Thailand Roundup: Surrogacy law reforms, economic challenges, budget deficit
Surrogacy law reforms
Thailand is set to end a decade-old ban on surrogacy for foreign and gay and lesbian couples to promote medical tourism. The Thai Health Ministry's proposed revision aligns to make the Southeast Asian nation an appealing destination for tourists. As early as July, the Health Ministry plans to present a revised version of a law that outlaws overseas surrogacy to parliament, according to deputy director-general Arkhom Praditsuwan of the ministry's Department of Health Services Support. It will be the first change made to the ban since it was first imposed in 2015 in response to public outcry over the abandonment of a Down syndrome baby by an Australian couple, Hindustan Times reports.
Economic growth challenges
The World Bank and the Bank of Thailand have revised Thailand's growth forecast to 2.8% and 2.5% to 3.0%, respectively, due to weak exports, a delayed budget, and a reliance on tourism and private consumption for growth. Thailand Prime Minister Srettha Thavisin plans a 500 billion baht (about $13.65 billion) handout to stimulate the economy, Bangkok Post reported.
Budget deficit increase
Thailand plans to widen its 2025 budget deficit by $4.2 billion to stimulate economic growth. The cabinet's approval of this increase aims to finance a cash handout and spur the country's economy, according to Bloomberg. The director of the Budget Bureau, Chalermphol Pensoot, has stated that the budget deficit for the fiscal year beginning on October 1 will increase to 865.7 billion baht ($23.6 billion), or 152.7 billion baht higher than the initial target. The Thai official highlighted that this is a component of the revised medium-term budget framework that the Cabinet adopted on April 2.
Tourism resurgence
The first quarter of 2024 witnessed a significant increase in Thailand's tourism industry, with 9.4 million foreign tourists spending $12.4 billion. The government of the Southeast Asian nation aims to attract a record 40 million tourists this year and plans to legalise casinos as a means of generating revenue and creating jobs while promoting tourism through the "Maha Songkran World Water Festival 2024, a celebration of the traditional Thai New Year, a UNESCO-listed Intangible Cultural Heritage scheduled from 11-15 April in Bangkok.
Intense heatwave
Thailand is currently facing an intense heatwave, with temperatures exceeding 40°C. The Meteorological Department of Thailand issued a warning for intense heat and thunderstorms in ten provinces, advising citizens to take necessary precautions. The entire nation typically has hot weather during the day, interspersed with sporadic thunderstorms. It is anticipated that there will be intense heat in certain places, especially in the upper regions of Thailand.
