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Pheu Thai Party’s digital handout scheme could boost Thailand’s GDP by 3%


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The Pheu Thai Party‘s proposed digital handout scheme, requiring around 500 billion baht, could potentially boost Thailand’s GDP growth by 3% in the next year, according to the Bank of Thailand. Sakkapop Panyanukul, the central bank‘s director of the economic and policy department, mentioned the digital handout contribution depends on the economic multiplier.

 

The 3% GDP projection uses a cash transfer model, but definitive forecasts await more digital handout scheme details. The program suggests a digital wallet with 10,000 baht for citizens aged 16 and above, spent locally within six months to stimulate the economy and aim for 5% GDP growth.

 

Although the August consumer sentiment index dropped due to government concerns, Sakkapop anticipates improvement once a government forms. The central bank awaits the new government’s economic policy before predicting 2024 GDP growth of 3.8%.

 

However, the 2023 growth forecast might be cut from 3.6% due to slower external demand and the global economic slowdown. Thai exports may decrease due to sluggish recovery in China, but internal demand and tourism remain supportive of economic expansion.

 

By Alex Morgan

Caption: Photo courtesy of Bangkok Post

 

Full Story: https://thethaiger.com/news/business/pheu-thai-partys-digital-handouts-could-boost-thailands-gdp-by-3

 

-- The Thaiger 2023-09-01

 

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  • Haha 1
Posted

That depends on how this scam/scheme is financed. Is it financed through tax collection, then the GDP won't necessarily increase as people can only spend their income once, be it on tax or on products. 

 

 

  • Like 1
Posted

Who cares about control when we get free money? The politicians know what's best for us. (but it's not for them). Reminds me of an alligator eating it's prey.

  • Like 1

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