At least 200 billion baht of the government's budget is expected to be taken out from October-December as part of efforts to ramp up public spending and tackle cooling economic expansion.
In the first three months of fiscal 2016 starting Oct 1, state agencies plan to draw down investment budget to the tune of 86 billion baht, more than 7,000 tambons will take out 5 million each or 36.2 billion baht total under the government's short-term stimulus for repairs and construction, 40 billion will be disbursed for small investment projects, and 68 billion left over from the previous fiscal year's investment budget will be drawn down, Budget Bureau director Somsak Chotrattanasiri said.
If budget disbursement achieves the target, it will surpass the 118 billion baht taken out in the same period last year.
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The Fiscal Policy Office recently said the government's plan to speed up budget disbursement for fiscal 2016 would drive economic growth in the fourth quarter and boost full-year growth to hit the upper end of its forecast at 3%.
The 5-million-baht budget per tambon and the acceleration of budget disbursement for small projects worth less than 1 million are part of the first economic stimulus measures initiated by the government's new economic team led by Deputy Prime Minister Somkid Jatusripitak.
Another measure in the package aimed at rapidly directing money into the pockets of rural residents is a 1-million-baht loan to each of 59,000 Village Funds to relend to low-income earners.
Low-income earners in rural areas are suffering from a cash crunch cramped by the steep fall in farm prices and swelling household debt, while the worst drought in 10 years and the economic doldrums have dealt a double whammy.
Mr Somsak said speeding up budget disbursement for fiscal 2016 was among several measures the government planned to use in driving the lacklustre economy.
Taking out cash set for small projects can be done at a rapid pace.
The procurement process for small projects worth less than 2 million baht takes only 20-30 days compared with 30-42 days for projects worth more than 2 million.
The government has set budget expenditure worth 2.72 trillion baht and planned a budget deficit of 390 billion baht for this fiscal year.
The investment budget for fiscal 2016 amounts to 543 billion baht.
It comprises 16.9 billion baht for projects worth no more than 1 million each, 15.4 billion for projects worth more than 1 million but not exceeding 2 million, 46.3 billion for projects worth more than 2 million but not exceeding 5 million, 55.1 billion for projects worth more than 5 million but not exceeding 10 million, 8.72 billion from the central budget and the remainder for projects worth more than 10 million each.