Finance Ministry reveals approach to tackling formal indebtedness

[snoop1130]

 

The Ministry of Finance unveiled details of its plan to solve formal debts today. 

 

Dr Paopoom Rojanasakul, secretary to the finance minister, said formal debtors seeking state help will be divided into those affected by the COVID-19 pandemic, those who have permanent incomes but are overloaded with debt, debtors who have uncertain incomes and debtors whose loans have been non-performing (NPLs) for a long time.

 

The first group can seek help from the Government Savings Bank (GSB) or the Bank of Agriculture and Agricultural Cooperatives (BAAC).

 

Full story: Thai PBS 2023-12-19

 

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[hotchilli]

13 hours ago, snoop1130 said:

Dr Paopoom Rojanasakul, secretary to the finance minister, said formal debtors seeking state help will be divided into those affected by the COVID-19 pandemic, those who have permanent incomes but are overloaded with debt, debtors who have uncertain incomes and debtors whose loans have been non-performing (NPLs) for a long time.

What a bleeding mess.... just sort them all out.

The reason they have "informal debt" is because the normal finance institutions refused to give them loans which in turn forced them to go to unscrupulous lenders.

[Mike Lister]

Just now, hotchilli said:

What a bleeding mess.... just sort them all out.

The reason they have "informal debt" is because the normal finance institutions refused to give them loans which in turn forced them to go to unscrupulous lenders.

If you were a financial institution, you wouldn't lend either to somebody with no formal job and few assets, you can't really blame them for that..

[hotchilli]

2 minutes ago, Mike Lister said:

If you were a financial institution, you wouldn't lend either to somebody with no formal job and few assets, you can't really blame them for that..

 

2 minutes ago, Mike Lister said:

to somebody with no formal job and few assets

Which is about half the population... 

[Mike Lister]

2 minutes ago, hotchilli said:

 

Which is about half the population... 

Indeed, there was a report in the paper the other day that said the informal workforce (grey market) totalled over 50% of the workforce (38 mill.), not half the population. Most of those people are farmers apparently or unskilled and uneducated temporary workers. Just think if Thailand could harness those workers, potentially they could double the GDP. I guess in reality, it will take several decades to meaningfully reduce that number as better educated and trained younger people replace them.

[hotchilli]

47 minutes ago, Mike Lister said:

Indeed, there was a report in the paper the other day that said the informal workforce (grey market) totalled over 50% of the workforce (38 mill.), not half the population. Most of those people are farmers apparently or unskilled and uneducated temporary workers. Just think if Thailand could harness those workers, potentially they could double the GDP. I guess in reality, it will take several decades to meaningfully reduce that number as better educated and trained younger people replace them.

Thailand is now reaping what it has sown over the last 30-40 years.

Covid played a small part in todays issues, but not everything.

At the moment with this new government and who are in the positions of power, I don't see any change coming soon.

 

[Mike Lister]

2 minutes ago, hotchilli said:

Thailand is now reaping what it has sown over the last 30-40 years.

Covid played a small part in todays issues, but not everything.

At the moment with this new government and who are in the positions of power, I don't see any change coming soon.

 

Change here is made very slowly.

[Pouatchee]

16 hours ago, snoop1130 said:

The Ministry of Finance unveiled details of its plan to solve formal debts today. 

 

it was revealed that there will be a sale on scissors at tesco. once the indebtees have a good pair of snips they will be ordered to cut their credit cards in half