20-3-2024 (BANGKOK) Thailand’s government is moving forward with a 500 billion baht ($13.9 billion) stimulus package and might still resort to borrowing to fund it, as revealed by a deputy finance minister on Wednesday.
Julapun Amornvivat addressed parliament during a three-day debate on a 3.48 trillion baht ($96.5 billion) budget bill for the 2024 fiscal year, aimed at rejuvenating the economy of Southeast Asia’s second-largest nation.
“We maintain that obtaining a loan through a bill may be necessary, but if circumstances change, we will likely seek approval from parliament members again,” he stated. “However, the project will certainly proceed.”
The proposed scheme entails distributing 10,000 baht to 50 million Thai citizens to be spent over six months. Nevertheless, it has faced criticism regarding its funding, with some experts deeming it financially irresponsible.
Julapun also expressed the government’s aspiration to achieve a balanced budget within a suitable timeframe.
The 2024 fiscal year budget targets a 9.3 per cent increase in expenditure while aiming for a 0.3 per cent reduction in the budget deficit to 693 billion baht compared to the previous year.
Following debates on the budget’s second and third readings, it will require further approval from the senate and the king.
The government has indicated that the budget should be ready for implementation by early next month, following a delay from the original start date of October 1, 2023, due to prolonged political deadlock following a May election. A new government took office in August.
