Low-income earners' spending during the New Year festivities is expected to decline to 30.2 billion baht as shoppers become more cautious and try to save more, according to Government Savings Bank.
Average spending during the holiday period is forecast to drop to 2,150 baht per person, said president and chief executive Chatchai Payuhanaveechai.
He cited the bank's nationwide survey of 2,150 low-income earners with a monthly income of up to 15,000 baht.
Last year's survey of grassroots people's spending estimated that they would splash out 57 billion baht during the New Year season, with average spending of 3,765 baht.
Mr Chatchai said the latest survey found that 6.1% of spending would derive from savings and 26% from borrowing, compared with 51.4% from savings and 36.3% from borrowing in the previous year's survey.
The government's cash handouts for recipients of the government's welfare and subsidy scheme for the impoverished have helped reduce low-income earners' reliance on borrowing, he said.
The top activities for holiday spending are parties with average spending of 1,100 baht, followed by making merit and praying at 450 baht, giving money to relatives at 2,000 baht and buying gifts at 1,300 baht.
The top three gift categories during the holiday season are food and snacks, clothing, and healthy drinks.
Interestingly, the survey found that low-income earners' penchant for buying alcohol as a gift during the New Year period fell to 6.1% of respondents from 24.6% in the previous year's survey.
Some 45% of respondents said department stores are their top destination when buying gifts for others, followed by general markets and shops at 35.5% and convenience stores at 22.5%.
Buying via online channels is increasing, however, with Lazada, Shopee and Facebook the most popular among low-income earners.
Nearly 89% of respondents said they want to buy presents for their family members during the festive season, 37.9% for respected persons, 36.2% for themselves, 10.5% for friends and 6.8% for boyfriends or girlfriends.
Saving is the top New Year's resolution at 66.3%, followed by cutting spending at 47.2% and taking care of health at 42.4%.
Lower living costs is the respondents' most-wanted gift from the government, followed by lower fuel bills and a general election, Mr Chatchai said.
