Bangkok — Prime Minister Srettha Thavisin confirmed the government’s digital wallet program on Friday after weeks of speculation, saying it will start from May next year. Provided they have a monthly income of less than 70.000 baht and less than 500.000 Baht in bank deposits are approximately 50 Millions of people aged 16 years and older for a payout of 10.000 Baht eligible. The announcement was made at Government House.
Prime Minister Srettha Thavisin said on Friday that the government would provide a loan of 500 billion baht to launch its digital wallet program with withdrawals of 10.000 Baht to finance.
The digital currency will be available to Thais aged 16 years and older who have a monthly income of less than 70.000 Baht have and less than 500.000 Baht in bank deposits. These criteria are used to estimate 50 Millions of people will be eligible instead of the originally planned 56 Millions.
People who spend more than a month 70.000 Earn baht, but less than 500.000 Baht in bank deposits are not eligible. The same applies to those who receive less than monthly 70.000 Earn baht, but over 500.000 Baht in their accounts. Mr. Srettha made the remarks at a press conference explaining details of the program after a meeting of the Digital Wallet Policy Committee.
He said the economy urgently needs a strong stimulus as Thailand’s gross domestic product averaged just over the past decade 1,9 % per year has grown and household debt has increased by 76 % in the year 2012 on 91,6 % has increased this year. Manufacturing output has also fallen, meaning fewer workers are needed and many people are being laid off.
“As a result, they earn less and buy less, which in turn causes factories to reduce production. And this cycle repeats itself, leading to a recession. Things will get worse if the economy doesn’t get a boost,” Mr Srettha said.
He said that the Govt 600 Billions of baht will be invested in the economy 500 Billions through the digital wallet program and 100 billion baht to strengthen the country’s economic potential.
The digital wallet policy is intended to bring the flow of money into the economic system to stimulate spending during the six-month period after launch. Payouts will begin in May next year, three months later than planned.
“The project will promote investment, stimulate trade and purchase of goods, and orders for goods will be made from small and medium-sized enterprises and large factories,” the Prime Minister said.
The money can only be used to purchase food and consumer goods. It cannot be used for online shopping, cigarettes or alcohol, cash vouchers and valuables such as diamonds, gemstones or gold, or to pay off debts or pay water or electricity bills, fuel, natural gas or tuition fees.
Participating stores do not need to be registered in the tax system or register for VAT, the Prime Minister said. The others100 Billions of baht for economic projects come from government budgets, he added.
Sirikanya Tansakun, deputy leader of the opposition Move Forward party, said the government had no choice. There is a risk that someone will go to the Constitutional Court to challenge the law on the grounds that there is no justification for an urgent payout, she said.
2023-11-11 04:37:33
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