New economic stimulus measures will include short-term investment initiatives, spanning four to five months, designed to sustain economic growth of at least 2% this year, according to finance permanent secretary Lavaron Sangsnit.
Mr Lavaron said on Friday that a meeting of the economic stimulus committee chaired by Prime Minister Paetongtarn Shinawatra is scheduled for May 19 to consider the stimulus measures.
The government has a remaining budget of 157 billion baht for stimulus projects, he said.
Mr Lavaron said the details of the stimulus projects cannot be disclosed yet, pending approval by the committee.
However, he said the projects involve short-term spending over four to five months to stimulate the economy this year, which has been affected by United States President Donald Trump’s tariff policies.
“The latest assessment by the Fiscal Policy Office forecasts economic growth of 2.1%, down from the previous estimate of 2.9%," said Mr Lavaron.
"A 2.1% growth rate is considered the worst-case scenario.”
The 157 billion baht of remaining budget was originally intended for the digital wallet project, making a review necessary because the economic context changed as a result of Trump’s tax policies, he said.
The Ministry of Finance has held discussions with the National Economic and Social Development Council (NESDC) and the Budget Bureau to reconsider how the budget should be used, and to develop appropriate and timely measures to cope with the impacts to various sectors from Trump’s policies, said Mr Lavaron.
“Whether the stimulus funds are sufficient depends on the scale of the impact on Thailand’s economy,” he said. “There are already some signs of economic improvement.”
Mr Lavaron said the government still has about 50 billion baht remaining in the central emergency and contingency budget, which the prime minister is authorised to utilise.
In addition, the Budget Act permits the finance minister to borrow up to 50 billion baht.
However, use of these funds is contingent on the nature of the projects they are intended to support, he added.