Thailand’s government is moving forward with a 500 billion baht ($13.9 billion) stimulus initiative and may consider borrowing to fund it, according to a deputy finance minister speaking on Wednesday.
Julapun Amornvivat made these comments during parliamentary proceedings, which commenced a three-day discussion on a 3.48 trillion baht ($96.5 billion) budget proposal for the 2024 fiscal year, aimed at revitalizing the economy of Southeast Asia’s second-largest nation.
“We emphasize the potential necessity of securing a loan through a legislative measure, though any adjustments would likely require re-approval from parliamentary members,” he stated. “Nevertheless, the initiative will proceed as planned.”
The initiative entails providing 10,000 baht to 50 million Thai citizens to be spent over six months, although concerns have been raised regarding its funding, with certain experts labelling it as fiscally irresponsible.
Julapun also expressed the government’s aspiration to achieve a balanced budget within an appropriate timeframe.
The proposed budget for the 2024 fiscal year aims for a 9.3 per cent increase in expenditure and a 0.3 per cent reduction in the budget deficit to 693 billion baht from the previous year.
Following the debate on the budget’s second and third readings, it will require further approval from the Senate and the King.
The government anticipates that the budget will be available for use by early next month, a delay from the original start date of October 1, 2023, due to prolonged political deadlock following a May election. A new government was established in August.