Bangkok: The government has reaffirmed its commitment to public welfare, fiscal discipline, and future investments as central elements of the 2027 budget. Ms. Ratchada Thanadirek, spokesperson for the Prime Minister's Office, highlighted the constructive debate on the draft budget bill for fiscal year 2027 in the House of Representatives from June 29th to July 1st, 2026. The discussions involved various suggestions from members of parliament, though concerns were raised regarding investment spending, the budget deficit, and the overall direction of national budget allocation.
According to Thai News Agency, the government acknowledges the concerns from MPs and the public regarding the budget, particularly in terms of investment spending and the deficit. Despite these concerns, the government stresses that the budget was crafted with specific priorities, focusing on fiscal constraints while maintaining economic stability, fiscal discipline, and investment for the country's future. The budget preparation considered the overall system, ensuring that every baht spent addresses national needs and enhances future potential.
Ms. Ratchada elaborated on the investment budget, noting the 2027 figure of 789,171.5 million baht reflects a decrease of 8.4% from 2026. However, she emphasized that this does not indicate a reduction in investment. Instead, investments continue through other channels, such as the state enterprise investment budget, public-private partnership (PPP) projects, and the Thailand Future Fund for Investment (TFFIF), culminating in over 330,000 million baht in additional investment.
The government clarified its approach to the deficit budget, emphasizing that it is not for indiscriminate spending but necessary to support the economy, assist vulnerable groups, and gradually reduce the deficit. The projected deficit for 2027 is 788 billion baht, a decrease from 860 billion baht in 2026, reducing from 4.4% of GDP to 3.9% of GDP.
Ms. Rachada highlighted that capital expenditure encompasses not only infrastructure but also investments that transform the budget into national capital and potential. This includes expenditures on equipment, land, buildings, intangible assets, patents, trademarks, as well as subsidies or transfers to create capital assets, all in line with budgetary principles and international standards.
The government has allocated 1,232,984.5 million baht for the 10 Plus policy to support small businesses, the elderly, education, SMEs, trade, the green economy, AI, and investments for the future. A significant portion of this budget is directed towards welfare, education, and public health, marking a 43,277 million baht increase.
Ms. Rachada concluded by stating that the total 2027 budget amounts to 3,788,000 million baht, representing a 0.20% increase from the previous year. This budget is designed to prioritize resources responsibly, ensuring care for those in need while maintaining fiscal discipline and continuing future investments.