Posted on 23 Apr 2009
Thailand's Cabinet has agreed to reduce the government's budget expenditure for the 2010 fiscal year, starting October 1, by Bt200 billion (US$5.625 billion), while also acknowledging that the country's economic growth this year may contract as much as five per cent, Prime Minister Abhisit Vejjajiva said on Tuesday.
Following the reduction, the budget will suffer a deficit of Bt350 billion, which is within the requirements while financial discipline could also be maintained.
Mr Abhisit said several think tanks had lowered their projections of national economic growth, earlier expected to contract between zero-two.
