COVID-19 Active Response and Expenditure Support Program: Report and Recommendation of the President

The program supports the government’s efforts to counter the impacts of the coronavirus disease (COVID-19). With a large tourism sector, strong global supply chain links, and a large base of migrant workers, Thailand’s economy is highly vulnerable to the pandemic. The government and Bank of Thailand (BOT) introduced a number of relief and stimulus packages, totaling $71.4 billion (B2.3 trillion) to support the healthcare sector, protect the poor and the vulnerable, stimulate the economy, and stabilize the financial markets in fiscal years (FY) 2020 and 2021. Fiscal stimulus measures account for $38 billion (B1.2 trillion), and the rest are monetary measures taken by BOT. The large relief program together with a steep revenue compression will double the fiscal deficit to 5.3% of GDP and almost double the total financing needs for FY 2020 to $39.9 billion. The government sought Asian Development Bank (ADB) support to cover the exceptional fiscal requirements in FY 2020.

The report and recommendation of the President to the Board of Directors (RRP) document describes the terms and conditions of a project for consideration and approval by ADB's Board of Directors.

This document dated June 2020 is provided for the ADB project 54177-001 in Thailand.