Thailand Launches $4.8 Billion Stimulus to Power Economic Revival

BANGKOK, June 25, 2025 — The Thai government has approved a 157 billion baht economic stimulus package aimed at spurring job creation and strengthening key industries amidst ongoing global uncertainties. Comprising 481 projects, the initiative focuses on delivering immediate impact while fostering long-term economic resilience.

At the heart of the initiative lies an 85 billion baht infrastructure drive, including 34 projects focused on water management and road networks. Over 900,000 households are expected to benefit from improved water systems, while 417 kilometers of upgraded transport routes aim to ease mobility and productivity. These projects are projected to generate more than 7.4 million jobs nationwide.

Tourism and SME sectors also feature prominently. With a 10 billion baht allocation, tourism enhancements—including upgraded attractions and citywide CCTV installations—are expected to attract 2.76 million new visitors, generating over 55 billion baht in revenue. Simultaneously, a 10 billion baht loan program will support SMEs coping with trade disruptions, safeguarding around 100,000 jobs.

Broader economic support includes 11.1 billion baht for export development, digitization, and agricultural innovation. An additional 9.2 billion baht will strengthen community development and education initiatives, particularly in Thailand’s lower-income Northeast, addressing regional disparities and fostering inclusive growth.

According to government projections, the package could lift GDP by 0.4%. Economic analysts note its blend of infrastructure momentum and sector-specific relief represents a “balanced path toward recovery” while tackling structural gaps in workforce readiness and regional inequality.

The initiative arrives at a pivotal time as policymakers navigate fragile external conditions and uneven domestic demand. With implementation already underway, stakeholders are watching closely to assess its real-world impact on Thailand’s mid-term growth trajectory.

🛠️ Infrastructure at the Core

The bulk of the package—85 billion baht—will fund 34 large-scale projects:

• Water Management (39.1 billion baht): Enhancing flood protection and supply systems, benefiting 900,000+ households and securing 191,000 rai of flood-prone land.
• Transport (45.9 billion baht): Upgrading 1,689 roads and building 417 km of new ones, creating 285,000 jobs across provinces.

🌐 Boosting Tourism and SMEs

• Tourism Revival (10 billion baht): 420 projects will improve tourist attractions and security (including CCTV). Officials expect 2.76 million new visitors, generating 55 billion baht in value.
• SME Support (10 billion baht): Loan schemes to protect 100,000 jobs amid tariff-related challenges.

🌾 Broader Economic Support

• 11.1 billion baht to expand exports, digitization, and agricultural resilience.
• 9.2 billion baht for community development and human capital, especially in education.

🌍 Equity-Focused Allocation

The stimulus prioritizes Thailand’s lower-income Northeast, reducing funding to wealthier regions like Bangkok to promote inclusive growth.

📈 Impact Forecast

• GDP Growth: Estimated boost of 0.4%
• Employment Impact: 7.4 million jobs expected
• Strategic Aim: Merge short-term job creation with long-term reforms in regulation and skills.