• Fri. Jun 14th, 2024

Thailand Unveils $13 Billion Economic Boost Plan as Growth Rate Slips

BySamantha Jones

Mar 27, 2024
Thai Prime Minister considers funding options to boost economy with $13.7 billion handout plan

On Wednesday, Thai Prime Minister Srettha Thavisin announced that the country’s economy was facing significant challenges and needed a boost from a proposed handout scheme. The scheme, known as the “digital wallet,” involved transferring 10,000 baht ($275) to 50 million Thais to be spent within six months. However, concerns about funding have been raised, with some experts calling it fiscally irresponsible.

The government initially aimed to distribute the funds by May but is now anticipating doing so in the fourth quarter of the year. Srettha emphasized the importance of boosting the economy, especially given the low growth rates experienced over the past decade. In 2023, Thailand unexpectedly contracted in the final quarter, leading to a full-year growth rate of 1.9%, lower than the 2.5% growth seen in 2022. As a result, the state planning agency has revised its 2024 growth forecast to between 2.2% and 3.2%.

Discussions about funding sources for the handout scheme will take place at an upcoming meeting on April 10th when details will be finalized. One potential option for financing this program is through borrowing from overseas or domestically, which could help inject much-needed liquidity into Thailand’s struggling economy.

Srettha acknowledged that there were differing opinions on whether or not borrowing bills should be used for economic stimulus measures like this one. Despite these concerns, he stressed that urgent measures were necessary to stimulate growth and get Thailand back on track.

Central Bank Governor Veerathorn Juangroongruangkit also expressed his support for boosting economic growth through fiscal stimulus measures such as this handout scheme.

While some experts may call this move fiscally irresponsible, others argue that it is necessary during times of economic hardship like this one. Ultimately, only time will tell if this strategy works and helps to revive Thailand’s flagging economy.

In conclusion, Thai Prime Minister Srettha Thavisin has announced a proposed handout scheme worth $13 billion (50 billion baht) in an effort to boost economic growth in Thailand after years of low growth rates and contraction in recent years. The finance ministry and Budget Bureau are currently exploring different funding options for this program while keeping an eye on global market trends that could impact their decision-making process going forward.

By Samantha Jones

As a dedicated content writer at newszxcv.com, I bring a passion for storytelling and a keen eye for detail to every piece I create. With a background in journalism and a love for crafting engaging narratives, I strive to deliver informative and captivating content that resonates with our readers. Whether I'm covering breaking news or delving into in-depth features, my goal is to inform, entertain, and inspire through the power of words. Join me on this journey as we explore the ever-evolving world of news together.

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