Fiscal Policy Office Director Mr. Krisda Chinavicharana declared that from the 2016 fiscal year starting on October 2015, government revenues has amounted to 742 billion baht which is higher by 54.3 billion baht or 7.9% compared to the budget.
The total revenue collected is also higher by 11.1% compared to the same period in the prior year.
These revenues are from personal income tax, excise tax, value added tax and other tax types that exceeded the collection targets. Included in this revenue are personal income tax collections that had a 3,680 million baht increase and car excise tax collections with another 3,680 million baht increase.
Based on the monthly economic report of the Ministry of Finance, Thailand’s economy in January 2016 was well supported due to the goverment spending and the tourism sector. There has been a marked increase in the total revenues collected by the government compared to its targets despite certain factors.
For one, the 10.5% decrease in imports caused a contraction in VAT collection by 1.2% although the domestic VAT collection expanded by 4.1%.
Total private investments during the month of January showed signs of slowing down especially in the construction sector and this is reflected in the total real estate tax collections which contracted by 5.6%. Needless to say, the fiscal indicators show that the fiscal policies implemented by the government supported the economy of the country with its continued investments.
On the supply side, the country has benefited from the incoming tourists in the country. Inbound foreign tourists was recorded to 3 Million which represents 15% expansion.
As of January, indicators of economic stability both internal and external were positive. Inflation rates for the month of January has been recorded at 0.5%.
Mr. Chinavicharana showed optimism regarding Thailand’s economy given the investments and stimulus package of the Finance Ministry in mega infrastructure projects. He is positive that this will lead to an increase in government revenues.