Thai military govt to extend tax rate cuts

BANGKOK, May 26 (Reuters): Thailand's new military government will roll over corporate, income and valued-added tax rate cuts, which would otherwise expire this year, and has no plans to impose any capital controls, a senior finance ministry official said on Monday.

The government will also go ahead with some projects under a halted 2 trillion baht ($61 billion) infrastructure plan, Somchai Sajjapong, head of the finance ministry's fiscal policy office, told reporters.

Selected projects will be funded under the normal state budget, he said after a meeting with Air Chief Marshal Prajin Juntong, in charge of the economy for the military administration. The army seized power on May 22.

Prajin said certain projects under a 350 billion baht water management scheme would also be implemented.

Somchai said he was confident the economy would grow more than 2 per cent this year but that the ministry was aiming for 3 per cent growth.