06 August 2020 | News
Thailand has one of the more developed health care systems in Southeast Asia, but the country remains highly vulnerable to the pandemic
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The Asian Development Bank (ADB) is providing a $1.5 billion loan to support the Government of Thailand’s response to the coronavirus disease (COVID-19) pandemic.
Thailand has one of the more developed health care systems in Southeast Asia, but the country remains highly vulnerable to the pandemic due to its deep integration with regional and global economies. Potential surges in COVID-19 cases could overwhelm the system, resulting in constraints in human resources and medical equipment.
ADB forecast Thailand’s economy to contract by 6.5% in 2020, down from its December 2019 projection of 3.0% growth. Given the country’s strong regional trade, investment, and labor links, an economic crisis in Thailand could spill over into neighboring countries, including Cambodia, the Lao People’s Democratic Republic, Myanmar, and Viet Nam.
ADB’s COVID-19 Active Response and Expenditure Support (CARES) Program will provide quick-disbursing budget support for the government’s COVID-19 response.
It will help restore growth and set the stage for targeted private sector operations by ADB to support the government’s post-COVID-19 recovery, including priority areas such as infrastructure, trade, and supply chain finance.
In addition, ADB will set up a framework to support continuing policy dialogue with the government on COVID-19 response and economic recovery.