The Thailand Industries Sentiment Index (TISI) picked up in October due to higher purchasing power in the fourth quarter, according to the Federation of Thai Industries (FTI).
FTI chairman Supant Mongkolsuthree said on Tuesday the TISI monthly survey put the index at 92.6 points, up from 91.5 in September.
Large and middle-sized companies were more confident of purchasing orders in the last quarter, while oil prices declined last month.
"Operating costs are better thanks to declining oil prices," he said.
"Moreover, natural disasters had less impact on overall shipments and there was new movement in government megaprojects."
However, there were still concerns over the current trade war between the United States and China, which affected emerging countries such as Thailand. The baht's strength against the US dollar remained worrisome as it was stronger than the currencies of other emerging countries.
The FTI predicted the TISI would reach 106.7 points over the next three months, boosted by the general election early next year.
The TISI survey in October polled 1,207 companies in 45 industrial sectors.
