Thailand will not face the same financial turmoil and violent protests seen in France, a senior Finance Ministry official has insisted, citing strong fiscal buffers and a commitment to protecting essential welfare spending despite concerns over Thailand’s public debt.
Finance Ministry Permanent Secretary Lavaron Sangsnit gave the assurance today, October 21, amid questions over whether Thailand could experience similar unrest as France struggles with high public debt, budget deficits and protests over government spending.
Lavaron said Thailand’s financial position remained fundamentally different from France’s, with sufficient fiscal reserves to withstand economic pressures.
He explained that some of the unrest in France had been linked to cuts in public services and spending, whereas Thailand intended to maintain essential welfare programmes.
Rather than reducing support for the public, the Thai government would focus on eliminating unnecessary expenditure and preventing budget leakage.
Lavaron stressed that fiscal discipline remained a priority for Deputy Prime Minister and Finance Minister Ekniti Nitithanprapas, who has emphasised careful management of government borrowing.
He acknowledged that Thailand’s public debt had accumulated over many years and would take time to manage. However, he said the government would avoid unnecessary new borrowing and ensure that any additional loans funded projects delivering genuine economic benefits.
The permanent secretary also pointed to assessments by international credit rating agencies as evidence of confidence in Thailand’s financial management.
In September, Fitch Ratings raised Thailand’s credit outlook from negative to stable while maintaining its BBB+ sovereign rating. Moody’s and S&P Global Ratings also maintained stable outlooks, according to the Public Debt Management Office.
His comments come as France faces significant economic and political pressure. Protests over living costs, public services and spending cuts have escalated into clashes and disorder in several French cities.
Lavaron also provided an update on Thailand’s proposed household solar panel subsidy, saying the scheme had undergone several rounds of committee scrutiny and was expected to reach the Cabinet within October.
The government is also preparing a proposal concerning higher taxes on imported electric vehicles, although the final decision will rest with the finance minister.
Lavaron maintained that the government’s approach to welfare spending, borrowing and financial discipline would help Thailand avoid the fiscal difficulties being experienced in France.
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