2010 public debt not to exceed 48% of GDP

BANGKOK, 6 May 2010 (NNT) – The national public debt is expected at no more than 48% of the 2010 GDP, owing to the government’s declining loans and complete debt repayment.

Director-General of the Public Debt Management Office (PDMO) Jakkrit Parapuntakul indicated that this year’s public debt was unlikely to rise beyond 48% of the GDP, as opposed to the initial target of 52%. He reasoned that the government now relied less on loans as the 400-billion-THB loan bill was recently revoked by the cabinet. He elaborated that this year’s higher-than-expected state revenue collection had enabled the government to repay all debts worth 40.2 billion THB before the deadline and allowed the country’s economy to consistently grow.

According to the PDMO’s forecast, the public debt ratio for the year 2012 has a tendency to peak but should stand at around 55-56% of the GDP, rather than 60% as originally projected.