Thai Cabinet Approves Economic Stimulus Projects Worth 157 Bln Baht

BANGKOK, June 24 (Bernama) -- Thailand’s Cabinet has approved a proposal for economic stimulus projects under the country’s Economic Drive Plan, with a total budget of 157 billion baht.

Finance Minister Pichai Chunhavajira stated that the projects, reviewed by the Economic Stimulus Policy Committee, comprise 481 initiatives, encompassing 8,939 sub-activities across 50 budget-receiving units, with a total allocation of 115.375 billion baht.

“These initiatives aim to achieve short-term economic stimulation with long-term benefits. In addition to fostering economic growth through job creation, infrastructure development will strengthen Thailand’s competitive capacity amidst global economic volatility,” he said in a statement on Tuesday.

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Pichai, who also serves as Deputy Prime Minister, stressed that these measures are designed to effectively stimulate short-term economic activity while laying a foundation for sustainable long-term growth through infrastructure investment, human capital development, and regulatory improvements. He said the committee will closely monitor the economic situation and adjust policies to remain prepared for uncertainties.

“The budget prioritises low-income provinces, with the Northeast receiving a larger share. Funds are distributed nationwide to provinces and districts, focusing on infrastructure development for medium- and long-term economic restructuring,” he added.

Separately, Deputy Finance Minister Dr Paophum Rojanasakul announced the approval of a soft loan scheme totalling 15 billion baht to support small and medium-sized enterprises (SMEs) in the three southern border provinces.

Dr Paophum noted that recent unrest in Yala, Pattani, and Narathiwat has adversely affected business confidence and investment in the region. “To ensure continued support for entrepreneurs and to enable them to sustain their operations, the finance ministry has proposed extending and revising the criteria for financial assistance programmes in the three southern border provinces until the end of 2027,” he explained.

Under the Southern Region Soft Loan Programme, the Government Savings Bank will provide low-interest loans totalling 15 billion baht to participating financial institutions, including commercial banks and specialised financial institutions.

These institutions will then offer loans to entrepreneurs in the provinces of Yala, Pattani, Narathiwat, and four districts in Songkhla province – Thepha, Chana, Na Thawi, and Saba Yoi. “Loans will be available at a low interest rate of 1.99% per year for working capital to enhance liquidity or for investments to expand operations, with a loan limit of up to 20 million baht per borrower,” he added.

-- BERNAMA