Damage calculations for floods in Thailand vary considerably
Estimates of flood damage vary widely. The most pessimistic is the National Economic and Social Development Board: 90 billion baht or 0,9 percent of gross domestic product.
The agricultural sector suffers 40 billion baht damage, the industry 48 billion baht. The damage in the province of Nakhon Sawan, which was flooded on Monday, is not yet included and Bangkok is not flooded in this calculation. The NESDB assumes that the factories will need 2 months to run at full capacity again.
The Minister of Finance, Thirachai Phuvanatnaranubala, puts it at a percentage between 0,6 and 0,8 percent of GDP, or an amount of 69 billion baht, also excluding Bangkok. In this calculation, the floods do not last longer than a month.
The Bank or Thailand (BoT) has also taken the pocket Japanese. According to the bank, the damage to the agricultural sector is 16 to 20 billion baht and the damage to the Saha Rattana Nakorn industrial estate (Ayutthaya) is 25 to 30 billion baht. The bank has not yet calculated the extent of the damage to industrial site Rojana (Ayutthaya). Governor Prasarn Trairatvorakul says the central bank will consider specific measures for affected companies rather than monetary policy for the entire country.
Today, the cabinet is considering increasing the budget deficit for the next fiscal year to cover the costs of all recovery work. The budget will also have to include provisions for infrastructure investments to prevent flooding in the future. This requires 100 billion baht. In comparison, the current deficit is 350 billion baht. But that amount can be spread over 3 to 5 years, said Minister Kittiratt Na-Ranong (Trade) in his position as Deputy Prime Minister, who chaired a meeting of Finance, BoT, NESDB and the Budget Bureau yesterday.