Pawnshops doing brisk trade
The pawnshop business has shown strong growth this year, up 16.2 per cent and worth Bt106.7 billion to date, following the slight economic expansion and a rise in consumer spending, especially at the beginning of the school term.
According to a study by Kasikorn Research Centre, 35 per cent of turnover is done at the beginning of the two school terms, in May and October. In a survey from April 1-20, half of respondents planned to pawn assets to pay for school fees and accessories at the beginning of the upcoming school term. The study found that pawnshops had shown a strong increase in business this year after the economic slowdown had a negative impact on the earnings of consumers. "The cost of school accessories has increased following a rise in raw-material prices," the research reported. Gold is a popular asset to pawn, followed by home appliances and agricultural equipment, which is popular upcountry.
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