Former finance ministers back zero-budgeting to tackle corruption

Former finance minister Pridiyathorn stated that zero-based budgeting would be suitable for Thailand, and if it cannot be implemented this year, it should be ready by 2025. As for this year's budget, it is anticipated that the new government will be formed around July, and it should not significantly affect budget disbursements.

Ex finance minister Sommai Phasee, meanwhile, said zero-based budgeting should have been implemented a long time ago as it takes account of budget allocations that are aligned with current circumstances. With corruption known to account for as much as 20-30%, actual expenditures are considerably lower than the amount budgeted. This factor can be eliminated by using zero-based budgeting, which is beneficial for the country. However, it may result in the reduction of certain budgets and potentially a loss of jobs.

The current budgeting system seems to be stuck in a cycle where a mere 5% increase from the previous year is considered sufficient. This is a drawback in Thailand's budgeting approach, which the Move Forward Party recognises. They see that continuing with the old system is no longer effective. However, it is important to save on funding and address corruption, which will bring long-term benefits to the country.

However, zero-based budgeting will take time, as it requires a complete overhaul of the present system.

The delay in preparing the country's annual budget later this year will not significantly impact the Thai economy because the government sectors will operate within this year's budget framework, especially in terms of regular expenses such as compensation, living expenses, materials, and public utilities. That said, the delayed formation of the new government is hampering investors' confidence and affecting the future expansion of the Thai economy. The uncertainty surrounding the policies adds to these concerns.