Thailand’s digital wallet project: Green light to make cash splash

[Dutchjohn]

5 hours ago, KannikaP said:

My Mrs just told me that it must be spent within 6 months, so Bht 1000 a month is no good.

There is only one shop within 4 kms of my house where this money can be spent.

Massage shop?

[Moonlover]

6 hours ago, grandpa said:

A digital wallet is no good for the elderly who do not possess a smartphone, or those people in Isaan who live more than 4 km from shops that will accept the scheme!  My 90 year old father-in-law fits both of those categories so it will be useless for him.

I've just found this on The Nation which address's your concerns about your old father-in-law.

 

@KannikaP' wife is right BTW @edwinchester It's right here in the article. 

 

https://www.nationthailand.com/thailand/economy/40030624

[koolkarl]

Wake up.  This scheme is just a teaser to get people used to a cashless country which it will become soon enough.

Then your friendly politicians will have completed total control over you and your money if it is within an OECD  CRS country..  Thailand now has active CRS agreements with just about every country including Cypress, China and Cayman Islands.  Time to look elsewhere.

[Celsius]

2 hours ago, bradiston said:

I hope Toxin realises he will have to spend his in the prison canteen.

toxin releases 

[xtrnuno41]

There must be another wicked plan for this.

As it is only for people with a smart phone, everyone has?

No. So those are people ignored and mostly the poorest. However my mother in law (88) has a smart phone, because family bought for her.

And she is even active on it, 555

But I wonder if she is able to use it, as house is maybe just out of range from shops.

OK , just checked and indeed more then 4 km away from shops. So she will not get it? Her son with kids next to her, the whole family close by will not get it?

Or get it and nothing can be done with it? I wonder if the wallet has a tracking device in it as wel, you never know when it comes for free.

Good thinking of government. Government is in many ways blocking out, discriminating a lot of its citizens. IF the 4 km rule is black & white.

Time limit of 6 months, money also limited and spread over 6 months?

1666 baht/month? And what is most easiest way to spend? 7/11 , the CP conglomerate.

Yes they need it for real. Such stores should be excluded.

Local stores, so why not street vendors? Market people and so on.

Also what could happen, stores raise there prices for six months if they are on the receiving list. Lots of things not right in this scheme.

 

[PETERTHEEATER]

If the distribution is cards managed like the issue of free digital TV boxes many Thais married to farangs wont see them. 

I should have thought the ways and means of actually getting this virtual money to individuals would have been planned before the election pledge was made.

If there is a way to fiddle this then kamnan/pooyaibahns will find it.

[fleccer]

We must absolutely oppose the abolition of cash, of which the consequences will impact our freedoms Unfortunately, Thailand is one of those vassal countries of the World Economic Forum

[gaucan]

8 hours ago, Trippy said:

The 10,000 will be gone within a week, the national debt this will cause will be around for decades. 

and he wont be around in 4years, if even less. Not my problem.

neither will be phuea thai, after shown true face by teaming up with military

Edited October 5, 2023 by gaucan

[geisha]

7 hours ago, Olmate said:

Good summary, far to complex for Trippy and co.

 

7 hours ago, sirineou said:

That's not how this works,

The below is a over simplified explanation. 

Two terms that come into play are "Propensity to spend" and the multiplier effect. 

Propensity to spend is the percentage of this amount that is spend on the average. In Thailand I am sure is is close to 100%

The multiplier effect : is how many times that  10,000 baht will circulate in the economy . 

So I spend 10.000bht buying shiny beads, Now the shiny bead store owner  has 10.000 with which to buy beer, the beer store owner has 10.000 to buy som tam and so on and so on.

at each transaction (or most of then) a 7% tax is collected. After about 15 cycles the goverment has recouped the 10,000 and more , and the economy is stimulated. 

That's the theory. 

Of course there are some problems. The stimulus could be saved and not spend at all, or it could be spend outside the country. 

 

Yes, I understand the propensity theory. A young man receives his money, which helps the cannabis shop’, he helps his producer of cannabis plants who then can increase his sales by building better facilities and also using publicity to sell the products !.  The possibilities are never ending.  And of course there are some problems, the roads and streets will be overrun by drug addicts . 
( this theory also applies to alcohol ).

[Lopburikid]

8 hours ago, 2baht said:

What's the deposit for a new pick up or a Honda Click? ????

A bit like when they had the severe floods in 2011. Every household effected by the flooding was to get 10.000 or more. but when the citizens went to their local area office, the amounts were a lot less than 10,000.

[sambum]

8 hours ago, edwinchester said:

Not if the 10k is drip fed to recipients over many months. No way will the Govt drop everyone the whole wad at once. Best guess would be 300 bht per week or 1k a month.

What are the monthly payments on a new pick up or a Honda Click?

[Purdey]

I could take a wild guess that the government is aware that there are people without smartphones or digital knowledge and thus not everyone will have benefit from the giveaway.

 

More importantly, where will the government get the money? The Ministry of Finance (MoF) doesn't want it to borrow from the Government Savings Bank (GSB), which would almost certainly cause a run on the bank. The GSB is backed by the MoF, which hasn't budgeted for this event.

 

Edited October 5, 2023 by Purdey

[Lopburikid]

8 hours ago, Trippy said:

The 10,000 will be gone within a week, the national debt this will cause will be around for decades. 

Yes, but they will be gone in 4 years, with most of the treasury in their personal accounts and a very good excuse as to why.

[mrwebb8825]

This isn't the 1st time they've done this and it worked just fine in the past. My wife knew about this 2 months ago and is already making plans to visit her folks and get them set up for it.

[sirineou]

2 hours ago, geisha said:

 

Yes, I understand the propensity theory. A young man receives his money, which helps the cannabis shop’, he helps his producer of cannabis plants who then can increase his sales by building better facilities and also using publicity to sell the products !.  The possibilities are never ending.  And of course there are some problems, the roads and streets will be overrun by drug addicts . 
( this theory also applies to alcohol ).

Or even a combination of the two, and don't forget, after smoking a doobie of course you  get the munchies so off the store you go for a bunch of Yodels .

Everyone gets a piece of the action. ????

[newbee2022]

11 hours ago, grandpa said:

A digital wallet is no good for the elderly who do not possess a smartphone, or those people in Isaan who live more than 4 km from shops that will accept the scheme!  My 90 year old father-in-law fits both of those categories so it will be useless for him.

they will run miles for 10.000 Baht. Believe me...????

[StayinThailand2much]

8 hours ago, bradiston said:

This will have next to no effect whatsoever.

Might even backfire. People getting used to spending more money than they usually have... Next thing you know, they borrow more money from money lenders after, leading to even higher indebtedness. (Not saying all, but some might.)

Edited October 5, 2023 by StayinThailand2much

[dpcjsr]

Two things:

1) somebody needs to take a course in economic 101. this idea has never worked and will never work. it is mostly good at creating inflation. 

2) this could easily be the first step of creating a social credit system similar to what China has. this is not good for anyone other than the rulers. 

[Cabradelmar]

One if many planned populist giveaways with no way to pay for it... great idea ????... 

[PingRoundTheWorld]

20 hours ago, proton said:

CoCo the clown, where is the 560 billion baht coming from and why not spend that on something worthwhile other than bribes for votes?

Supposedly the money will come from "more equal taxation". In reality it won't come because no one will comply with their money grab. Thais will just find creative ways around it, expats will either leave or find ways around it. As for the second question- you answered yourself.

[Sydebolle]

Actually this is very much Thai. 

Thais are known to spend money they do not have. If you would move all unpaid cars and bikes off Thai roads, traffic would be no issue. 

Remember 1997; Thais returned unpaid vehicles back to the finance companies, moved out of unpaid houses and had to get on with life. 

This governmental idea of spending money they do not have is - AFAIK - based on a loan to be granted by GSB, a government-owned bank. If the proverbial manure hits the air-moving device, they will send GSB down the toilet - been there, done than in 1998 when commercial banks put all their rotten apples into a total of 57 finance companies. All except one then went bust and billions of Baht disappeared into thin air.

Stay tuned, the government is handing out tax payers money, which is not in the bank - yet! Let's see, how the financial markets and the FOREX will react, if they really go ahead with this idea. The taxation of the dirty farang will not really have a compensatory effect - me thinks! 

[wealthychef]

On 10/4/2023 at 6:14 PM, Trippy said:

The 10,000 will be gone within a week, the national debt this will cause will be around for decades. 

Always the song when the poor get a piece of the action.  Meanwhile the banks and politicians siphon off billions of baht and nobody cares.  

[csmith]

Don't forget to encourage ALL your Thai friends to get the App which is apparently needed for this handout …… 

[stix40]

On 10/5/2023 at 9:52 AM, WHansen said:

Much critisism from people with plenty of cash, which is no suprise.....

10,000 Baht to the majority of population will make a real difference and ease the poverty for a short time.

Short time , your not wrong there .