Digital wallet scheme to be funded by borrowing from GSB : Move Forward MP Sirikanya

[snoop1130]

 

Move Forward party deputy leader Sirikanya Tansakul claimed today (Monday) that the money to fund the government’s 560-billion baht digital wallet scheme will be come in the form of loans from the Government Savings Bank (GSB).

 

In her Facebook post today, the party-list MP claims she has found the answer to the big puzzle about the source of funding for the scheme, which is the GSB, not from the national budget, because borrowing from a state-owned bank is not regarded as public debt.

 

She explained that borrowing from the GSB can be done by expanding the limits of the fiscal discipline framework in the 2024 budget, from 32% to 45%.

 

Caption: Move Forward deputy leader Sirikanya Tansakul

 

Full story: Thai PBS 2023-09-25

 

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[OneMoreFarang]

Obviously it is good that someone from the Move Forward party exposes this.

But there is one big problem: The vast majority of Thai people don't pay any income tax. For them it doesn't matter where the money comes from. It's other peoples' money. 

[StayinThailand2much]

11 minutes ago, OneMoreFarang said:

The vast majority of Thai people don't pay any income tax. For them it doesn't matter where the money comes from. It's other peoples' money. 

Even the government seems to believe that 'money comes from the bank'. If everyone just gets bank loans whenever they need more money, why not the government? The banks have it after all...

Edited September 25, 2023 by StayinThailand2much

[phetphet]

I wonder if that Digital Wallet is what they will use at the next election attract voters.

[mfd101]

There is a reason why many many Thais don't pay income tax: As in my extensive Khmer family, many many Thais don't have an income at all. Or they have one that is invisibly small or one that is short-term or erratic and unpredictable ....

[Mr Meeseeks]

Don't worry, they will make up the shortfall by taxing all the foreign money inflows.

[OneMoreFarang]

1 hour ago, StayinThailand2much said:

Even the government seems to believe that 'money comes from the bank'. If everyone just gets bank loans whenever they need more money, why not the government? The banks have it after all...

Maybe they learned that from that so called leading country in the world. Let's print money! 

[soi3eddie]

Wonder what the cost and terms of the money will be (interest rate)? Guaranteed that ultimately, the ordinary folk will end up paying more somewhere to support this scheme.

 

Edited September 25, 2023 by soi3eddie

[Dogmatix]

Same smoke and mirrors act used for the rice pledging scam the debt of which has not yet been paid off. It effects ordinary people because the government will have to issue a lot of bonds to fund GSB which will tighten credit conditions, causing companies to cut back on expansion and investment which hits jobs. 

[jippytum]

Bribe the voters with a 10,000 baht  then borrow the money from the government bank when you get into government. 

Don't think there will be any rush to repay the loan do you? 

 

 

[2baht]

12 hours ago, StayinThailand2much said:

Even the government seems to believe that 'money comes from the bank'. If everyone just gets bank loans whenever they need more money, why not the government? The banks have it after all...

So does loong Daeng, 10%! 

[Eric Loh]

14 hours ago, snoop1130 said:

In her Facebook post today, the party-list MP claims she has found the answer to the big puzzle about the source of funding for the scheme, which is the GSB, not from the national budget, because borrowing from a state-owned bank is not regarded as public debt.

Find that statement quite puzzling. Public debt (national debts) is primarily held by the public (bonds etc), investors and banks. It is borrowings by the government to cover budget deficits. Tax comes in many forms and everyone pay taxes in different forms besides personal taxes (if not eligible) like value added tax, specific business tax, stamp duties, property tax etc. 

[jonny on the spot]

Heres a novel idea, scrap the insane digital wallet idea and dont borrow any money from anyone.

[Emdog]

"....come in the form of loans from the Government Savings Bank (GSB)."

More proof, top to bottom, that perhaps in Thai language "loan" and "gift" are synonymous. No mention on regarding how or even if those loans might be repaid

[Sydebolle]

"... found the answer ...... about the ...... funding"

If the state borrows from a state-owned bank, is not regarded as public debt.

That boomerang will hit back big big time - last time it was 25 years ago; history repeating itself which sent 56 out of 57 finance companies owned by commercial banks ....... down the toilet! 

[circa02]

How is this not public debt? *Shakes head* I've seen more logic in the crypto forum... if we take this crapcoin, and multiple it with this pokemon, and stake it on this farm, and voila, I guess this is where the blockchain element of the 10,000 baht features...

Wouldn't a better idea have been to consider how they were going to fund it before they promised it? Like the 20baht railway scheme thats been pushed back to 2000 and never...

Edited September 26, 2023 by circa02