9 April 2026Markets & Economy
Thailand bonds worst globally after UK as oil risks mount
Thai local-currency sovereign bonds have lost 4.1% since February, the worst performance after the UK among 29 global markets as inflation risks mount from oil import dependence. A prolonged Iran war could limit GDP growth to less than 1% this year, while government diesel subsidies cost 1.3 billion baht daily and can only last one month before staged price increases. Every 10% oil rise above $72 per barrel lifts headline inflation by 0.8 percentage points, potentially reaching 1-2% in 2026.
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