Thai Cabinet approves US$683m measures to support growth

[BANGKOK] Thailand's Cabinet has approved on Tuesday economic measures worth 21.8 billion baht ($928.9 million) in a bid to support a slowing economy weighed down by weaker exports.

The steps, aimed at boosting consumption, include spending of 13.2 billion baht through public welfare benefits for low-income earners, and tax measures worth 8.6 billion baht, government spokesman Nathporn Chatusripitak told reporters.

The government allows a tax deduction of up to 200,000 baht for buyers of homes worth up to 5 million baht and a deduction of up to 20,000 baht for domestic travel.

It also gives a tax deduction of up to 15,000 baht for buyers of certain goods such as books and state-promoted products.

On Monday, the finance ministry said it expected the packages to add 0.1 percentage point to its 3.8 per cent growth outlook this year, which was cut from 4.0 per cent.

Last year, Southeast Asia's second-largest economy expanded 4.1 per cent, the fastest in six years.

REUTERS