Government plans large budget deficit to boost economy

The government has also set an upper borrowing limit of Bt649 billion, equivalent to 3.5-3.6 per cent of gross domestic product, in order to finance the deficit.
The deficit is smaller than that for the current fiscal year, during which the government plans to run a fiscal deficit of Bt580 billion. 
The 2018 fiscal year starts on October 1 this year.
Slower economic growth and rising current-budget spending on matters such as salaries and medical-care expenditure for state officials are attributed to a projected revenue shortfall for fiscal 2018. 
Current-budget spending is earmarked at Bt2.15 trillion for the upcoming fiscal year, down Bt2.5 billion from the 2017 fiscal year. 
Spending on investment projects in the next fiscal year is worth Bt659 billion, up Bt875 million from this year’s expenditure as the government has to finance many infrastructure projects such as double-track rail, expanding airport capacity, and extending the mass-transit system in greater Bangkok. 
The Education Ministry gets the biggest slice of the current-budget pie for the 2018 fiscal year at Bt510.9 billion, followed by the central fund under the prime minister’s supervision (Bt394.3 billion) and Interior Ministry’s budget of Bt355.9 billion. 
The Defense Ministry, which is currently facing criticism for its submarine-purchase plans, is allocated Bt222.4 billion. 
The Budget Bill will next be debated by the National Legislative Assembly.