Bangkok: Ekniti is preparing to propose the 400 billion baht loan bill to Parliament next week, while the Thai Help Thai Plus project has not yet been submitted to the Cabinet. Prime Minister Ekniti unveiled the emergency decree for borrowing 400 billion baht to address the global crisis, revealing a relief plan coupled with a transition to clean energy. He affirmed that the decree will not affect the public debt ceiling and will be submitted to Parliament on May 14. Regarding the "Thailand Helps Thailand Plus" measures, they will not be submitted to the Cabinet next week, but the projects are proceeding according to the original timeline, utilizing multiple funding sources.

According to Thai News Agency, Deputy Prime Minister and Minister of Finance, Ekniti Nitithanprapas, revealed after the Cabinet meeting that the Cabinet approved an emergency decree authorizing the Ministry of Finance to borrow 400 billion baht to address the economic crisis affecting the public due to the global situation. This crisis is severe, rapid, and has occurred in five consecutive waves: the war crisis, the energy price crisis, the production cost crisis, the cost of living crisis, and the declining purchasing power crisis. 'The government has reduced the borrowing amount from the initially reported 500 billion baht to only 400 billion baht to maintain fiscal discipline and consider the concerns of all sectors. We emphasize that this borrowing is not only for relief efforts but also to create opportunities for the country to adapt and achieve future sustainability,' Mr. Ekniti stated.

The loan will be divided into two main parts, each worth 200 billion baht. The first part will be used to provide relief and mitigate the direct impact on vulnerable groups of people and businesses. The second part will be used for the transition to renewable and clean energy to reduce vulnerability from dependence on foreign oil and natural gas. This will help lower long-term costs for the public and prevent a recurrence of the same crisis.

Regarding the urgent need to issue an emergency decree instead of using the regular budget, Mr. Ekniti explained that it was because the 2026 budget had insufficient remaining funds, with only about 50 billion baht actually available. The central budget only had slightly over 20 billion baht left, which needed to be reserved for other emergencies. Furthermore, the 2027 budget would not be available in more than five months, making it too late to address the crisis, which could escalate into stagflation-a crisis of inflation compounding the purchasing power crisis. Therefore, this was a decision the government had to make.

Mr. Ekniti confirmed that this borrowing will be entirely domestic to demonstrate fiscal discipline. He stated that this amount is available given the high liquidity in the banking system (over 1 trillion baht) and low interest rates, minimizing exchange rate risk and keeping borrowing costs low. The Ministry of Finance estimates that the public debt ratio will remain below 70% of GDP, within the established debt ceiling. Regarding the implementation process, the emergency decree will be submitted to parliament on May 14th, followed by the appointment of a committee to review the use of the borrowed funds, chaired by the Permanent Secretary of the Ministry of Finance. When asked if programs like the "Half-Price" scheme or various welfare cards could be funded from this decree, he replied that the government will also consider other funding sources. The government aims to begin implementing these programs to assist the public starting June 1st.