Southeast Asia

Sum of Measures 1—5 (Total Package)

Total Package in USD Million: 102,934.58
% of GDP (2019): 21.05%
% of Regional Total Package: 20.03%
Package Per Capita in USD: 1,478.40
Note: Measures 9 and 10 are added to the sum of Measures 1-5.
Measure Amount (Local) Amount (USD) Details Update Source
01 - Liquidity Support info_outline
01A - Short-term lending info_outline

No amount/estimate: A special facility was set up to provide liquidity for mutual funds through banks.

01B - Support policies for short-term lending info_outline

No amount/estimate: The Bank of Thailand (BOT) has provided temporary relaxation of repayment conditions for businesses.

01C - Forex operations info_outline

No amount/estimate: The BOT has provided some liquidity in the foreign exchange market thereby avoiding disorderly market conditions while also allowing the exchange rate to adjust as a shock absorber.

02 - Credit creation info_outline THB1,100,000,000,000 USD34,259,617,113
02A - Financial sector lending/funding info_outline THB750,000,000,000 USD23,358,829,850

(i) Soft loans by the BOT to financial institutions amounting to THB500 billion to be on-lent at 2% interest to small and medium-sized enterprises (SMEs) with outstanding (non-nonperforming) loans; (ii) 23 March 2021, Additional THB250 billion in soft loans to help businesses cope with the impact of the coronavirus pandemic as the economy. On 24 August 2021, The BOT adjusted its soft loan scheme to support liquidity for both existing and new SME borrowers. This effectively increases the amount that can be borrowed by each borrower under the scheme.

02B - Support policies for long-term lending info_outline
02B1 - Interest rate adjustments

No amount/estimate: (i) The policy rate was reduced by 50 basis points (bps) from 1.25% to 0.75% during the first quarter of 2020 and by another 25 bps on 20 May 2020 to a record low 0.5%; (ii) 19 June 2020, BOT introduced additional debt relief measures including 2-4 pps interest rate cuts for credit cards (from 18% to 16%) and personal loans (from 28% to 24-25%) effective 1 August 2020; lenders must urgently help borrowers with debt restructuring such as extending payment periods and reducing interest rates. BOT will raise credit lines for credit cards and personal loans for good debtors from August to December 2020; (iii) 24 March 2021, the Thai central bank announced that it has held the policy rate at record low of 0.50%; (iv) 5 May 2021, the Thai central bank has again announced that it has left its key interest rate unchanged at a record low of 0.50%; (v) 23 June 2021, The BOT has, for a third time, announced that it has left its key interest rate unchanged; (vi) 4 August 2021, The BOT has again left its key interest rate unchanged.

02B2 - Other policies to support long-term lending

No amount/estimate: (i) The contribution from financial institutions to the Financial Institutions Development Fund (FIDF) was reduced from 0.46% to 0.23% of the deposit base to provide space for a decrease in lending rates; (ii) Financial sector liquidity-related regulations were temporarily relaxed in order to support Measure 1B; (iii) 19 June 2020, BOT asked commercial banks to prepare capital management plans for the next 1-3 years and to not pay interim dividends in 2020 or buy back shares to preserve capital. As of 11 June 2021, almost one year later, the Thai Central Bank has allowed banks to pay interim dividends. (iv) 27 August 2020, The BOT announced measures to help adversely affected retail debtors, including "debt consolidation" to enable financial institutions to reduce interest rates and extend repayment periods where possible. (v) 28 December 2020, The BOT announced several regulatory relief measures: (a) adjusted the definition of "business group" which determines accesss to SME lending; (b) relaxed criteria for soft-loan applications and included companies with securities listed in the alternative stock market for SMEs; and (c) extended the application period for soft loans by 6 months; (vi) 21 August 2021, The BOT has approved additional measures to assist debtors affected by the pandemic, allowing flexible rules on debt classification and provisions wuntil the end of 2023 to reduce banks' costs so that they can help debtors with debt restructuring.

02C - Loan guarantees THB350,000,000,000 USD10,900,787,263

The government covers the first 6 months of interest and guarantees up to 60%–70% of the THB500 billion loan (see Measure 2A). On 15 September 2020, authorities announced that state-owned Small Industry Credit Guarantee Corporation (TCG) signed the Soft Loan Plus Loan Guarantee Program with 18 partner banks that will provide SMEs with soft loans payable after 3 years.

03 - Direct long-term lending info_outline THB550,000,000,000 USD17,129,808,557
03A - Long-term lending info_outline THB450,000,000,000 USD14,015,297,910

(i) The Corporate Bond Stabilization Fund (BSF) was established to provide bridge financing of up to THB400 billion to high-quality firms with bonds maturing during 2020–2021, at higher-than-market ‘penalty’ rates (includes both public and private participants). (ii) 30 April 2020, The State Enterprise Policy Committee meeting approved in principle the proposal to rehabilitate Thai airways international, the national carrier, with a loan worth THB50 billion. (iii) No amount/estimate: 10 October 2020, The Ministry of Industry unveiled new credit lines with a maximum term of 5 years for both new and existing SME borrowers of the SME Development Fund.

03B - Forbearance THB100,000,000,000 USD3,114,510,647

(i) No amount/estimate: Loan payment holiday of 6 months for SMEs and suspension of principal; (ii) 21 March 2021, THB100 billion for a so-called “asset warehousing” scheme to support debtors who are unable to repay loans. The help for debtors includes transfer of collateral assets for debt settlement and giving debtors the right to rent their assets or buy them back later; (iii) 4 May 2021, The Bank of Thailand (BoT) has added measures for retail loan restructuring, as part of its third phase of debt relief for individual borrowers. The new measures will allow vehicle hire-purchase loans and car title loan borrowers, including motorcycle owners, to return their vehicles to creditors if they cannot repay debt because of the outbreak; (iv) 15 June 2021, The debt moratorium program of the Bank of Thailand has been extended from end-June to December 2021, and will be applicable to SMEs severely affected by the pandemic; (v) 15 July 2021, The Central Bank has announced that it has gotten the commercial banks to agree to a suspension of debt repayment for two months for debtors affected by the most recent lockdown.

04 - Equity support info_outline
05 - Health and income support THB1,655,000,000,000 USD51,545,151,202
05A - Health support

(i) See (i) in Measure 5C; (ii) 7 June 2021, Health authorities in Thailand have started the country's mass vaccination starting with 6 million doses of locally-made Oxford-AstraZeneca and imported Sinovac COVID-19 vaccines. As of 17 June 2021, the government has administered about 7 million doses, of which, 2.9 million were given when the mass vaccination campaign started about 10 days prior; (iii) 11 June 2021, The Thai government has ordered 20 million dozes of the Pfizer vaccine; (iv) 2 August 2021, The Thai government has increased the number of patients required to isolate at home to 100,000. These patients will receive medical equipment, medicine, meals, and phone consultations.

05B - Income support THB88,000,000,000 USD2,740,769,369

See (ii) to (iv) in Measure 5C

05B1 - Tax and contribution deferrals and policy changes

See also tax deferrals in a(iii) in Measure 5C.

05B2 - Tax and contribution rates reduction

(iii) May 5, The government approved a 20% discount on water bills to private consumers until the end of June. (iv) No amount/estimate: June 2, The Cabinet approved a 90% reduction in land and building taxes for the year and a 2-month postponement in the deadline for filing personal income tax returns. See also (iii) in Measure 5C.

05B3 - Subsidies to individuals and households THB46,000,000,000 USD1,432,674,897

(i) No amount/estimate: 7 October 2020, The Thai Industrial Standards Institute (TIS) announced the waiver of the TIS license fee and ISO certification fee to assist entrepreneurs affected by the the economic slowdown from COVID-19. See also (iii) in Measure 5C; (ii) 27 July 2021, Thailand's cabinet has approved a THB46 billion measure to help ease the virus' effects to individuals, specifically by providing a subsidy to students (THB33 billion) as well as providing COVID-19 treatment and assistance (THB13 billion) to the vulnerable population.

05B4 - Subsidies to businesses

(i) The government covers the first 6 months of interest and guarantees up to 60%–70% of the THB500 billion loan as part of the THB350 billion that the government will cover (See Measure 2: Loan guarantees); (ii) Reduction of interest on the debts to SFIs; (v) 16 June 2020, THB22.4 billion domestic tourism package approved by the Cabinet including subsidies for tourism service providers, domestic tourists and health officials for July to October 2020. See also (ii) to (iv) in Measure 5C; (vi) 3 June 2021, The government has approved a new 50% co-payment subsidy for employee salaries under SMEs to prevent mass lay-offs in the country.

05B5 - Indirect income support

9 September 2020, Authorities are developing new projects worth THB30 billion to support its farm sector and create rural jobs. See also (ii) to (iv) in Measure 5C.

05B6 - No breakdown (income support) THB42,000,000,000 USD1,308,094,472

(i) 16 June 2020, THB22.4 billion domestic tourism package approved by the Cabinet including subsidies for tourism service providers, domestic tourists and health officials for July to October 2020; (ii) 29 June 2021, THB7.5 billion funding as compensation for both workers and businesses affected by COVID-19 restrictions in Bangkok and other nearby provinces. On 13 July 2021, it was announced that the total funding would be increased to THB42 billion, with the lockdown starting the day before.

05C - No breakdown (health and income support) THB1,567,000,000,000 USD48,804,381,833

In response to COVID-19, the Cabinet has approved a fiscal package with phases I, II, and III amounting to at least 10% of GDP or THB1.9 trillion including (i) health-related spending; (ii) assistance for workers (includes 3 million workers outside the social security system), farmers, and entrepreneurs affected by COVID-19; (iii) support for individuals and businesses through soft loans from Specialized Financial Institution (SFI) and Social Security Office (See THB500 billion in Measure 2A), and tax relief; and (iv) lower water and electricity bills, and lower employees’ and employers’ social security contribution; (v) 1 June 2021, Thailand’s government has approved a set of economic stimulus measures worth THB140 billion in light of an outbreak in the country. These measures include cash handouts to welfare-card holders and special groups, co-payments and cash rebates starting July; (vi) 21 September 2021, Thailand's cabinet approved a THB27 billion package of COVID-19 relief measures, including subsidies on utilities and support for domestic travel and tourism. More details to follow. [update]

06 - Budget reallocation info_outline
07 - Central bank financing government THB100,000,000,000 USD3,114,510,647
07A - Direct lending and reserve drawdown
07B - Secondary purchase: government securities THB100,000,000,000 USD3,114,510,647

The BOT purchased government bonds in excess of THB100 billion in March 2020 to ensure the normal functioning of the government bond market.

08 - International Assistance Received THB550,613,087,539 USD17,148,903,233
08A - Swaps info_outline

No amount/estimate: 31 March 2020, An additional currency swap (THB–JPY) between the BOT and Bank of Japan was signed.

08B - International loans/grants THB550,613,087,539 USD17,148,903,233
08B1 - Asian Development Bank THB50,404,387,016 USD1,569,850,000

(i) 8 April 2020, USD500,000 grant under TA: Regional Support to Address the Outbreak of COVID-19; (ii) 24 April 2020, USD750,000 grant under TA: Policy Advice for COVID-19 Economic Recovery in Southeast Asia. (iii) 26 June 2020, USD1.5 billion COVID-19 Active Response and Expenditure Support Program loan. (iv) 6 October 2020, USD20,000 grant under ADB's TA on Capacity Development for the Supply Chain Finance Program (Phase 2) (Subproject 3). (v) 5 November 2020, USD90,000 grant under the TA on Creating Investable Cities in Post-COVID-19 Asia-Pacific: Enhancing Competitiveness and Resilience through Quality Infrastructure; (vi) 30 January 2021, USD1.80 million Country Support under TA 9950-REG: Regional Support to Address the Outbreak of COVID-19 and Potential Outbreaks of Other Communicable Diseases; (vii) 30 January 2021, USD10.04 million under the Supply Chain Finance Program. As of 22 May 2021, this amount has been revised to USD66.01 million total, with another USD66.01 million cofinanced; (viii) 29 June 2021, USD0.4 million under the project, Mitigating the Impact of COVID-19 through Community-Led Interventions (Supplementary); (ix) 31 August 2021, USD0.13 million under the regional project, Strengthening Regional Health Cooperation in the Greater Mekong Subregion [update]; (xi) 3 September 2021, USD0.15 million under the regional project, Supporting Enhanced COVID-19 Vaccination and Post-COVID-19 Health Security Response in Southeast Asia [update].

08B2 - Other THB500,208,700,523 USD15,579,053,233

(i) USD6.5 million in grants for health and humanitarian assistance from the United States Agency for International Development (USAID) for health and humanitarian assistance in 2020; (ii) 25 May 2021, A measure has been approved to allow the government to borrow THB500 billion in the local or overseas markets, with the purpose of financing COVID-19 recovery measures. The new debt, raised as loans or through sales of other securities, has to be wrapped up by September 2022.

09 - International Assistance Provided
09A - Swaps info_outline
09B - International loans/grants
10 - No breakdown
11 - Other Economic Measures

(i) 11 September 2020, The BOT released new supervisory guidelines for financial service providers to enhance fair customer service and protect borowers affected by COVID-19.

12 - Non-Economic Measures
12A - Measures affecting travel and transport (local and international)

(i) 23 March 2020, Countries considered as risk zones and travellers from those countries need to undertake quarantine for 14 days. Travellers from these countries must submit health certificates that show no COVID-19 infection in advance of their trips. Thailand also halted issuance of visa on arrival for some other countries. (ii) 28 April 2020, The government extended the period of the state of emergency including the night curfew between 22:00 to 4:00hr,as well as the temporary ban on all international flights to Thailand, until 31 May 2020. As of 28 October 2020, the state of emergency has been extended until end-November. (iii) 1 May 2020, several airlines resumed domestic operations in major airports, except Phuket International airport, conditional on strict hygiene and preventive guidelines. (iv) 16 May 2020, the Civil Aviation Authority of Thailand extended the temporary ban on international passenger flights until June 30 with limited exceptions. On 30 June 2020, Authorities announced the lifting of the ban on international flights on July 1 after the government earlier approved limited foreign travel to the country including business travellers and foreigners with spouses, work permits or residency in the country. On 17 December 2020, Thailand eased travel restrictions for 56 countries with waived visas subject to requirements such as COVID-19 tests and mandatory quarantine; (v) 2 March 2021, Thailand's tourism sector launched a campaign, hoping to open its borders completely to tourists by 1 July 2021. As of 5 June 2021, this was confirmed to be pushing through, starting with the resort island, Phuket; (vi) 16 July 2021, Thailand's capital, Bangkok, has tightened restrictions in repsonse to a rise in cases and deaths. As of August 16, lockdown measures have been extended two more weeks; (vii) 30 July 2021, Phuket has restricted travel from other Thailand regions, including the capital Bangkok, to prevent COVID-19 cases from surging; (viii) 7 September 2021, Thailand has announced that it would reopen to international tourists next month. [update]

12B - Measures affecting business and workplace

(i) In Bangkok and its vicinity, leisure and sport facilities, such as boxing arenas, pubs, among others, have suspend their businesses for 14 days until the end of March. In addition, the Bangkok Metropolitan Government announced on 21 March 2020 that most of nonessential commercial services, including shopping malls, restaurants and sport facilities, among others, would be closed from 22 March to 12 April 2020. (ii) The first out of four stages for relaxation of Covid-19 containment measures started on 3 May 2020, by opening low-risk businesses including markets, small eateries, small retail outlets, exercise facilities, and hairdressers; implementation of subsequent stages will depend on the evolution of Covid-19 infection. (iii) 17 May 2020, the second phase of lockdown relaxation took effect with more businesses allowed to resume activities.

12C - Others

(i) All schools have been closed since 18 March 2020 until further notice. (i) 11 May 2020, The BOT revised its bond issuance program for 2020: (a) Expanded ranges of maximum and minimum issue size per auction to 10,000 – 60,000 million baht for all maturities of BOT bills; and (b) may consider adjusting the auction frequency of the 3- and 6-month BOT bills, and the fixed-coupon bonds, to accommodate the issuance schedule of Treasury Bills and government bonds of comparable maturities. (iii) 12 June 2020, Authorities announced the lifting of the nationwide curfew on 15 June as part of its phase four easing of lockdown measures; (iv) 23 July 2021, Thailand's capital, Bangkok, has closed public places due to surging COVID-19 cases.