Finance Minister Korn Chatikavanij yesterday said overall planned investment under the Thai Khemkhaeng stimulus package remained at Bt1.43 trillion, but borrowing may not hit Bt800 billion as previously anticipated due to higher-than-expected government revenue.
He also said the dust-free road project would continue as planned, as it would boost the economy.
Prime Minister Abhisit Vejjajiva said the government would borrow as much as was necessary.
Transport Minister Sophon Saram reiterated the need to proceed with the dust-free road project.
Rural Roads Department director-general Vicharn Kunakulsawas said the project would create jobs. Moreover, once the roads were completed, they would provide greater convenience to users, including industrial-plant owners, some of which may locate to new sites.
The department yesterday announced its readiness to open bidding for the 4,000-kilometre second phase of the dust-free road project, worth Bt19 billion, as soon as the funding is approved.
The Cabinet yesterday also approved the Finance Ministry's proposal for speeding up investment under the stimulus package.
All government units must submit their projects to the Budget Bureau by February 23 if they want them to be financed under the Thai Khemkhaeng scheme.
The Finance Ministry yesterday won the Cabinet's approval for the schedule, as it needs to finalise the projects before it can borrow additional funds.
The Budget Bureau will have to complete the project review within 15 days, and the respective agencies must then sign contracts by April 8.
"If any units cannot submit the projects and fund-allocation plans by February 23, they will have to seek annual budgets or funding from other sources," said Deputy Government Spokesman Watchara Kannikar.
The ministry has to accelerate the process as it is only allowed to borrow for Thai Khemkhaeng investment until the end of the year.
The Cabinet yesterday also cut the budget for the Ton Kla Archeep project from Bt7.5 billion to Bt2.97 billion, as the lower level of unemployment has reduced the need for training.
Meanwhile, Abhisit signalled yesterday that the price of liquefied petroleum gas (LPG) for industrial use would be floated once the current price freeze ends in August.
He indicated that as the economy was showing strong signs of recovering from March, Thais would continue to enjoy only free bus and train rides and free electricity, as these services are essential and benefit a large number of poor people.
Free water bills - one of the five measures introduced to ease the cost of living - will be terminated at the end of August, while the LPG price will be maintained only for household and transportation use.
Abhisit said he had learnt that a large proportion of LPG imports was being made to satisfy growing demand from the industrial sector.
He added that it was difficult to float the LPG price for transportation use and to maintain it for household use, therefore price maintenance for these sectors was acceptable as Thais should be able to benefit from their own resources.
The government planned to import 110,000 tonnes of LPG last month, 132,000 tonnes this month and 150,000 tonnes in March.
