Thailand’s public debt at the end of February stood at 39.93 per cent of gross domestic product (GDP), not far from the statutory ceiling of 50 per cent of GDP as required by law, a senior Ministry of Finance official said on Monday.
Pongpanu Svetarundra, director-general of the Public Debt Management Office, said Thailand’s national debt at end of February was approximately Bt3.59 trillion.
Of the total amount, about Bt2.29 trillion was in direct government borrowings, Bt1.01 trillion from state enterprises which are not financial institutions, Bt182 billion were debts incurred by government-run financial institutions, Bt110 billion in debts of the Financial Institution and Development Fund and Bt3.68 billion by other government agencies, he said. […]
Compared to January 2009, Thailand’s public debt in February increased by Bt73.78 billion, Pongpanu said. (TNA)
The percentage of GDP is idiotic. For one very good reason : GDP is falling. Right now. While you’re reading this.
So the percentage will increase. Mechanically.
In 2008, total GDP was 9 102 billions (at current prices). Let’s assume a drop of 5 % for the whole year, that would make 8 647 billions… So a ratio debt to GDP of 42 %.
But we forget another factor… during the year the total debt will continue to go up ! 😉
So the ratio debt to GDP will follow. Up. No escape.
[Rendez-vous may 20, the NESDB will publish the GDP report for Q1 2009]