The Big Mac index: Thailand

Macro

2026-09-01

Description

The big mac index was invented by The Economist in 1986 as a lighthearted guide to whether currencies are at their “correct” level. It is based on the theory of purchasing-power parity (PPP), the notion that in the long run exchange rates should move towards the rate that would equalise the prices of an identical basket of goods and services (in this case, a burger) in any two countries.

Published by
The Economist
Frequency
Aperiodically
Next Update

AI Data Insight

Thailand's Big Mac Index reached 4.3024 USD in Q1 2026, a significant increase from 4.1649 USD in the previous Q3 2025, setting a new record high. This data movement primarily reflects the exchange rate effect of a strongly appreciating Thai Baht. Despite mild local inflation, the strong currency has pushed up USD-denominated end-consumer prices. The market expects the Bank of Thailand to closely monitor the risks of an overheating exchange rate to avoid further impact on export competitiveness.

AI Data Insight

Thailand's Big Mac Index reached 4.3024 USD in Q1 2026, a significant increase from 4.1649 USD in the previous Q3 2025, setting a new record high. This data movement primarily reflects the exchange rate effect of a strongly appreciating Thai Baht. Despite mild local inflation, the strong currency has pushed up USD-denominated end-consumer prices. The market expects the Bank of Thailand to closely monitor the risks of an overheating exchange rate to avoid further impact on export competitiveness.

Description

The big mac index was invented by The Economist in 1986 as a lighthearted guide to whether currencies are at their “correct” level. It is based on the theory of purchasing-power parity (PPP), the notion that in the long run exchange rates should move towards the rate that would equalise the prices of an identical basket of goods and services (in this case, a burger) in any two countries.

Published by
The Economist
Frequency
Aperiodically
Next Update