Thailand vouches for importance of balanced budget at World Bank meeting
Thailand's Ministry of Finance has highlighted the strategic importance of maintaining a balanced budget while implementing fiscal measures to stimulate economic growth and support the development of the digital economy.
Pornchai Thirawej, the director of the Fiscal Policy Office and spokesperson for the ministry, said the remarks were made at the 2024 World Bank and International Monetary Fund Governors' Meeting in Washington, DC. Deputy Minister of Finance Paopoom Rojanasakul participated in the Southeast Asia Voting Group (SEAVG) meeting organised by the World Bank and IMF.
The meeting brought together representatives from 11 member countries: Fiji, Brunei Darussalam, Indonesia, Laos, Myanmar, Malaysia, the Philippines, Cambodia, Singapore, Thailand, and Vietnam.
The meeting discussed global and regional economic developments, with the World Bank and IMF, emphasising the need for policy advice and financial assistance to developing countries.
Paopoom expressed gratitude for the continued support provided by the World Bank and IMF to Thailand and other SEAVG members and urged increased assistance programmes in Southeast Asia. He also requested support for strengthening defence capacity in preparation for future crises.
The meeting also focused on economic balancing, emphasising the importance of optimising public spending, mobilising domestic resources, managing debt, and utilising digital technology to sustain economic growth.
Thailand's policies were highlighted as examples of successful implementation, including the use of digital technology and large databases to improve tax efficiency and expand the tax base through online businesses and digital platforms.
Representatives from the World Bank and IMF acknowledged the diverse contexts and challenges faced by Southeast Asian countries, emphasising the need for tailored fiscal balance adjustments.
Meanwhile, Paopoom held bilateral discussions with Manuella V Ferro, vice president for Asia and the Pacific at the World Bank, on Thailand's economic outlook, policy priorities, and cooperation with the bank.
The vice president expressed confidence in Thailand's economic fundamentals and highlighted its potential as a financial centre. She also praised Thailand's Retirement Savings Lottery policy and its efforts to promote productivity in the agricultural sector. These initiatives are expected to drive sustainable development and attract foreign investment.
Paopoom also met with the Governor of the Japan Bank for International Cooperation (JBIC), discussing energy transition, investment in the automotive industry, and cooperation between JBIC and the Export-Import Bank of Thailand. The JBIC governor expressed confidence in Thailand's economy and its potential for long-term investment in carbon neutrality and a green economy.
Finally, Paopoom attended a meeting of ASEAN finance ministers and central bank governors with IMF managing director Kristalina Georgieva. The meeting focused on global and regional economic developments. The IMF projects 2.8 per cent economic growth for Thailand in 2024 and 3.0 per cent in 2025. The IMF's role in supporting ASEAN member countries in addressing current economic challenges was also discussed.
