BANGKOK: Thai Prime Minister Paetongtarn Shinawatra on Thursday (Sep 12) outlined her government’s policy agenda to parliament, headlined by plans to give away 450 billion baht (US$13.4 billion) in handouts to jumpstart Southeast Asia’s second-largest economy.
Political newcomer Paetongtarn’s cabinet was sworn in this month after parliament elected her Thailand’s youngest premier following the shock removal of predecessor Srettha Thavisin by a court decision.
The policies largely continue ally Srettha’s agenda and that of their populist Pheu Thai party, including debt restructuring and legalising casinos to draw in investment and more tourists.
Paetongtarn told parliament her government was facing challenges, including structural economic problems, and said the government would act with urgency to stimulate growth.
“If there are no financial and fiscal measures to support economic growth, it is expected that the country’s economic growth rate will not exceed 3 per cent per year,” she said.
That would result in the public debt level approaching the ceiling of 70 per cent to gross domestic product (GDP) in 2027, she said. Public debt stood at 63.74 per cent of GDP at the end of July.
“Therefore, it is a great challenge that the government must urgently restore the country’s economy to quickly grow strongly again,” Paetongtarn said.
While she highlighted the signature plan for a “digital wallet” handout of 10,000 baht (US$300) to 50 million people, some of which Paetongtarn has previously said would be given in cash, there were no updates on how or when it would be rolled out.
