Thai industries urge government to borrow more money to boost economy

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Mr. Supant said Thailand needs more money to drive the economy, which has been contracting due to the pandemic, adding that the government’s previous 500-billion-baht emergency loan decree was not enough.

The Federation of Thai Industries (FTI) is urging the government to borrow an additional 1 trillion baht to help the economy next year, following months of lockdown to curb COVID-19 outbreaks.



FTI chairman Supant Mongkolsuthree said Thailand needs more money to drive the economy, which has been contracting due to the pandemic, adding that the government’s previous 500-billion-baht emergency loan decree was not enough.


He said Thailand should follow other countries and borrow more money to restore the economy and the 1-trillion-baht loan decree is needed for 2022. Extra borrowing must be used to help small and medium-sized enterprises (SMEs), which are possibly bearing the heavy brunt of the pandemic and lockdown measures and really need help from the government.



According to Mr. Supant, the FTI has thrown its support behind the Joint Standing Committee on Commerce, Industry and Banking’s proposal seeking an increase in the ratio to 70% of the Thai Credit Guarantee Corporation’s SME soft loan scheme guarantees, up from the existing 40% of the total credit line. (NNT)