Govt borrows Bt348 bn to cover fiscal 2019 deficit

[snoop1130]

Govt borrows Bt348 bn to cover fiscal 2019 deficit

By The Nation

 

 

The government collected Bt2.56 trillion in net revenue in fiscal 2019 ending in September, a 1-per-cent and Bt26.12-billion increase over the previous year, the director-general of the Fiscal Policy Office announced on Thursday (October 24). 

 

Lavaron Sangsnit, who is also spokesperson for the Ministry of Finance, said the amount was 0.5 per cent and Bt13.06 billion more than targeted. 

 

The Revenue Department separately collected Bt9.14 billion (up 0.5 per cent), the Customs Department Bt8.52 billion (8.5 per cent), state-owned enterprises Bt1.15 billion (0.7 per cent) and other agencies Bt46.01 billion (32.4 per cent). 

 

The amounts were all close to those forecast by the ministry in June for the purpose of revenue monitoring.

 

Lavaron said continuous economic growth and close monitoring by the ministry resulted in net revenue collection for fiscal 2019 falling in line with targets. 

 

“This will strengthen the government’s fiscal balance and foster economic growth in the coming years,” he noted.

 

He said the government had received Bt2.53 trillion in cash revenue and disbursed Bt3.04 trillion, financing the deficit by borrowing Bt348.97 billion. 

 

Treasury reserves at the end of September stood at Bt512.95 billion.

 

Source: https://www.nationthailand.com/business/30377708

 

-- © Copyright The Nation Thailand 2019-10-24

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[Hayduke]

30 minutes ago, snoop1130 said:

Govt borrows Bt348 bn to cover fiscal 2019 deficit

 

Well…military hardware is getting more expensive. Maybe they should cut back on wasteful and unnecessary expenditures like social services, public education, and medical care.

 

 

[J Town]

Every country is borrowing from other countries to pay off debt. Call me silly, but could this be a scheme to keep everyone enslaved under the yoke of Big Brother?

[saengd]

Their fiscal deficit is very small by comparison to other countries, they were advised to increase the deficit to build out infrastructure, a prudent move most economists believe.

[Fex Bluse]

4 minutes ago, saengd said:

Their fiscal deficit is very small by comparison to other countries, they were advised to increase the deficit to build out infrastructure, a prudent move most economists believe.

Their fiscal deficit is smaller as is their ability to pay it back as is their ability to produce national revenue. 

 

Comparing them to developed countries fiscal deficits is a poor comparison. 

[saengd]

45 minutes ago, Fex Bluse said:

Their fiscal deficit is smaller as is their ability to pay it back as is their ability to produce national revenue. 

 

Comparing them to developed countries fiscal deficits is a poor comparison. 

Nonsense! Thailand operates a trade surplus, a current account surplus plus they have some of the highest foreign currency reserves of any country. Their ability to sustain a dual path of exports and tourism, both of which are at near record levels means they have ample opportunity to generate revenue which is part of the problem, it makes the Thai Baht too strong!

[StayinThailand2much]

1 hour ago, Hayduke said:

Maybe they should cut back on wasteful and unnecessary expenditures like social services, public education, and medical care.

 

... that only are of benefit to the millions of families that make up the lowly 'servant classes' anyway... The top 500 families, on the other hand, were told they'd be fine and taken care of!

[Fred white]

They didn't mention how much in brown envelopes ????

[Scot123]

7 hours ago, saengd said:

Nonsense! Thailand operates a trade surplus, a current account surplus plus they have some of the highest foreign currency reserves of any country. Their ability to sustain a dual path of exports and tourism, both of which are at near record levels means they have ample opportunity to generate revenue which is part of the problem, it makes the Thai Baht too strong!

And so is picking a couple of snips of data and portraying the full picture. First it is the bank who owns the surplus and trad surplus in the current situation in Thailand is very bad sign as the cause are two crashing factors both exports and inports crashing. Growth for the first time publicly being said NEGATIVE. then there is only the gulable would believe a military controlled country. 

[gk10002000]

sick that Thailand can't balance its books.  but buying submarines and other things and chasing away expats is not going to help

[Cadbury]

10 hours ago, snoop1130 said:

Govt borrows Bt348 bn to cover fiscal 2019 deficit

Nothing unusual about that; that's how deficits are usually funded. Certainly not from generous donations by the filthy rich 1%.

This deficit is peanuts and in fact should be more to help stimulate the economy with infrastructure projects. Pity that administrative incompetence slows such development down.

 

Anyway all these figures are pretty much meaningless when Thailand, according to Bloomberg has the 7th highest shadow economy in the world at around 40.9% of the total economy. The shadow economy comes in light and dark shades.

 

1. "The light shadow economy is informal business and is widespread and consists of street vendors, food stalls, souvenir sellers, repair shops, makeshift entertainment venues etc". 

 

2. "The darker side consists of illegal lotteries, street drug trade, gasoline smuggling, human trafficking, informal money lending and small weapons trade and bribery. For all those businesses, no one pays tax, no one is licensed and no one is documented. Bribes goes into pockets of people who constitute a food chain of corruption that stretches up to the highest echelons".

This story is somewhat dated but I doubt the facts have changed much. It makes interesting reading.

https://www.gulf-times.com/story/448401/Thailand-s-shadow-economy-among-biggest-worldwide

 

[saengd]

2 hours ago, Scot123 said:

And so is picking a couple of snips of data and portraying the full picture. First it is the bank who owns the surplus and trad surplus in the current situation in Thailand is very bad sign as the cause are two crashing factors both exports and inports crashing. Growth for the first time publicly being said NEGATIVE. then there is only the gulable would believe a military controlled country. 

I can't quite understand what you're trying to say so it's difficult to know whether I agree or not!. Which bank owns what? The Central Bank, BOT? So you think BOT owns the trade surplus and the current account surplus?

 

A trade surplus means a country is exporting more than it imports, probably because people are buying more locally made goods or because exports are unusually buoyant, the beneficiary in that scenario is national savings. And since China is involved in a trade war with the US which in itself is stifling global demand, and, China is one of Thailand's largest trading partners, it's unsurprising that both imports and exports are down.

[RichardColeman]

5 hours ago, Cadbury said:

This deficit is peanuts and in fact should be more to help stimulate the economy with infrastructure projects.

problem with that is half will not reach its destination

[baansgr]

14 hours ago, saengd said:

Nonsense! Thailand operates a trade surplus, a current account surplus plus they have some of the highest foreign currency reserves of any country. Their ability to sustain a dual path of exports and tourism, both of which are at near record levels means they have ample opportunity to generate revenue which is part of the problem, it makes the Thai Baht too strong!

Exports are down with daily news of companies closing or laying off staff....the real tourism figures are also way down...not every thing is rosy in the garden at present

[Angry Dragon]

8 minutes ago, baansgr said:

Exports are down with daily news of companies closing or laying off staff....the real tourism figures are also way down...not every thing is rosy in the garden at present

Exports are down 2.1% for the year, but imports are down nearly 3.7%, resulting in a stronger current account surplus.  Yes,  it would be better to see exports up and imports up, but these figures hardly present the doom and gloom scenario so many on TV are hoping for in order to weaken the Thai Baht.  There's a trade war going on, so expect to see trade figures showing lots of unusual activity in the near term.  Longer term, Thailand may actually be a beneficiary of this, as manufacturers are dumping China and relocating elsewhere in Asia.

[tore stenberg]

Not all country lend money not Norway they have money , they lend money to order country .

[Cadbury]

24 minutes ago, Angry Dragon said:

Exports are down 2.1% for the year, but imports are down nearly 3.7%, resulting in a stronger current account surplus.  Yes,  it would be better to see exports up and imports up, but these figures hardly present the doom and gloom scenario so many on TV are hoping for in order to weaken the Thai Baht.  There's a trade war going on, so expect to see trade figures showing lots of unusual activity in the near term.  Longer term, Thailand may actually be a beneficiary of this, as manufacturers are dumping China and relocating elsewhere in Asia.

Also gold artificially inflates the true export numbers. PM Prayut shut down Thailand's gold mine so Thailand is a non gold producing country. They just import/export gold as a trading commodity and for jewellery. 

Take out the gold element and the true decline in exports would be seriously scary.

[Srikcir]

5 hours ago, saengd said:

A trade surplus means a country is exporting more than it imports

Those are just accounting entries.

The richest nation in the world has the highest trade deficit.

[ICELANDMAN]

7 hours ago, Cadbury said:

Nothing unusual about that; that's how deficits are usually funded. Certainly not from generous donations by the filthy rich 1%.

This deficit is peanuts and in fact should be more to help stimulate the economy with infrastructure projects. Pity that administrative incompetence slows such development down.

 

Anyway all these figures are pretty much meaningless when Thailand, according to Bloomberg has the 7th highest shadow economy in the world at around 40.9% of the total economy. The shadow economy comes in light and dark shades.

 

1. "The light shadow economy is informal business and is widespread and consists of street vendors, food stalls, souvenir sellers, repair shops, makeshift entertainment venues etc". 

 

2. "The darker side consists of illegal lotteries, street drug trade, gasoline smuggling, human trafficking, informal money lending and small weapons trade and bribery. For all those businesses, no one pays tax, no one is licensed and no one is documented. Bribes goes into pockets of people who constitute a food chain of corruption that stretches up to the highest echelons".

This story is somewhat dated but I doubt the facts have changed much. It makes interesting reading.

https://www.gulf-times.com/story/448401/Thailand-s-shadow-economy-among-biggest-worldwide

 

And it is likely that it is the true reason for the strong bath

 

[Fred white]

15 hours ago, Cadbury said:

Nothing unusual about that; that's how deficits are usually funded. Certainly not from generous donations by the filthy rich 1%.

This deficit is peanuts and in fact should be more to help stimulate the economy with infrastructure projects. Pity that administrative incompetence slows such development down.

 

Anyway all these figures are pretty much meaningless when Thailand, according to Bloomberg has the 7th highest shadow economy in the world at around 40.9% of the total economy. The shadow economy comes in light and dark shades.

 

1. "The light shadow economy is informal business and is widespread and consists of street vendors, food stalls, souvenir sellers, repair shops, makeshift entertainment venues etc". 

 

2. "The darker side consists of illegal lotteries, street drug trade, gasoline smuggling, human trafficking, informal money lending and small weapons trade and bribery. For all those businesses, no one pays tax, no one is licensed and no one is documented. Bribes goes into pockets of people who constitute a food chain of corruption that stretches up to the highest echelons".

This story is somewhat dated but I doubt the facts have changed much. It makes interesting reading.

https://www.gulf-times.com/story/448401/Thailand-s-shadow-economy-among-biggest-worldwide

 

Why should anyone regardless of how rich they are donate money to a govt

[jerojero]

Keep buying unnecessary military hardware. That will immediately help the deficit (grow). Sheesh!

[Cadbury]

46 minutes ago, Fred white said:

Why should anyone regardless of how rich they are donate money to a govt

Sarcasm seems to elude you. Sorry if I complicate things for you.

[Fred white]

44 minutes ago, Cadbury said:

Sarcasm seems to elude you. Sorry if I complicate things for you.

Not a problem

[worgeordie]

I follow Mr.Micawber advise on financial matters ,put simply

don't spend more than you earn,and you will be happy.

 

Thai people must think the Government's borrowing money

so why can't i, no wonder most of the World is up to their

eyes in debt,but who is holding all of the debt,anybody know

for sure.?

regards worgeordie

 

[saengd]

17 hours ago, Srikcir said:

Those are just accounting entries.

The richest nation in the world has the highest trade deficit.

But they wont stay the richest nation in the world if they continue to have the highest trade deficit!

[Fred white]

14 hours ago, saengd said:

But they wont stay the richest nation in the world if they continue to have the highest trade deficit!

I just read that Trump is cutting off free trade on certain items because of workers rights

[Number 6]

On 10/25/2019 at 11:20 AM, ICELANDMAN said:

 

Disregard this post.