The Bank of Thailand's northern office says the region slowed in Q2 2026: weaker household spending power, fewer tourists (especially Chinese and Thai travellers, due to higher travel costs and fewer flights), and falling farm incomes from lower prices for rice, pineapple and pigs. Construction investment is still shrinking, and Social Security Section 33 contributors fell in several provinces, with most employers holding off on hiring. Q3 is expected to recover gradually, helped by government stimulus (Thai Chuay Thai Plus, larger welfare card limits) and easing energy prices. For a northern SME: keep hiring and stock levels cautious, watch cash flow from farm-linked customers, and be ready for a gradual pickup rather than a sharp rebound.