New Committee Formed to Address Household Debt

[webfact]

 

by Paul Rujopakarn

    

BANGKOK (NNT) - The Fiscal Policy Office (FPO) has set up a committee to address the issue of household debt.

 

FPO Director-General Pornchai Thiraveja said the committee is chaired by Deputy Prime Minister and Energy Minister Supattanapong Punmeechaow.

 

The director-general noted that most debts stem from student loans; loans from teacher cooperatives; personal loans and credit cards; auto and motorbike loans; and informal debts as well as other general debts.

 

Related governmental units have already launched several programs to mitigate the problem, with a focus on helping debtors generate more income. These campaigns include loans that can be used to start businesses or invest in agricultural innovation to help reduce costs and increase yields.

 

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Pornchai said the Ministry of Finance is now working to connect the State Welfare database with related agencies such as the Ministries of Labor, Interior, and Education, and the Bank of Thailand. The move is expected to enable units to collaborate more effectively.

 

The government is also promoting the importance of savings. The Ministry of Finance previously established the National Savings Fund and proposed to the Cabinet a bill for a national retirement fund to provide capital to those in need.

 

To address the issue of chronic household debt, the administration will educate people of all ages and professions on financial literacy and monetary management. The government will also carefully review its policy to better prevent citizens from falling into unnecessary debt.

 

-- © Copyright NNT 2022-05-24

 

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[Gottfrid]

And the result released from the committee 6 month later. "We have a high household debt"

[Hayduke]

28 minutes ago, webfact said:

BANGKOK (NNT) - The Fiscal Policy Office (FPO) has set up a committee to address the issue of household debt.

 

A committee may not be enough…..an issue like this requires funding for five or six sub-committees, a few working groups, a board or two, and at least one task force.

 

 

 

[worgeordie]

33 minutes ago, webfact said:

The director-general noted that most debts stem from student loans; loans from teacher cooperatives; personal loans and credit cards; auto and motorbike loans; and informal debts as well as other general debts.

There ,off to a good start , covers just about everything, add spending

more than you earn, gambling ,drugs, most governments around the 

World are doing lots to help those that got themselves  in debt, but

nothing at all for those that lived within their means , were canny with

the purse strings , in fact with hyperinflation, you might be better off

in debt, as your savings are melting away...

regards Worgeordie

[hotchilli]

6 hours ago, webfact said:

The Fiscal Policy Office (FPO) has set up a committee to address the issue of household debt.

Yet another committee.... Jeez.

[Cake Monster]

6 hours ago, webfact said:

The director-general noted that most debts stem from student loans; loans from teacher cooperatives; personal loans and credit cards; auto and motorbike loans; and informal debts as well as other general debts.

So in a Nutshell, there are Debts from just about every section of Thai Society.

The issuance of Loans by Financial Institutes is really out of control now with people being able to pay 99 Baht down, and then buy a House selling for 2 Million with a payback of 40 Years.

And Vehicle Loans that have payback of 7 , 8, and even 9 Years on the Loan deal

There has to be a big bang sometime with all this debt, reaching approx 90 + % of GDP ( Official Figure ), but in reality I suspect the amount to be much higher.

[itsari]

Personal bankruptcy is one answer 

[Andycoops]

What the government should be doing is stopping loans to government employees that are many, many times their actual salaries.

Another bureaucratic committee will not have the slightest effect, except on the expenses claimed by those on it.

Thailand the hub of committees.

[sammieuk1]

A sub-committee will be needed before the committee gets committed I fear ???? 

[RichardColeman]

Getting loans for a brand new pick up on a 300 baht a day salary simply it seems as you put your flip flops on the right is ludicrous. Most people in the west cannot afford to buy this stuff new, yet Thais are buying it in abundance

[Orinoco]

You need a new slogan, How about.

Earn it,  before you spend it.

 

Nah, it would go straight over there heads.