Next month, Thailand will begin allowing eligible citizens to register for payments from the government’s $14 billion stimulus package.
Thai Prime Minister Srettha Thavisin told X on July 15 that from August 1, people and businesses can sign up to participate in the government’s e-Wallet Program, which was announced in April.
Under the scheme, the country will distribute 10,000 baht ($276) to each eligible citizen in an e-wallet app. After receiving the money, people will have to spend it within 6 months by purchasing items from stores that have registered to participate in the programme. Products such as tobacco or alcoholic beverages are not allowed.
This is the focus of Mr. Srettha’s economic stimulus program. Over the past decade, Thailand has had an average growth rate of less than 2%. In the first quarter of this year, Thailand’s GDP increased by only 1.5%.
People shop at a street stall in Bangkok (Thailand). Photo: Reuters
The Thai government plans to disburse the funds in the last quarter of this year, with the money expected to have a ripple effect on the economy, according to Deputy Finance Minister Julapun Amornvivat.
The scheme is not open to wealthy Thais. Under the scheme, those aged 16 and above, earning less than 70,000 baht ($1,900) a month and with less than 500,000 baht in their bank accounts, are eligible.
“This is a huge program to support people, startups and the economy. It will take time to ensure that it meets the criteria. However, people will not have to wait in vain,” Srettha said. He plans to announce the details on July 24 and then submit it to the cabinet for approval.
Thailand’s Finance Ministry estimates that only 90% of the 50 million people eligible will sign up for the program, which could cost as little as 450 billion baht ($12.7 billion). Funding for the project will come from this year’s and next year’s budgets.
However, Bank of Thailand Governor Sethaput Suthiwartnarueput has been against the money handout for months, arguing that the economy is recovering from the pandemic and is not in a state of emergency that requires a large fiscal stimulus package.