With the economy slowing, government revenues were only Bt88.99 billion last month, missing the target by Bt8.8 billion, he said.

Government income in the first seven months of the current fiscal year totalled Bt731.31 billion, missing the target by one per cent, he said.

The Revenue Department's tax collection totalled Bt508.24 billion, down 0.4 per cent from previous projections, due largely to lower collection of value-added tax (VAT).

VAT collection was Bt252.66 billion, missing the target by 3.5 per cent. The Excise Department collected Bt173.53 billion, 4.2 per cent higher than targeted, while the Customs Department's collection rose to Bt52.4 billion, 1.6 per cent higher than estimated previously.

The government predicted it would take in revenues of Bt1.42 trillion this fiscal year ending September, but Somchai said the government might miss that target by 1-1.5 per cent. But he said it would not be a serious issue matter.

The primary balance sheet showed the government ran a fiscal deficit of Bt66.82 billion - equal to 0.8 per cent of gross domestic product - in the fist six months of the fiscal year from October to March.

Budget disbursements totalled Bt737.38 billion, indicating that more funds had been injected into the economy after delays to disbursements in the fiscal first quarter.

Wichit Chaitrong

The Nation