Bangkok (VNA) – Thailand's House of Representatives on September 5 approved a 3.75-trillion-THB (111 billion USD) budget bill for fiscal year 2025.
After a three-day debate, the 500-member lower house of the Thai parliament passed the bill with 309 votes in favour, 155 against and four abstentions. The bill will be applied for the fiscal year starting October this year.
It proposes a 4.2% rise in government spending from the revised outlay for the current fiscal year. The figure will allow new Thai Prime Minister Paetongtarn Shinawatra to increase state spending to boost the nascent economic recovery.
The budget proposal includes a deficit financing of 866 billion THB, equivalent to 4.5% of gross domestic product (GDP), based on a growth forecast of 2.8-3.8% next year. The Thai government forecast overall inflation in the range of 1.1-2.1%, with current account surplus estimated at 1.6% of GDP.
The bill is scheduled for Senate consideration next week and requires royal endorsement before taking effect.
The budget - equivalent to about a fifth of Thailand's 500-billion-USD economy - includes partial funding for the coalition government's controversial 14 billion USD cash handout programme to boost consumption and production.
PM Paetongtarn is facing challenges to revive the Thai economy, which is being held back by near-record household debt, sluggish exports and a manufacturing sector weakened by cheap imports, mainly from China./.
