THAI GOVERNMENT TAKES EMERGENCY FISCAL STEPS TO MANAGE COVID-19 ISSUES

Thailand’s Royal Gazette website published an emergency decree on Tuesday, allowing the Ministry of Finance to borrow money to tackle social and economic problems caused by the COVID-19 outbreak. It came into effect on the same day.

The emergency decree stipulates that the amount to be borrowed shall not exceed THB500 billion and is to provide necessary aid and compensation to people, in all occupations, who have been affected by the new wave of the pandemic. The law allows the government to issue bonds or to borrow in Thai baht or foreign currencies.

300 billion baht will be used to help or compensate affected people and business operators. Another 170 billion baht is for projects aimed at enabling businesses to retain employees and stimulating investment and consumption.

The remaining 30 billion baht will be used to stop the spread of COVID-19, such as buying medical equipment and vaccines, supporting local research and development and improving medical facilities for COVID-19 patients.