Thailand's headline inflation rises 2.79 pct in May

BANGKOK, June 5 (Xinhua) -- Thailand's headline inflation continued its uptrend in May, mainly driven by elevated domestic fuel prices amid ongoing conflicts in the Middle East and logistical disruptions in the Strait of Hormuz, official data showed on Friday.

The Southeast Asian country's consumer price index (CPI) increased 2.79 percent last month compared to a year earlier, slowing slightly from a 2.89 percent gain in April, according to the Ministry of Commerce.

The May reading marked the second straight month of inflation growth following a year-long deflation streak, keeping the figures within the central bank's target range of 1 percent to 3 percent.

Geopolitical tensions in the region have triggered a surge in public transportation fares while prices for ready-to-eat meals spiked as local operators adjusted their retail rates to reflect higher production costs, placing substantial pressure on the cost of living, the ministry said in a statement.

Core CPI, which excludes volatile fresh food and energy prices, climbed 0.92 percent year-on-year in May, accelerating from a 0.83 percent rise in the month before and registering the strongest growth in 11 months.

For the first five months of 2026, headline CPI expanded 0.82 percent compared to the same period last year.

Headline inflation is expected to stay on a positive trajectory in June as domestic retail fuel prices have surged, tracking global crude oil prices that remain sustained at high levels, said Nantapong Chiralerspong, director-general of the ministry's trade policy and strategy office.

Despite that, electricity rates for the current billing cycle remain marginally lower than the same period last year, while meat prices are currently trending downward due to sufficient supply in the domestic market, Nantapong told a news conference.

The ministry maintained its headline CPI projection to rise between 1.5 percent and 2.5 percent this year.

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