Thailand to Miss Stimulus Borrowing Target as Spending Falters
- Borrowing seen 25% below government target of 600 billion baht
- Debt office sees bond yield curve steady at current level
This article is for subscribers only.
Thailand is likely to sell fewer bonds this fiscal year than previously announced, as government spending to cushion the blow from coronavirus outbreak is hampered by delays in identifying the right projects.
The government may borrow only 450 billion baht ($14.4 billion) through sale of securities and through term loans in the year ending Sept. 30, less than the 600 billion baht planned earlier to fund the Covid-19 stimulus program, said Patricia Mongkhonvanit, director general of the Finance Ministry’s Public Debt Management Office. The remaining 550 billion, part of the 1 trillion baht borrowing for stimulus, will be completed in the 2020-21 fiscal year, she said.