Solution to household debt must be found: Minister

[webfact]

Solution to household debt must be found: Minister

By The Nation

 

 

Social Development and Human Security Minister Juti Krairiksh told reporters on Monday that while the ministry has to handle several complex missions, it also faced limitations due to an unbalanced allocation of budget for these missions.

 

To improve the efficiency of the ministry’s work, Juti explained that he would be looking for cooperation and funding from all related parties, including other agencies, foundations and the private sector.

 

“We cannot wait for the state agency to do all the work, as it wouldn’t be fast enough to adapt to the changes,” said Juti, adding that he would also negotiate with the Budget Bureau. “Although laws and regulations are hard to change, our priority must be trying to solve people’s problems and make them happy.” 

 

 

Juti was speaking to reporters after presiding over a meeting of executives to discuss missions and overall results on his first day at office.

 

Juti said he also assigned all departments under the ministry to prepare policy and budgetary information and set up a clear working plan within 30 days.

 

The main issues to be tackled first include early pregnancy; problems raised by Thailand’s status as an ageing society, on which a workshop would be held next month; LGBT gender diversity; and household debt. The latter, which even economists say will be hard to solve, must be resolved, he stressed. 

 

Another priority issue is the government subsidy to children aged up to six years old whose entitlement to such aid is based on the main criteria for poverty, he added, noting that this matter requires cooperation with local administrative organisations which can help screen and target the families entitled to the help, thus providing the ministry with more accurate information. 

 

The new minister also vowed to prevention corruption in various ways with a focus on the use of technology.

 

Juti also said he wasn't worried about the opposition’s plan to grill 14 Cabinet members, himself included, during the parliamentary debate on July 25-26 when the new government will announce its policy statement, as he was ready and willing to listen to issues the opposition would raise.

 

Source: https://www.nationthailand.com/news/30373465

 

-- © Copyright The Nation Thailand 2019-07-23

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[Thongkorn]

Hows about making it affordable for the ordinary working Thai person to live,. Like a living wage, 

[ezzra]

Yes Minister, and when you'll find a solution, you need to share it with the rest of the world because household debts are endemic and not unique to Thailand only, it's the scrooge of every person who spend and spend, most of the times far beyond their capability to repay those spendings...

[HeyHeyHey]

What about breaking up the monopolies of the approx top 20 families in Thailand and their protection?

 

Yeah, your buddies wouldn't like that

[smedly]

52 minutes ago, webfact said:

Solution to household debt must be found: Minister

stop lending people money who cannot afford to pay it back

 

make it easier for expats/retires to live here and spend

[overherebc]

As long as the desire to have a 1.8 million baht car when you're living in a 600,000 baht townhouse exists then nothing will change.

[DNPBC0]

The principal root causes of household debit are an obsession with consumerism and GDP and the belief that a display of wealth enhances a person's social status.  While this is a global problem, it's a particularly prominent issue in Thailand.

[nickstav]

As someone else said, number 1) stop giving credit to people who cannot afford to repay the debt; 2) develop a program that allows people already in debt to consolidate their debts into one payment at a lower interest rate (somebody is going to have to bite the bullet on this i.e. the gov't, but there are no ez soulutions); 3) kill all the bankers (they're worse than lawyers. At least lawyers don't hide the fact that they're bloodsucking reptiles.).

[nickstav]

1 hour ago, Thongkorn said:

Hows about making it affordable for the ordinary working Thai person to live,. Like a living wage, 

I agree about giving a decent living wage, but don't think it will solve the debt problem. Thais will just figure they have more to borrow against and buy more crap on credit. 

[zydeco]

Ban advertising. 

[djayz]

5 minutes ago, zydeco said:

Ban advertising. 

If only it could be banned... 

[300sd]

I agree with that headline...

 

Doing away with loan sharks who charge 20% per month would be a good start. Put them away for good. That would mean the police would have to do their job...

 

Bank borrowing rates in this country are extreme compared to the normal world! There are some straight forward solutions but I think corruption is more important to the gifted few so the usual nothing will be accomplished.

[djayz]

1 hour ago, Thongkorn said:

Hows about making it affordable for the ordinary working Thai person to live,. Like a living wage, 

If they want a living wage, maybe they should:

1) learn some skills which would help them do a decent job like customer service, broaden their knowledge of the products they're trying to sell, etc.,

2) improve their work attitude, 

3) quit standing/sitting around all day, every day glued to their phones, admiring themselves in the mirror or chatting with colleagues. 

Then, and only then, are they worth paying more. 

From nothing comes nothing. 

 

This, as another member has already stated, would not help the problem of spending the max. The more they earn, the more they're going to spend/borrow. Paying them more is not going to solve the core issue - self-control, living within their means and being less concerned about the perceived status these shiny new vehicles, gadgets, etc. bestow on us. 

Edited July 23, 2019 by djayz

[dcnx]

Teach them about financial responsibility. But that would mean an education overhaul and they might actually learn a few things and you can’t have that.

[RotBenz8888]

8 minutes ago, zydeco said:

Ban advertising. 

Start with the instruction board for finger scanning at suwanapumi. 3 seconds of information followed by 15 seconds of advertising, and it keeps rolling.  Just amazing!

[NCC1701A]

"And then I said our priority must be trying to solve people’s problems and make them happy.”  

 

[GeorgeCross]

Quote

Solution to household debt must be found

 

in other news.. stimulus required to increase consumption

 

whats wrong with this picture?

 

 

[Nowisee]

just one big circle jerk

[worgeordie]

First priority ,get them troughs filled up,i want to 

get my nose in,its been too long.

regards worgeordie

[Matzzon]

2 hours ago, webfact said:

it also faced limitations due to an unbalanced allocation of budget for these missions.

Why he need a big budget? Deliver the mission to the education system instead. 3 lessons a week per 40 minute each. The only thing the students do is reapeating the sentence. "I can not borrow more money than I can afford to pay". Actually, it costs almost nothing!

[DrTuner]

1 hour ago, DNPBC0 said:

The principal root causes of household debit are an obsession with consumerism and GDP and the belief that a display of wealth enhances a person's social status.  While this is a global problem, it's a particularly prominent issue in Thailand.

And the cause of that prominence is gaining face, the most idiotic plague known to mankind keeping Thais in it's grip.

[Eric Loh]

Reduce VAT, raise wages, lower bank rate and tax the rich to pay for the revenue lost. 

[djayz]

1 hour ago, NCC1701A said:

"And then I said our priority must be trying to solve people’s problems and make them happy.”  

 

I can just hear the chorus now... "Chai Pii"

[Eric Loh]

According to Thai Chamber of Commerce, large percentage of people in debt incurred mainly by daily expense and household purchase. Surely the minimum wage is a big factor. 

[CeeGee]

Partners B in L  works at a market stall selling chilli(he does not own the stall and when it rains the stall is not open,so no money).Turns up one day with a brand new pickup,complete with all the extras.

fast forward two months,he has disappeared up country ,complete with pick up.Finance company call almost every day trying to trace him.Turns out he gave his daughter as guarantor.his daughter is six!!!.

He obviously knew he could not afford the repayments,at the same time the finance company were more than happy to let him have the money without any checks .

Who is more at fault here????

[Cadbury]

4 hours ago, webfact said:

Solution to household debt must be found: Minister

Another one of PM Prayut's hand picked deadheads. Doesn't Juti read the news releases by other ministers. That economic loser Somkid just announced the other day the government' release of a "stimulus" package which included access to government bank loans for workers, farmers and small business people.

The only thing that will stimulate Somkid is the level of household debt. I hope you feel proud of yourself.

It's just getting worse.

[Geoffggi]

16 hours ago, djayz said:

learn some skills which would help them do a decent job like customer service, broaden their knowledge of the products they're trying to sell, etc.,

Regarding the above comment to which I agree in principle, the government should provide training programs like Government rehabilitation schools that teach individuals that have now woken up to the fact that without adequate training or education life is going to be forever difficult. In the UK these type of schools were introduced and were successful in educating the available work force (the one who want to work and get ahead) thereby giving them an incentive to better themselves and their prospects.

[KhaoNiaw]

14 hours ago, CeeGee said:

Partners B in L  works at a market stall selling chilli(he does not own the stall and when it rains the stall is not open,so no money).Turns up one day with a brand new pickup,complete with all the extras.

fast forward two months,he has disappeared up country ,complete with pick up.Finance company call almost every day trying to trace him.Turns out he gave his daughter as guarantor.his daughter is six!!!.

He obviously knew he could not afford the repayments,at the same time the finance company were more than happy to let him have the money without any checks .

Who is more at fault here????

You don't just 'give' finance companies a guarantor. They have to go in person, with ID card, bank statements, pay slips, etc. etc. I don't doubt that he's done a runner, common enough story, but whoever told you the bit about the 6 year old was over-egging it.

[Bangkok Barry]

19 hours ago, DNPBC0 said:

The principal root causes of household debit are an obsession with consumerism and GDP and the belief that a display of wealth enhances a person's social status.  While this is a global problem, it's a particularly prominent issue in Thailand.

 

I knew of someone who bought an expensive car. She couldn't drive it, but it looked good outside her house and she thought it impressed the neighbours - who were probably thinking how stupid she was to spend so much on a car she couldn't drive.

[connda]

Then rein the banks in and put restriction on loaning sub-prime loans out to anyone with a warm, beating pulse.  The banks and lenders are complicit in offering predatory lending.

It will end, and end badly.

The banks will claim they're solvent until they aren't, then they'll lobby the government to be allow to literally prey on depositors and borrowers alike while holding out their paws for the government to grease with "free money" to save the banking industry which is Too Important To Fail - although that's exactly what should be allowed to happen.  
Greed and avarice.  Nasty stuff.