The Thai Cabinet has approved an increase to the fiscal year 2024 budget to support a new stimulus program. The initial proposal suggests an additional 122 billion baht (approximately US$3.36 billion) to fund the initiative, though the final increase amount is yet to be confirmed.
The additional funds are earmarked for the government’s “digital wallet” program, which aims to distribute 10,000 baht to each of 50 million citizens to stimulate local economic activity.
In 2025, the budget deficit is projected to grow by 152.7 billion baht, bringing the total budget to 3.752 trillion baht to accommodate this program. Despite opposition from some economists, the government insists that this stimulus is essential for economic recovery. The central bank has emphasized that the program should prioritize support for vulnerable groups.
The government previously announced that funding for the stimulus would be sourced from the 2024 and 2025 fiscal budgets, with additional contributions from the Bank for Agriculture and Agricultural Cooperatives.
The decision saw the attendance of various officials, underscoring the importance of the program to the country’s economic strategy.
