Factors that affect household debt in Kanchaburi KDSS

Household debt is now an issue of concern for policymaker in Thailand
because its fallout will have a far-reaching impact on the whole economy.

According to survey in by the National Statistical Office year 2004, household debt was 104,571 baht and increase to 136,562 baht in year 2011. This concern should be taken seriously, particularly if households are not able to determine their ability to service debt causing them to over-borrow especially in agricultural household.

The purpose of this study was to factors that affect household debt in Kanchaburi KDSS. The total number of households for this analysis is 10,837 households were included in the analyses, in which Binary Logistic Regression and Adjusted Probability technique were employed.

Results showed that the number of household member, vehicle ownership and use land for agriculture & livestock have a positive relationship with household debt while receiving remittance money have a negative relationship.

Furthermore, results showed households with vehicle are in debt about
73% of the households. Interestingly, that use land for agriculture & livestock are in debt about 75% of the households while household that do not use land for agriculture & livestock are likely to be in debt only 55%. Hence, those households associated in agricultural sector are in debt