BANGKOK, Thailand – The Ministry of Finance announced a shortfall in tax revenue for the fiscal year 2024, missing the target by 4-5 billion baht, October 29. Deputy Finance Minister Chulaphan Amornvivat revealed that net revenue collection for FY2024, from October 2023 to August 2024, reached 2.45 trillion baht, falling short largely due to excise tax reductions and the strong Thai baht.
The Ministry anticipated this shortfall mid-year after reducing excise taxes to stabilize diesel prices and lower public costs, resulting in a 28-billion-baht gap in excise revenue. Additionally, the strong baht impacted VAT on imports, further decreasing revenue collection.
Despite the shortfall, Deputy Minister Chulaphan confirmed that budget management remains unaffected, and cash flow for budget disbursements continues as usual. The pressure from the strong baht has eased following the Bank of Thailand’s recent 0.25% interest rate cut. Future monetary policy adjustments will be closely monitored.
Finance Ministry Permanent Secretary Lawaron Saengsanit assured that the revenue shortfall will not affect the fiscal balance, as annual budget disbursement often does not reach 100%, ensuring sufficient cash flow for ongoing operations. (TNA)
