Finance urges emergency borrowing

Pledged amount insufficient for virus

The Finance Ministry wants to adopt an emergency decree on borrowing to provide funds to alleviate the impact of the fast-spreading coronavirus pandemic.

Even though the prime minister has authorised up to 100 billion baht of the central budget and the finance minister has mandated another 50 billion for emergencies, these are insufficient to handle the outbreak if the spread continues, said a source at the ministry who requested anonymity.

The ministry is preparing to impose an emergency decree on borrowings, said the source.

The outbreak is considered a national disaster, justifying the use of the decree, the source said.

Previous governments issued emergency decrees on borrowings to stimulate the country’s economy such as Thai Khem Kaeng and the national water management scheme.

The severity of the pandemic is greater and requires more urgency than in the past, the source said.

Kobsak Pootrakool, deputy secretary-general for the prime minister, recently said the Finance Ministry will propose a new relief package including partial salary payouts intended to help those who are bearing the brunt of the pandemic. The package, which is support in addition to the Social Security Fund’s measures, will go before the cabinet today.

Public safety and helping those hit by the soft lockdown measure to close businesses and contain the spread are the government’s top priorities, the source said. The government is seeking assistance measures to help with the cost of living for those affected by the virus.

Economic stimulus measures will be considered after the virus spread is contained, the source said.

“The situation seems to be an emergency, but the use of emergency measures is up to the government,” the source said.

The value of the borrowing also depends on the scale of problem, the source said. The government is liable to provide assistance to those affected by the pandemic, for which there needs to be adequate money on hand to build up public confidence.

‘‘ The severity of the pandemic is greater and requires more urgency than in the past. EMPLOYEE IN THE FINANCE MINISTRY