Investing should be 4 % higher than the Prayut government’s approved financial 2024 budget, according to the Pheu Thai plan.
14 September 2023 at 14:45 PUBLISHED
According to a speech made public on Wednesday, the government has approved wasting of 3.48 trillion baht beginning on October 1 for the 2024 fiscal year, which will increase the budget deficit by 693 billion.
The deficit would be 100 billion baht, or 14 %, more than the 593 billon that the Prayut Chan-o-cha government earlier approved for the fiscal 2024 budget. Spending was expected to increase by 5.2 % to 3.35 trillion Baht, including 717 billion BaHt for investments. From financial 2023, which ends on September 30, the projected shortfall represented a 14.7 % reduction.
Based on the policy declaration it made in parliament this year, the fresh Pheu Thai government is getting ready to spend a lot of money to boost the weak economy. One of its top priorities is a loan ban for farmers and lower energy costs.
The 10,000-baht digital wallet program is the focal point of the revitalization effort, but ministers haven’t specified how it will be funded at its estimated price of 560 billion Baht thus far. In February, the program is anticipated to debut.
According to a state speech, public debts under the revised spending plan is anticipated to reach 64 % of Income by the end of the 2024 fiscal year. That exceeds the 60 % threshold, which has been followed for a long time but is still deemed controllable by the majority of economics. According to the statement, the goals are included in a medium-term strategy for 2027.
According to the statement, the government anticipates 3.2 % growth in the gross domestic product ( GDP ) in 2019. If the online bag has the potential to have an impact on the economy, that would be significantly less than the 5 % figure that Prime Minister Srettha Thavisin claimed was possible.
The post-pandemic economic recovery has so far been less robust than anticipated, with gross domestic product ( GDP ) growth in the second quarter of just 1.8 % year over year, as opposed to 2.6 %.
According to recent forecasts made by banks and financial researchers, the Bank of Thailand projects full-year economic development of 3.6 %, though it has stated that it may reduce the forecast due to weak exports.