BOT Governor: Target Borrowing Decree Amid Uneven Economic Recovery

MGR Online•Economy•3d ago

Reader Briefing

Bank of Thailand Governor emphasizes targeted fiscal measures for an unevenly recovering economy.

•Bank of Thailand Governor Vitai Ratanakorn commented on the government's plan to issue a decree for a 400 billion baht loan.
•The loan is intended to stimulate the economy and support those impacted by the energy crisis stemming from the Middle East conflict.
•The Governor suggested the borrowing should focus on targeted aid rather than broad relief due to the uneven economic recovery.

•The Thai economy is experiencing an uneven recovery, with grassroots individuals and small SMEs most affected by rising living costs and oil prices.
•Bank of Thailand Governor Vitai Ratanakorn stated that a 300 billion baht stimulus could increase GDP by 0.5-0.7% from an estimated 1.5% growth this year.
•The Governor advised the government to weigh direct relief payments against economic investment, noting the former provides immediate support but may reduce future growth, while investment offers sustained growth.
•Vitai Ratanakorn believes the borrowing decree should be used for targeted assistance for those most impacted.
•The Bank of Thailand Governor highlighted fiscal policy as the most effective tool for managing the current situation.
•Monetary policy is considered broader and takes 6-12 months to show clear results, making fiscal policy more suitable for immediate needs.
•The Governor elaborated that fiscal policy is the most effective tool for managing the situation.
•Monetary policy is understood to have a broad impact and typically takes 6-12 months to yield clear results.

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วิทัย รัตนากร

"The decree to borrow money should be used for targeted assistance."

พ.ร.ก.กู้เงินฯ ควรออกมาช่วยเหลืออย่างตรงจุด

วิทัย รัตนากร

"Fiscal policy is the most effective tool for managing the situation."

นโยบายการคลัง ถือเป็นเครื่องมือที่มีประสิทธิภาพที่สุดในการประคองสถานการณ์

Bank of Thailand(ธนาคารแห่งประเทศไทย)ℹ️

The central bank of Thailand, responsible for monetary policy and economic stability.

Government(รัฐบาล)

The executive branch of Thailand, intending to implement a borrowing decree.

Ministry of Finance(กระทรวงการคลัง)ℹ️

The government ministry responsible for public finance and the proposed borrowing decree.

Vitai Ratanakorn(นายวิทัย รัตนากร)

Governor of the Bank of Thailand, providing expert commentary on economic policy.

Decree to Borrow Money(พ.ร.ก.กู้เงินฯ)

A proposed legal instrument for the government to borrow funds, discussed in the article.