Govt: THB2.2 trillion loan will not drive public debt to exceed 50 of GDP

Published on March 24, 2013 by TFP   ·   No Comments

BANGKOK, 24 MARCH 2013 (NNT) â€" The government has repeatedly affirmed that the planned 2.2 trillion baht loan for infrastructure investment will not drive the Thailand’s public debt level above the agreed ceiling of the GDP.

Deputy Prime Minister and Finance Minister Kittiratt Na-Ranong, said during the weekly “PM Yingluck Government Meets the People” that the new draft bill to enable the government to borrow as much as 2.2 trillion baht in loans for infrastructure development projects will be implemented under 3 key strategies.

The Cabinet, last Tuesday, approved the draft 2-trillion-baht infrastructure development loan bill.

Mr. Kittiratt stated that the projection implementation has been planned to help equip Thailand with better logistics and transport systems at lower costs, to help connect Thailand with neighboring countries and to facilitate the transportation of goods.

The Deputy PM affirmed that the mega project investment plan will not bring about the rise of the country’s public debt to exceed 50% of the GDP, which is still below the set ceiling of 60%.

Meanwhile, Transport Minister Chadchart Sittipunt stressed that the execution of all projects must be transparent while allowing for public participation and scrutiny.

He added, once approved by the House of Representatives, the project will likely be implemented in 2014.

The government's draft bill to acquire 2.2 trillion baht in loans is scheduled to be tabled to the Lower House for deliberation during March 25-26.

( Narumon Ngamsaithong)

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Article source: http://www.thethailandlinks.com/2013/03/25/govt-thb2-2-trillion-loan-will-not-drive-public-debt-to-exceed-50-of-gdp/