FPO expects rising government revenue
2023 target in line with economic revival
The Finance Ministry's projection of higher government revenue in fiscal 2023 is in line with the economic recovery, says Fiscal Policy Office director-general Pornchai Thiraveja.
The government forecast fiscal 2023 net revenue of 2.49 trillion baht, up from an outlook of 2.4 trillion baht in fiscal 2022.
In May the National Economic and Social Development Council predicted real GDP growth of 3.7% next year. It also downgraded its forecast for 2022 economic growth to a range of 2.5-3.5% from 3.5-4.5% given global uncertainties, especially the impact of the ongoing Russia-Ukraine war.
Mr Pornchai said the Revenue Department, Customs Department and state enterprises all expect higher revenue next year, in line with the improving economy and growing trade.
The House of Representatives finished the first reading of the 2023 expenditure bill in June. The government set next year's expenditure at 3.18 trillion baht, with a deficit of 695 billion baht. The deficit is 5 billion baht lower than the deficit in fiscal 2022.
The government collected net revenue of 1.27 trillion baht during the first seven months of fiscal 2022, up 4.5% year-on-year and higher than the target by 3.7%, or 45.8 billion baht.
The Revenue Department's revenue collection in the period was 117 billion baht higher than its target, which offset the Excise Department's lower than expected collection. The Excise Department missed its target by 26.5 billion baht because of the diesel excise tax reduction, meant to help with rising energy prices.
The Customs Department's revenue collection in the same period surpassed its target by 5%, or 2.92 billion baht, while state enterprises' revenue surpassed their target by 3%, or 2.68 billion baht.