The new Thai government will lose the goodwill of the nation if it cannot head off massive job losses next year, said Finance Minister Korn Chatikavanij Tuesday.
The cabinet informally approved a spending boost of up to 180 billion baht (5.5 billion dollars) at its first meeting, one day after the commerce minister reported that exports had fallen in November for the first time for six years, reported dpa.
The government sworn in Monday is a five-party coalition led by the Democrat Party which lacks credibility with a large section of rural voters who supported fugitive former prime minister Thaksin Shinawatra.
The Democrat Party was only able to form a coalition with junior partners, without an election, because a constitutional court dissolved the political party backed by Thaksin.
Korn said the "very able" Prime Minister Abhisit Vejjajiva leads a strong economic team who will support the people through the tough times ahead. "We are going to work very hard, and we are going to spend," Korn said.
Opponents of the previous government caused, by some estimates, 3 billion baht in damage to the economy by forcing the closure of both airports in the capital for a week.
The Democrat Party could find it hard to stay in power if the airport closure by its allies is blamed for widespread job losses, said political analysts.
At Monday's swearing-in ceremony, Thai King Bhumibol Adulyadej, 81, called for peace in the country, thereby breaking months of silence on the political turmoil in the country.
Thailand has been without an efficient, proactive government since September 2006 when Thaksin was overthrown in a bloodless military coup in response to his alleged corruption and greed for power.
Korn said economic ministers would meet with the central bank this week to coordinate economic support measures. He told the Thai News Agency the Bank of Thailand's recent 1-per-cent cut in the prime rate showed it was in tune with government thinking.
Many economists expected the Thai economy to stand still, or even shrink, next year as the export market contracts. Exports fell 18.6 per cent in November, the first decline since 2002.
The government will read its policy statement in parliament December 29-30.