BOT Reviews 10,000-Baht Digital Handout Plan

[snoop1130]

 

BANGKOK (NNT) - The Bank of Thailand (BOT) is reviewing the new government’s financial policies, particularly the Pheu Thai Party’s proposed 10,000-baht digital handout scheme, which could contribute to around 3 percent of GDP growth next year.

 

BOT’s Economic and Policy Department Director Sakkapop Panyanukul said that the central bank is waiting for further details about the handout scheme and other key financial policies before making a financial forecast of the Thai economy next year. However, based on a one-time cash transfer multiplier model, the central bank predicts that the scheme will require a total budget of about 500 billion baht, which will add around 3% to GDP growth in 2024.

 

Sakkapop stated that the central bank might revise its 2023 growth forecast to 3.6% due to the global economic slowdown and China’s slow recovery. However, despite the contraction in Thai exports for the second quarter of this year, domestic demand has been increasing and could support economic growth alongside the revitalization of the tourism sector. He added that even though the consumer sentiment index for August was lower than for July because of concerns about the formation of a new government, the index should improve for the next three months after the new government is established.

 

The director stated that the number of foreign tourists continued to rise after seasonal adjustments, which boosted activity in the service industry. Foreign arrivals surged to 2.49 million in July, up from 2.24 million the previous month, primarily due to tourists from China, Malaysia, Europe, and Russia.

 

The central bank previously forecast a 3.8 percent growth for 2024.

 

By Krajangwit Johjit

 

Source: https://thainews.prd.go.th/en/news/detail/TCATG230901134017116

 

-- NNT 2023-09-01

 

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[hotchilli]

11 hours ago, snoop1130 said:

However, based on a one-time cash transfer multiplier model, the central bank predicts that the scheme will require a total budget of about 500 billion baht, which will add around 3% to GDP growth in 2024.

Not sure you can say that it will add 3% to GDP... where will the money come from?

[redwood1]

I am tired of waiting for my 10,000 baht........Retired expats should be first in line for the 10,000....

[sammieuk1]

If they ever get the fabled 10k it will come shrouded in caveats spread over at least 6 months and wide open to fraud no doubt ????

[Zapitapi]

thats programmable monies.. no thanks

[Red Forever]

11 hours ago, hotchilli said:

Not sure you can say that it will add 3% to GDP... where will the money come from?

The poor families who re release their 10k into the economy thereby stimulating said economy.

The rich would only park their 10k with the rest of their wealth i.e. not spend it.

Glad to see Socialism (wealth sharing) is catching on here.

[John Drake]

This is just about the only crumb left on the table to give to the people that voted for PTP. What happens if PTP reverses on this one, too?

[sscc]

9 minutes ago, Red Forever said:

The poor families who re release their 10k into the economy thereby stimulating said economy.

The rich would only park their 10k with the rest of their wealth i.e. not spend it.

Glad to see Socialism (wealth sharing) is catching on here.

Good.

The digital wallet plan includes a time limit.   The wallet turns to zero after few months. 

[retarius]

My wife is compiling about this. She says poor farmers are basically excluded from the scheme because they live more than 4 kms outside of towns (like we do). 

[carlyai]

29 minutes ago, retarius said:

My wife is compiling about this. She says poor farmers are basically excluded from the scheme because they live more than 4 kms outside of towns (like we do). 

Yes, can only spend it within 3km of house. No alcoholic drinks, just food etc. When you buy something for B20 it gets taken off your B10000...only to certain outlets.

That's what Wifey says.

[Ralf001]

When can we collect the 10k ?

[sandyf]

21 minutes ago, carlyai said:

Yes, can only spend it within 3km of house. No alcoholic drinks, just food etc. When you buy something for B20 it gets taken off your B10000...only to certain outlets.

That's what Wifey says.

It is only a proposal at the moment. There is currently a problem over the proposal in how payments would be made which needs BOT approval.

The 50/50 scheme worked very well so I wouldn't see why they need to change.

[sandyf]

On 9/2/2023 at 4:55 AM, hotchilli said:

Not sure you can say that it will add 3% to GDP... where will the money come from?

The proposal is based on expected increases in revenue during 2024.

[sandyf]

On 9/2/2023 at 5:49 AM, sammieuk1 said:

If they ever get the fabled 10k it will come shrouded in caveats spread over at least 6 months and wide open to fraud no doubt ????

There was quite significant fraud in previous schemes which were addressed, hence the various caveats.

There was nothing fabled about the WTT and 50/50 schemes, a good deal more than 10K was to be had.

[sandyf]

27 minutes ago, Ralf001 said:

When can we collect the 10k ?

Thailand’s new PM-elect Srettha Thavisin said he expects the 10,000-baht digital currency handout promised to every Thai aged 16 and above to be implemented in the first quarter of 2024.

https://www.nationthailand.com/thailand/politics/40030526

 

There is however a problem currently over the use of "digital currency".

[retarius]

49 minutes ago, carlyai said:

Yes, can only spend it within 3km of house. No alcoholic drinks, just food etc. When you buy something for B20 it gets taken off your B10000...only to certain outlets.

That's what Wifey says.

Thank you for clarifying this. She still won't get it, we have no stores within 3 KMs

[kimamey]

7 hours ago, retarius said:

My wife is compiling about this. She says poor farmers are basically excluded from the scheme because they live more than 4 kms outside of towns (like we do). 

I thought the 4km limit didn't make sense but I heard that was one of the things they were looking at changing. Having said that I worked out the problem in about 15 seconds so I wonder which highly intelligent people came up with 4kms?

I'm not sure a 6 month time limit is such a good idea either.  I can see it getting spent too quickly, creating a sudden boom abs then taking back again. Or it will just get lost if its not used in 6 months which won't help the economy.  Maybe be better to spread it out a bit.