The Finance Ministry will help people buy their first houses

The Finance Ministry will help people buy their first houses by providing them loans worth the full 100% of the house prices.

Caretaker Deputy Finance Minister Chaiyos Sasomsap (ไชยยศ สะสมทรัพย์) said the loans will carry an annual interest of 5%-6% and will be payable in 10-15 years.

Eligible borrowers must have income of no more than 20,000 baht per month and the price of houses they want to buy must not be higher than one million baht, Mr. Chaiyos said.

He said surveys found 70,000-80,000 people wanted to buy their first houses and most of them could afford the houses priced around 800,000 baht.

Mr. Chaiyos said the ministry will ask Japan Bank for International Cooperation (JBIC) to help provide loans for this project, adding details of the plan will be submitted to caretaker Prime Minister Thaksin Shinawatra after his return from abroad this week.

Source: Thai National News Bureau Public Relations Department - 19 September 2006

Mr. Chaiyos said the ministry will ask Japan Bank for International Cooperation (JBIC) to help provide loans for this project, adding details of the plan will be submitted to caretaker Prime Minister Thaksin Shinawatra after his return from abroad this week.

More loan to finance loans...

And more people to go into debt. More slaves.

This is the bottom line of their economic policy : put as much as possible gasoline into the machine on short term, and hopping that it will hold long term...

And actually, it's not a gift from the government : it's a way to make money short term !

The name is Yen carry trade.

They take loan from Japan at 0 % (almost), then they "give" loan to thai at 5%...

And of course, big liability for the future : if the THB loose value against Yen, then... Mai pen rai, it will happen in 5 years, so next government will take care of it. And the thai tax payers eventually.

I thought this was what the Government Housing Bank has been doing for the last 20 year?

A loan: monthly salary ratio of 40 times?

They will never pay the loan and many will default and loose their homes.

I thought this was what the Government Housing Bank has been doing for the last 20 year?

A loan: monthly salary ratio of 40 times?

They will never pay the loan and many will default and loose their homes.

My wife's parents had a loan from Government 25 years ago. They have never paid a baht back and every few years get a reminder.