BANGKOK, July 1– New measures to stimulate Thailand’s economy will be issued in light of this year’s declining economic growth, according to a high-ranking official.
Areepong Bhoocha-oom, permanent secretary for finance, said he would discuss economic stimulus packages for the second half of this year with related officials while rural government agencies will be instructed to speed up their budget use, both withdrawals and spending.
The Fiscal Policy Office (FPO) has lowere its projection of Thailand’s 2013 economic growth to 4.5 per cent due to a slowdown in exports and termination of most government stimulus programmes, including tax reduction on first-car purchases, he said.
Domestic consumption fundamentals, however, remain positive, he added.
Mr Areepong expressed optimism that the Thai economy will bounce back given the depreciating baht which contributes to export growth, while more attention will be given to expanding exports to China – a country with considerable purchasing power.
He said the government should promote the country’s ever-expanding tourism which can compensate for diminishing revenue from exports.
FPO director general Somchai Sujjapongse said the new forecast on economic growth, to be announced by other agencies, should be in accord with the FPO projection and should not be lower than 4 per cent.
This year’s export growth should not be less than 5.5 per cent thanks to the depreciating baht, he said.
