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

[snoop1130]

 

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

 

- Cigna offers a range of visa-compliant plans that meet the minimum requirement of medical treatment, including COVID-19, up to THB 3m. For more information on all expat health insurance plans click here.

 

Get our Daily Newsletter - Click HERE to subscribe

[SoilSpoil]

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. 

 

 

[ikke1959]

Happy with the word  "could"... it will do nothing in fact.. lottery, maybe less debts...

[300sd]

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.

[mfd101]

GDP increase? So it'll be invested on productive activities and increased outputs?

 

Nonsense. 90% of it will go on consumption - food, booze, a new pair pf shoes ... After that, pay off a debt if anything's left over.

[nahkit]

How can you possibly consider a government handout to be a part of the GDP?

[retarius]

Nonsense, this scheme will mire Thailand in debt for no good reason apart from legalised bribery of the electorate.