Bangkok: Critics have voiced strong opposition against the government's recently unveiled 70-year budget plan, labeling it as a "lifeless" strategy that barely covers basic expenses and debt repayments, necessitating borrowing for any future investments. Abhisit Vejjajiva, a Member of Parliament and leader of the Democrat Party, has been notably outspoken in his criticism, emphasizing the absence of a forward-looking plan in the budget allocation, which he argues is limited to recurring expenses and debt repayment. He cautioned against expecting enhancements in welfare benefits and stressed the need for investment focus on disaster relief. Moreover, he expressed concerns that public debt could exceed the 80% threshold without tax reforms.
According to Thai News Agency, during the initial discussions on the 2027 Budget Act, which totals 3.788 trillion baht, Mr. Abhisit highlighted the budget's uncertain future. He clarified that while he wasn't directly blaming the government, the budget structure reflected longstanding issues compounded by global changes and current crises. These, he argued, presented a unique challenge and responsibility for the government to address for future progress. The structure, with revenue only sufficient for existing resources and debt repayment while relying on borrowing for investments, demonstrated the government's current tax collection and revenue generation capabilities.
Abhisit pointed out alarming statistics, noting the tax revenue ratio to GDP remains at a historic low of 14.6%. Despite public demands for higher welfare, he regretted the absence of the Prime Minister or the Finance Minister during parliamentary debates. He emphasized the urgent need for major tax reform to meet public needs, citing the unachieved target of increasing elderly and disabled allowances in the 2027 budget. He argued that child allowances remain non-universal, and without tax reform, these issues will persist.
He challenged the government's approach, urging them not to resort to increasing value-added tax as a last resort. He noted increases in personnel costs and subsidies but a significant decrease in investment, with no new projects in the 2027 budget. Abhisit criticized the allocation of borrowed funds for solar cell and electric vehicle imports as non-investments and opposed the unprofitable land bridge project.
Addressing spiraling budget issues, Abhisit highlighted concerns over personnel and pension allocations, healthcare expenditure, and the need for a substantial increase in universal health coverage funding. He questioned whether earlier retirement for older civil servants could be a solution to free up funds. He also criticized the government's claim that public debt hasn't hit the ceiling, warning that if the full 400 billion baht loan is approved, the debt could rise significantly. He stressed the necessity of increased revenue to prevent debt escalation.
Abhisit criticized the reduction in funding for several agencies, contrasting it with an increase for the Ministry of Digital Economy and Society, which he argued lacks clear benefit from AI implementation. He concluded by stating that despite the government's understanding of precise, targeted budgeting, the budget itself lacks genuine focus and planning, leaving the Democrat Party to see no future in it, agreeing with opposition MPs that it represents a paycheck-to-paycheck living strategy.