Thai private sector backs Bt400bn loan decree amid oil crisis

The Thai private sector has voiced strong support for the government’s 400-billion-baht loan decree, saying it is necessary to boost the Thai economy amid the global oil crisis and economic volatility caused by the ongoing armed conflicts in the Middle East.

Poj Aramwattananont, chairman of the Board of Trade of Thailand and president of the Thai Chamber of Commerce, said the massive loan would not only help strengthen Thailand’s fragile economy, but also support the country’s transition from fossil fuels to alternative and clean energy, thereby reducing dependence on fossil fuels and encouraging long-term investment.

Rising oil prices are increasing costs for the agricultural, logistics and SME sectors while reducing consumers’ purchasing power, affecting employment and the country’s competitiveness, Poj said, adding that it is therefore necessary for the government to take a proactive approach to addressing these challenges.

As many countries are working to cut energy costs by shifting toward alternative and clean energy, he said the oil crisis could become an opportunity for Thailand to strengthen its economy, provided that the borrowed funds are spent wisely and transparently, whether on the Thai Chuay Thai Plus scheme or measures to stabilise farm product prices.