A research study submitted in partial fulfillment of the requirements for the degree of Master of Business Administration, School of Management

Research Studies Project Report (M.B.A.) - Asian Institute of Technology, 1999

Facing the economic crisis starting in mid 1997, Thailand has launched various kinds of measures and frequently revised fiscal policies. To recover from this crisis, the Thai government and the International Monetary Fund (IMF), which provides a rescue package to help revive the economy, initially agreed to run a surplus budget. Unfortunately, it caused an even more sluggish economy. Since this policy failed to succeed, the Thai government with the approval with the IMF finally had to adjust the budget target to a deficit in February in 1998. To meet the new budget target the Ministry of Finance has conducted four budget adjustments to boost the Thai economy in the fiscal year 1998. This research is conducted to review the current practice of the Thai government budgeting and to examine Thailand's budget adjustment in the fiscal year 1998 in order to meet the budget target set by the IMF. This research provides the data displaying the efficiency of the actual performance comparing to the estimation during the fiscal year 1998. The proposal to the Thai government' for the improvement of the budget process and budget forecasting is also included.