Air pollution costing Thailand trillions of baht in economic damage

PM10 and PM2.5 costs Bangkok alone nearly THB450 billion per year, says study

The economic damage caused by PM2.5 pollution to Thai households in 2019 was estimated at 2.173 trillion baht, while the economic cost of PM10 pollution in Bangkok amounts to 446.023 billion baht per year, according to a recent study.

Applying the subjective well-being approach to assess the economic damage, the research on air pollution and its economic impacts by Assoc Prof Wisanu Atthavanich from the Puey Ungphakorn Institute for Economic Research revealed the extent of financial losses from air pollution each year.The economic impact of air pollution varies by region, with Bangkok bearing the highest cost. According to research, the average annual economic damage from PM10 (particulate matter less than 10 microns in diameter) and PM2.5 pollution was as follows:

– Bangkok – 436.33 billion baht/year
– Chonburi – 80.119 billion baht/year
– Nakhon Ratchasima – 70.784 billion baht/year
– Chiang Mai – 70.356 billion baht/year
– Khon Kaen – 53.466 billion baht/year

Additionally, a study by Kasikorn Research Center estimates that the economic loss due to health-related opportunity costs in Bangkok over a one-month period exceeds 3 billion baht. The PM2.5 air pollution crisis leads to increased healthcare expenses, including medical treatments and preventive measures like face masks and air purifiers. While businesses may benefit from sales, these costs represent a lost opportunity for consumers, as they could have otherwise spent the money on different goods and services, the study said.

Kasikorn Research further estimates that around 2.4 million people in Bangkok suffer from respiratory or allergy-related illnesses, with 50% of them requiring at least one doctor's visit per month. With medical and travel expenses averaging 1,800–2,000 baht per person, the total health-related economic loss—including both treatment and prevention costs—amounts to approximately 3 billion baht per month.The economic impact of air pollution extends beyond direct healthcare costs. When factoring in other economic activities—such as reduced outdoor activities, work-from-home arrangements, school closures, and declines in tourism—the opportunity cost is even higher, according to the study. Additionally, the impact is not limited to Bangkok but affects other regions as well.

Experts emphasise that the current economic assessments only capture a fraction of the total losses. Many long-term effects remain difficult to quantify, particularly chronic health risks and the long-term burden on the healthcare system and the impact on Thailand’s global positioning as a business, tourism and medical hub

Without effective air pollution control measures, these hidden costs could undermine economic growth and Thailand’s competitiveness on the global stage.

(2025/01/29-00:00)