Fiscal 2025 budget deficit to more than double due to high expenditure allocation
The government has increased expenditure in the draft fiscal 2025 budget by 865.7 billion baht, resulting in a total expenditure budget next year of 3.752 billion baht, a news source said on Friday.
The source was citing a circulation notice from the Secretariat of the Cabinet to ministries and departments to notify them of the change in the draft of the fiscal budget.
The increase in expenditure budget by 865.7 billion baht is reportedly earmarked for the government’s economic stimulus campaigns, more than doubling the budget deficit — from 713 billion baht to 1.527 trillion baht.
The source added that the Budget Bureau is scheduled to hold a public hearing session on the new draft from April 24-30, and would publish the final version of the draft for Cabinet’s consideration by May 14.
The first reading in Parliament is expected to take place in late May or early June.
It is widely speculated that part of the increased budget will be used to fund the digital wallet scheme, a Pheu Thai Party’s flagship policy to boost the economy by stimulating domestic spending.
The scheme, which is estimated to cost 500 billion baht, promises to hand out 10,000 baht in digital money to eligible Thais to spend at local businesses. Recipients must be 16 years old with monthly income less than 70,000 baht a month and bank deposits less than 500,000 baht.
