Thai govt greenlights 500 billion baht boost for state-owned enterprises in 2024 budget bonanza
The Thai government yesterday approved a massive investment budget of 500 billion baht dedicated to 46 state-owned enterprises for the fiscal year 2024, commencing this October. The substantial budget aims to stimulate the national economy and bolster fiscal growth.
Government spokesperson Chai Wacharonke detailed the budget allocation, stating that the funding includes 209 billion baht earmarked for ongoing and routine projects. Furthermore, an additional 50 billion baht will be disbursed within the fiscal year.
In a further breakdown, Chai noted that state enterprises classified as public companies and subsidiaries (totalling five) are set to receive 241 billion baht. These entities will also benefit from an extra 50 billion baht in expenditure during the year.
The overall budget allocation for achieving routine objectives comes to a whopping 1.38 trillion baht.
Chai explained that for projects yet to receive cabinet approval and those investments that are to utilise funds according to the fiscal 2024 Budget Expenditure Act, they can proceed after obtaining the necessary nods through the prescribed process.
The government spokesperson also highlighted the target for disbursing state enterprise investment funds is set at 95% of the approved budget framework.
The cabinet also approved the National Economic and Social Development Council (NESDC), the state planning wing, to adjust the investment budget for state enterprises in the fiscal year 2024. This adjustment aligns with the allocation of budgetary funds according to the annual budget expenditure law.
The adjustment includes additional budget allocations, central budgets, or budget adjustments based on budgetary criteria and procedures, said Chai. These adjustments are also subject to the approval of the Budget Bureau.
The NESDC has been authorised to modify the operating budget and the investment budget of state enterprises to align with approved additional investments as per the cabinet’s resolution. This move ensures that enterprises can maintain their operations in the fiscal year 2024.
The cabinet reviewed and acknowledged the fiscal 2024 budget plans of state enterprises, which anticipate a net profit of 76.8 billion baht.
The meeting also took note of the preliminary forecast of operating trends for state enterprisesfromf 2025 to 2027. The projection includes an average annual investment expectation of 376 billion baht and an estimated average annual net profit of 83.4 billion baht, reported Bangkok Post.
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