The Thai government has unveiled a 3.788 trillion baht ($110 billion) budget for fiscal 2027, maintaining a 788 billion baht deficit as it prioritizes economic support over rapid fiscal consolidation while pledging to keep public debt within its self-imposed limits.
Presenting the budget bill to the House of Representatives on Monday, Deputy Prime Minister and Finance Minister Ekniti Nitithanprapas said continued deficit spending remained necessary as Thailand confronts slowing growth and mounting external risks.
As Southeast Asia's second-largest economy, Thailand's public debt stood at 66.66 percent of GDP in April, approaching the government's fiscal discipline ceiling of 70 percent.
The proposed budget allocates 3.788 trillion baht in expenditure against 3 trillion baht in net revenue available for spending, leaving a financing gap of 788 billion baht. Gross government revenue for fiscal 2027 is projected at 3.1452 trillion baht, up 2.7 percent from the previous year.
Ekniti said Thailand's economy is forecast to expand by 1.7 to 2.7 percent in 2027, with a midpoint estimate of 2.2 percent, supported by a recovery in global trade and domestic consumption. Inflation is expected to remain contained at 0.5 to 1.5 percent.
