• Wed. May 22nd, 2024

Thailand Faces Economic Challenges: Urgent Measures Needed with 500 Billion Baht Handout Scheme

BySamantha Nguyen

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

In recent news, the Thai Prime Minister Srettha Thavisin has announced that the country’s economy is facing challenges and will require a boost from a proposed 500 billion baht ($13.7 billion) handout scheme known as the “digital wallet.” This scheme involves transferring 10,000 baht ($275) to 50 million Thais to be spent within six months. While there are concerns about its funding, the government aims to distribute the funds by May, but may now anticipate doing so in the fourth quarter of the year. The finance ministry and Budget Bureau are exploring different funding options for the scheme, including borrowing bills or tapping into fiscal budgets.

In 2023, Thailand unexpectedly contracted in the final quarter, leading to a full-year growth rate of 1.9%, lower than expected. 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 be held at an upcoming meeting on April 10th when details of the plan will be finalized.

Despite differing opinions about financing options for this program, both Srettha Thavisin and central bank governor agree that urgent measures are necessary to stimulate economic growth in Thailand. As low growth rates have been experienced over the past decade, it is crucial for Thailand’s economy to receive a boost in order to remain competitive globally.

By Samantha Nguyen

As a content writer at newsskio.com, I weave words to craft compelling narratives that captivate readers and bring stories to life. With a keen eye for detail and a passion for storytelling, I strive to create engaging and informative content that resonates with our audience. Whether I'm delving into the latest news trends or exploring unique angles on various topics, my goal is to deliver quality content that informs, entertains, and inspires. Join me on this journey as we uncover the news stories that matter most.

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