The consumer index rose to 53.8 in March from 52.6 in February.
Thailand has long been a popular destination for Chinese tourists with more than 11 million visiting Thailand in 2019, nearly a third of the total.
In the first quarter, Southeast Asia's second-largest economy
beat its target of 6 million foreign arrivals, recording 6.15 million visitors. The country expects to welcome up to
30 million arrivals
in the full year.
As Thailand heads into
elections next month
, canvassing and campaigning is also generating activity.
"(Elections) will impact confidence in April and May as
the formation of a government becomes more clear and the money
spent campaigning is reflected in the economy," Thanavath said.
A separate index for business confidence also rose to
50.5 in March, the highest in 49 months.
(Reporting by Kitphong Thaichareon, Chayut Setboonsarng and
Satawasin Staporncharnchai
Editing by Ed Davies)