The Bank of Thailand says increasing in Kingdom’s national debt ceiling will give flexibility in implementing measures to deal with the coronavirus and support the economy as fiscal measures continue to be required.
The central bank said on Tuesday raising Thailand’s debt ceiling to 70% of (GDP) from 60%, would above all allow the government to raise more funds. Furthermore, it would help a weakened economy while the nation’s tourism sector continues to struggle with no international tourists.
The risk to budget stability is low as the new debt ceiling is not too high and most of the national debt with borrowing costs is domestic, Vice Governor Mathee Supapongse said in a statement.
“Raising the debt ceiling does not mean that the government has to borrow to meet the limit, it means increasing flexibility in implementing the measures,” he said. Furthermore,…
