas Prices to Keep Electricity Costs Elevate…
The Middle East conflict has sharply increased LNG prices due to supply disruptions, affecting electricity costs in Thailand. Restoration of damaged infrastructure may take 3-5 years, keeping prices elevated, while households and businesses must adapt to rising tariffs through energy efficiency and renewable sources.
Outlook quarter 1/2026
SCB EIC has lowered Thailand’s 2026 economic growth forecast to 1.4% due to the Middle East conflict impacting energy prices. Inflation is expected to rise significantly, affecting consumption, tourism, and business investment, while risks of deficits grow amid economic uncertainty.