BANGKOK (Reuters) -Thailand may need at least 500 billion baht ($15 billion) for economic stimulus measures to address the impact of U.S. tariffs, its finance minister said on Wednesday.
The measures will focus on boosting domestic consumption and investment, as well as providing soft loans, Pichai Chunhavajira told reporters.
Thailand is among Southeast Asian nations hardest hit by U.S. President Donald Trump’s measures, facing a 36% tariff if a reduction can’t be negotiated before a global moratorium expires in July.
The country’s negotiations with Washington on the tariff were postponed because the United States has asked Bangkok to review important issues.
The government is closely monitoring the situation and is prepared to implement measures to stimulate the economy and maintain growth levels, Pichai said.
Discussions with relevant agencies, including the National Economic and Social Development Council and the Bank of Thailand, are ongoing on the measures, which will be funded from several sources, he added.
“The economic stimulus package will have to be large enough to create momentum,” Pichai said.
When the 36% tariff was announced this month, Pichai had said it could cut growth in Southeast Asia’s second-largest economy by 1 percentage point.
The economy grew just 2.5% last year, lagging regional peers.
($1 = 33.39 baht)
(Reporting by Kitiphong Thaichareon and Orathai Sriring; Editing by Andrew Heavens and Toby Chopra)
