Thailand Seeks 400 Billion Baht Emergency Loan to Tackle Economic Risks

Thailand Seeks 400 Billion Baht Emergency Loan to Tackle Economic Risks

BANGKOK, May 1, 2026 — Thailand’s Finance Ministry is preparing to seek cabinet approval for an emergency borrowing decree authorising up to 400 billion baht ($11 billion) to support the economy amid global uncertainties, officials said.

The draft decree, scheduled for submission on May 5, aims to cushion the impact of external shocks linked to conflict in the Middle East and to fund a new stimulus programme targeting cost-of-living pressures.

Officials said the borrowing ceiling reflects anticipated funding needs, noting that only about 20 billion baht remains in the government’s central contingency budget. The full amount would not necessarily be drawn, but would provide flexibility for rapid response if needed.

Part of the funding will support the “Thai Helps Thai Plus” programme, expected to launch on June 1, which aims to boost domestic consumption and assist more than 30 million people.

Under the scheme, around 13.4 million welfare cardholders will receive 1,000 baht per month for four months, while a broader co-payment programme will subsidise consumer spending on a 60:40 basis, with the government covering the larger share.

Authorities said the programme could cost around 120 billion baht, excluding direct welfare payments, and will be delivered via the Pao Tang mobile application, with spending restricted to approved uses.

The proposal follows a high-level economic meeting chaired by Prime Minister Anutin Charnvirakul, where officials discussed measures to address mounting global and domestic challenges, including rising energy costs and economic uncertainty.

The borrowing plan has been coordinated with key agencies, including the central bank and national planning authorities, as the government seeks to maintain economic stability during a period of heightened global volatility.