ID :
43526
Sat, 01/31/2009 - 16:45
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http://m.oananews.org//node/43526
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Thailand to borrow Bt270 billion to to boost economy
BANGKOK, Jan 31 (TNA) - Thai Finance Minister Korn Chatikavanich said on Saturday he would seek Cabinet approval Tuesday for a plan to borrow Bt270 billion from domestic and international lending agencies in an attempt to stimulate the Thai economy amid the current global downturn.
The sum will be sought to bolster liquidity at state banks and firms so they could provide more funding and extend credit facilities for varied manufacturing and exporting sectors.
Of that sum, an estimated Bt70 billion will be borrowed from the Asian Development Bank, the Japan International Cooperation Agency (JICA) and the World Bank, the finance minister said.
The Bt270 billion loans will be injected into the country's economic mechanisms and add to the government's mid-year economic stimulus package which recently won approval in the first reading of the House of Representatives.
Eight state banks and financial institutes, including the Small and Medium Enterprise Development Bank of Thailand (SME Bank) and the Bank for Agriculture and Agricultural Cooperatives will be instructed to extend credit lines for their customers such as exporters and small- and medium-sized entrepreneurs.
The finance minister dampened fears that the government might be running out of cash to cover regular expenditures -- including the monthly payroll for government personnel nationwide, given an untapped sum of only about Bt52 billion currently left in the state coffers.
Mr. Korn said the government will collect a sizeable sum of revenue from corporate income tax around the middle of this year in addition to the sought-after loans. (TNA)
The sum will be sought to bolster liquidity at state banks and firms so they could provide more funding and extend credit facilities for varied manufacturing and exporting sectors.
Of that sum, an estimated Bt70 billion will be borrowed from the Asian Development Bank, the Japan International Cooperation Agency (JICA) and the World Bank, the finance minister said.
The Bt270 billion loans will be injected into the country's economic mechanisms and add to the government's mid-year economic stimulus package which recently won approval in the first reading of the House of Representatives.
Eight state banks and financial institutes, including the Small and Medium Enterprise Development Bank of Thailand (SME Bank) and the Bank for Agriculture and Agricultural Cooperatives will be instructed to extend credit lines for their customers such as exporters and small- and medium-sized entrepreneurs.
The finance minister dampened fears that the government might be running out of cash to cover regular expenditures -- including the monthly payroll for government personnel nationwide, given an untapped sum of only about Bt52 billion currently left in the state coffers.
Mr. Korn said the government will collect a sizeable sum of revenue from corporate income tax around the middle of this year in addition to the sought-after loans. (TNA)
