Economy February 09, 2018 01:00

By The Nation

The Public Debt Management Office (PDMO) will borrow a total of Bt1.124 trillion this year to finance mega infrastructure projects and offset Thailand's budget deficit for the fiscal year 2019, starting from October of this year.

 Prapas Kong-Ied, director-general at PDMO, said about Bt607.251 billion of the total will be new borrowings to offset next fiscal year (2019)'s budget deficit and finance the government's mega transportation infrastructure projects, while the remaining Bt516.755 billion will go towards debt restructuring.

 Most of the planned borrowings will likely be made locally through government bonds and other types of debt instruments. Others will be raised in foreign currencies from international financial institutions for projects requiring technologies from abroad, he said.

 The government's borrowings and debt management will come with a risk management plan dealing with foreign exchange risk and interest rate risk, and debt restructuring, he said.

 Presently, the government's FX risk remains low, given its external debt stands at 0.9 per cent of total public debt, he said. – The Nation