Thailand is preparing to launch an innovative digital wallet initiative, sponsored by the government, that aims to distribute 10,000 baht to every citizen. This move is part of a wider effort to stimulate economic growth by encouraging consumer spending within local markets.

 

Deputy Finance Minister Paopum Rojanasakul recently clarified details of the project timeline and addressed opposition concerns regarding potential misuse of funds and procedural delays.

 

Rojanasakul confirmed that both planning and legal preparations are advancing without delay, with key meetings including a policy committee on July 15, and a crucial Cabinet session scheduled for July 30.

 

The digital wallet is designed to enable direct payments to citizens, circumventing conventional banking methods to ignite immediate economic activity. This is particularly crucial as Thailand looks to counter economic repercussions from global uncertainties.

 

The Deputy Minister highlighted the implementation of strict legal frameworks to guarantee that funds align with the project's goals, focusing on eligible goods while excluding items like mobile phones and other electronics to prevent foreign capital flight.

 

Rojanasakul also mentioned having backup plans should legal issues arise, ensuring the government is ready to adapt and maintain the planned schedule. He reassured the public that registrations for the digital wallet will start in the third quarter, with the rollout of funds projected for the fourth quarter.

 

Additionally, preliminary estimates from the World Bank suggest that the initiative could help increase GDP by 0.5% to 1%, though actual impact will depend on several factors including the list of restricted items and the scheme's reception among the populace.

 

With the possibility of the Bank of Thailand adjusting interest rates in response to economic fluctuations caused by the project, Rojanasakul urged a comprehensive and cautious evaluation of these fiscal and monetary policies.

 

This initiative marks Thailand's strategic use of digital technology to propel its economy forward and deliver direct financial support to its citizens, setting a pioneering example in government-led digital financial solutions.

 

Picture courtesy: Thai Government PR Department

 

-- 2024-07-09

 

Get our Daily Newsletter - Click HERE to subscribe

5 minutes ago, webfact said:

Rojanasakul confirmed that both planning and legal preparations are advancing without delay

Shouldn't the planning have happened before they announced it?

 

Announcement: Everybody will get 10k.

Planning: Let's make this sound like it will actually happen.

Implementation: Oh, sorry, there is a glitch in the system. If you give me half or your money I will fix it for you. But you can only use it in the shop of my friend.

 

I am sure the Thaksin cronies will find many ways to skim a lot of the money. 

Bribery is the first step before a snap election

One small(?) problem is they do not have all the money to give away as yet  

19 minutes ago, JoePai said:

One small(?) problem is they do not have all the money to give away as yet  

One small problem??? indeed they don't have the money yet, but Thailand and digital things is another small problem.. 90 days reporting online, Mor Prom, safety at digital bank apps.....This will be no different, the app will not work is refused, doesn't get the money, crashes, just name it... This is Thailand

1 hour ago, webfact said:

This is particularly crucial as Thailand looks to counter economic repercussions from global uncertainties.

What? This is a domestic boost for consumers, that have nothing to do with global economy. Not more than it will deteriorate and make Thai economy more weak and unstable in foreign eyes.
 

1 hour ago, webfact said:

preliminary estimates from the World Bank suggest that the initiative could help increase GDP by 0.5% to 1%

I am sure that is 100% true, but with a project like this, it will not be possible to look at the short perspective. As soon as you give consumers more spending power, and they must spend it, of course the GDP will go up. What will happen when money is spended? Ops! GDP down to same as before. What will happen when the government must find ways to regain money for repayment? Ops! spending power much lesser than before, and GDP free falling.

24 minutes ago, ikke1959 said:

One small problem??? indeed they don't have the money yet, but Thailand and digital things is another small problem.. 90 days reporting online, Mor Prom, safety at digital bank apps.....This will be no different, the app will not work is refused, doesn't get the money, crashes, just name it... This is Thailand

Actually, I do not see that becoming a big problem. They has handouts during Covid, and they worked actually very well. Also built in online apps and digital transactions.

Literally taking money from one pocket and moving it to the next. Likely results:

1. Taxpayers will pay for this crap.

2. Temporary consumer spending increase, resulting in inflation.

3. Inflation will cause interest rates to rise.

4. Consumers will pay higher rates for their loans.

5. Taxpayers will earn higher returns on their investments.

6. Inflation will drive tourism down due to the added cost.

7. Decreased tourism will stifle economic growth again.

8. Inflation and interest rates will subside - but by that time the damage's done.

9. No one wins, everybody loses.

 

 

Money doesn't magically grow in "digital accounts". Either taxpayers pay for it or you print money and cause inflation. The only good GDP growth is real industry growth, not fake growth causes by printing money. What's the point of growth if there's no increase in people's welfare or spending power?

 

7 minutes ago, Gottfrid said:

Actually, I do not see that becoming a big problem. They has handouts during Covid, and they worked actually very well. Also built in online apps and digital transactions.

The US and many other countries paid for these handouts dearly in inflation, reduced purchasing power and welfare, and all sorts of other problems. The real end result is that poor people have LESS spending power than they had pre-Covid, and rich people are much, much richer. I'm not necessarily saying those handouts weren't necessary and didn't play a key role in balancing the economy - they did - but someone (the working class) has to pay for it down the line.

Short-termism in the extreme - do you remember the 'new car tax discount' scheme to boost flagging car sales - everybody that could bought a car, and then the market collapsed to lower than before, obviously.....

 

Now if they could make it a 10K payment per month - different story..........

 

Thaksinomics to save the day......

15 minutes ago, PingRoundTheWorld said:

The US and many other countries paid for these handouts dearly in inflation, reduced purchasing power and welfare, and all sorts of other problems. The real end result is that poor people have LESS spending power than they had pre-Covid, and rich people are much, much richer. I'm not necessarily saying those handouts weren't necessary and didn't play a key role in balancing the economy - they did - but someone (the working class) has to pay for it down the line.

Please read the thread. This was a reply to if software and applications were going to be working or not during the digital wallet.

So they are giving this money out in the fourth quarter and wanting to buy a new plane and a couple of helicopters for taxiing VIP people about.

Did they win the Powerball lottery or something ? 😀

2 hours ago, PingRoundTheWorld said:

Literally taking money from one pocket and moving it to the next. Likely results:

1. Taxpayers will pay for this crap.

2. Temporary consumer spending increase, resulting in inflation.

3. Inflation will cause interest rates to rise.

4. Consumers will pay higher rates for their loans.

5. Taxpayers will earn higher returns on their investments.

6. Inflation will drive tourism down due to the added cost.

7. Decreased tourism will stifle economic growth again.

8. Inflation and interest rates will subside - but by that time the damage's done.

9. No one wins, everybody loses.

 

 

Money doesn't magically grow in "digital accounts". Either taxpayers pay for it or you print money and cause inflation. The only good GDP growth is real industry growth, not fake growth causes by printing money. What's the point of growth if there's no increase in people's welfare or spending power?

 

Sounds like a Joe Biden plan.  Boy did he do a job on the middle class in 4 years.  All part of the plan to destroy the middle class.  You can not a Marxist/Communist country with a strong middle class.  Right Tug??

I have my digital wallet ready because I will be staying more than 180 days this year which makes me a resident for tax purposes.

What most of the people here don't realise is that this is a set-up to CBDC, away with your privacy, everything verifiable.
Poor people may kick off with this without being aware of it.

17 minutes ago, Celsius said:

I have my digital wallet ready because I will be staying more than 180 days this year which makes me a resident for tax purposes.

 

Yea I am looking forward to my 10,000 baht too...

 

And your 100% correct any Expat that stays for more than 180 days should be looking forward to their sweet sweet 10,000 baht payday....

3 hours ago, webfact said:

to distribute 10,000 baht to every citizen

That's just not true , selected citizens , nobody in my family are eligible for

it according to the Government's rules , if you have a few bob in the bank

your not getting it, but I suspect some will still get it ,nudge nudge wink wink.....

 

regards worgeordie

 

13 minutes ago, Peterphuket said:

What most of the people here don't realise is that this is a set-up to CBDC, away with your privacy, everything verifiable.
Poor people may kick off with this without being aware of it.

 

They don't care, 10,000 baht to them is like a month's wages, and they depend on their overlords for direction. 

4 hours ago, webfact said:

Thailand is preparing to launch an innovative digital wallet initiative, sponsored by the government, that aims to distribute 10,000 baht to every citizen. This move is part of a wider effort to stimulate economic growth by encouraging consumer spending within local markets.

This is right up there with the rice pledging scheme, the 100,000 baht refund off your new car, and all the other scams the ministers have ever come up with.

33 minutes ago, worgeordie said:

That's just not true , selected citizens , nobody in my family are eligible for

it according to the Government's rules , if you have a few bob in the bank

your not getting it, but I suspect some will still get it ,nudge nudge wink wink.....

 

regards worgeordie

 

But still more important are the real needy poor who have no smart phones or bank accounts and many living in shacks in the boonies with no water, electric or wifi !!!!😒😒😒😒

3 hours ago, PingRoundTheWorld said:

What's the point of growth if there's no increase in people's welfare or spending power?

 

There will be increase in temporary spending power

Likely results:

1. Taxpayers will pay for this crap.

Yes

2. Temporary consumer spending increase, resulting in inflation.

Inflation will happen when prices go up, for instance wage increasement.

3. Inflation will cause interest rates to rise.

Why higher inflation?

4. Consumers will pay higher rates for their loans.

Depends on Central banks decision

5. Taxpayers will earn higher returns on their investments.

What investments do all these taxpayers have that will have a bigger return?

6. Inflation will drive tourism down due to the added cost.

If so nice, get the cheap Charlies out. How much inflation are you expecting based on what?

7. Decreased tourism will stifle economic growth again.

How much less tourists do you expect?

8. Inflation and interest rates will subside - but by that time the damage's done.

Why would there be deflation?

9. No one wins, everybody loses.

Not true, short time more spending time for a lot of people who need it (and a lot of people who don't need it)

43 minutes ago, FritsSikkink said:

2. Temporary consumer spending increase, resulting in inflation.

Inflation will happen when prices go up, for instance wage increasement.

Prices are a function fo demand and purchasing power. Masses of people spending on consumer goods all at the same time is likely to increase prices in the short term.

Quote

 

6. Inflation will drive tourism down due to the added cost.

If so nice, get the cheap Charlies out. How much inflation are you expecting based on what?

7. Decreased tourism will stifle economic growth again.

How much less tourists do you expect?

 

Those "cheap charlies" are who pays the wages of a great number of Thais. Any decrease is bad for Thais who work in the service industry. It doesn't really matter if inflation is 3% or 4% and tourism is down by 5% or 10% - seemingly small percentages translate to a big number of jobs lost or wage cuts.

Quote

 

8. Inflation and interest rates will subside - but by that time the damage's done.

Why would there be deflation?

 

I never said anything about deflation. Prices tend to remain high once they've gone higher. They just won't increase further.

Quote

 

9. No one wins, everybody loses.

Not true, short time more spending time for a lot of people who need it (and a lot of people who don't need it)

 

They win in the short term, only to lose in the long term. Wage cuts, jobs cuts, higher prices - all translate to a decrease in welfare for them. Again it doesn't matter if they lose 1000 baht or 2000 baht per month of real buying power (wage vs prices) - they still lose either way. Inflation is ALWAYS bad for those who can't keep up with it.

2 hours ago, thaipo7 said:

Sounds like a Joe Biden plan.  Boy did he do a job on the middle class in 4 years.  All part of the plan to destroy the middle class.  You can not a Marxist/Communist country with a strong middle class.  Right Tug??

I'm no fan of Biden, but I doubt this was all a big plan to destroy the middle class. Wages in America have been keeping with inflation for the middle class for the most part. It's the poor who are worse off. The middle class have stock holdings and retirement plans that have all benefited from the money printing.

 

P.S. I am 100% against the Marxist b/s. I believe in strong capitalism with checks and balances. So this isn't coming from some liberal nutjob - it's just not what I'm seeing happening financially.

 

Either way, Trump will likely win in November anyway. 

1 hour ago, 4MyEgo said:

 

They don't care, 10,000 baht to them is like a month's wages, and they depend on their overlords for direction. 

I agree with you but it is a set up for the whole population.

1 hour ago, DPKANKAN said:

But still more important are the real needy poor who have no smart phones or bank accounts and many living in shacks in the boonies with no water, electric or wifi !!!!😒😒😒😒

That is not true. Such folks will be able to use their Thai ID card to access their wallets. 

Well, it is a short term action that does not help Thais in the long term. They could add it to each person's Social Security savings, which will benefit them over the long term. But then, that would be too simple.

6 hours ago, webfact said:

 

Thailand is preparing to launch an innovative digital wallet initiative, sponsored by the government, that aims to distribute 10,000 baht to every citizen. This move is part of a wider effort to stimulate economic growth by encouraging consumer spending within local markets.

 

Deputy Finance Minister Paopum Rojanasakul recently clarified details of the project timeline and addressed opposition concerns regarding potential misuse of funds and procedural delays.

 

Rojanasakul confirmed that both planning and legal preparations are advancing without delay, with key meetings including a policy committee on July 15, and a crucial Cabinet session scheduled for July 30.

 

The digital wallet is designed to enable direct payments to citizens, circumventing conventional banking methods to ignite immediate economic activity. This is particularly crucial as Thailand looks to counter economic repercussions from global uncertainties.

 

The Deputy Minister highlighted the implementation of strict legal frameworks to guarantee that funds align with the project's goals, focusing on eligible goods while excluding items like mobile phones and other electronics to prevent foreign capital flight.

 

 

Rojanasakul also mentioned having backup plans should legal issues arise, ensuring the government is ready to adapt and maintain the planned schedule. He reassured the public that registrations for the digital wallet will start in the third quarter, with the rollout of funds projected for the fourth quarter.

 

Additionally, preliminary estimates from the World Bank suggest that the initiative could help increase GDP by 0.5% to 1%, though actual impact will depend on several factors including the list of restricted items and the scheme's reception among the populace.

 

With the possibility of the Bank of Thailand adjusting interest rates in response to economic fluctuations caused by the project, Rojanasakul urged a comprehensive and cautious evaluation of these fiscal and monetary policies.

 

This initiative marks Thailand's strategic use of digital technology to propel its economy forward and deliver direct financial support to its citizens, setting a pioneering example in government-led digital financial solutions.

 

Picture courtesy: Thai Government PR Department

 

-- 2024-07-09

 

Get our Daily Newsletter - Click HERE to subscribe

As far as I read previously not every citizen will get the money.

There are restrictions: only over 18, and only the poor.

And some others.

We'll see what will happen and if it will have the "predicted" outcome concerning the GDP. 😇

3 hours ago, newbee2022 said:

As far as I read previously not every citizen will get the money.

There are restrictions: only over 18, and only the poor.

And some others.

We'll see what will happen and if it will have the "predicted" outcome concerning the GDP. 😇

 

'To be eligible, citizens must be 16 years old by September 30. Their monthly income must be lower than 70,000 baht and they must have less than 500,000 baht in their bank accounts'.

 

https://www.nationthailand.com/news/policy/40039465

9 hours ago, JoePai said:

One small(?) problem is they do not have all the money to give away as yet  

Nope, just print more.

11 hours ago, webfact said:

The Deputy Minister highlighted the implementation of strict legal frameworks to guarantee that funds align with the project's goals, focusing on eligible goods while excluding items like mobile phones and other electronics to prevent foreign capital flight.

Are these guys total dummies? You give me 10000 in a digital wallet, no problem I'll use it to feed my kids. But you won't stop me to use the 10000 I have save from my other income to but that new Iphone 16...