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Thai govt to accelerate bank borrowing to make rice payments to farmers

Published on May 30, 2014 5:45 PM
 
Chavalit Chookajorn (L), permanent secretary of the Thai Ministry of Agriculture and Cooperatives, throws rice grains while dressed in a traditional costume during the annual Royal Ploughing Ceremony, in central Bangkok May 9, 2014. The country's finance ministry will invite banks to offer terms for loans to pay rice farmers who have waited months for money owed under a state buying scheme. --PHOTO: REUTERS

BANGKOK (REUTERS) - Thailand's finance ministry said on Friday it would invite banks to offer terms for 50 billion baht (S$1.8 billion) in loans on June 3, earlier than planned, so it can pay rice farmers who have waited months for money owed under a state buying scheme.

The plan has been pushed forward due to faster-than-expected payments to farmers since a military government took power on May 22, Chularat Suteethorn, head of the ministry's public debt management office, told reporters.

The ministry had planned to open bidding for a three-year loan for 30 billion baht on June 6 and for another for the remaining 20 billion baht on June 13.

"We will discuss with banks whether they can give us the whole loan on June 6," Mr Chularat said, which would allow three days for the ministry to choose banks and receive the transfers.

 
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