PM Srettha’s 122 billion baht budget boost to stimulate economy

Prime Minister Srettha Thavisin launched the first reading of an additional budget for fiscal 2024, earmarking a whopping 122 billion baht for economic stimulus through the digital wallet scheme.

Addressing the House, the Thai Premier outlined the government’s plan to disburse a 10,000-baht digital handout, aimed at enhancing the quality of life and generating job opportunities.

“We cannot afford to wait until the fiscal 2025 budget.”

The premier detailed that 10 billion baht of the supplementary funds would be sourced from taxes and other government revenues, while the remaining 112 billion baht would come from borrowing.

The Bangkok-born prime minister assured lawmakers that this significant investment would invigorate the private sector by facilitating the procurement of goods and services, ensuring the money circulates robustly within the economy. The additional funds will be integrated into the already approved 3.48 trillion baht national budget for 2024, elevating the total to 3.602 trillion baht.

Highlighting the government’s strategic priorities, PM Srettha noted that 800 billion baht, or 22.4% of the total budget, will be dedicated to investment. He further guaranteed that the government adhered strictly to the Financial Discipline Act in requesting these extra funds.

“Thailand maintains strong financial stability, with US$220 billion (around 7.9 trillion baht) in reserves as of May 31.”

The 62 year old PM added that the reserves are 2.5 times higher than the short-term foreign debts.

In a succinct 13-minute defence of the additional budget bill, the Thai prime minister presented a compelling case before returning to his office at Government House. The House has allocated 13 hours for the debate on the bill’s first reading, with equal time for coalition and opposition arguments.

The bill, pivotal for Thailand’s economic recovery, is slated for enactment within 105 days after being tabled in the House of Representatives, by October 21, reported The Nation.

In related news, an injection of 3.48 trillion baht from the 2024 fiscal budget has finally been disbursed in the second quarter of this year, following delays that began on October 1 last year due to political setbacks after the General Election in May.