Govt urged to reveal details of BAAC borrowing for digital wallet scheme

By Thai Newsroom Reporters

THE GOVERNMENT WAS TODAY (Apr. 12) pressed to tell how long a sum of 172.3 billion baht in planned borrowing from the Bank for Agriculture & Agricultural Cooperatives (BAAC) to finance in part their 10,000-baht digital wallet project could be completely repaid.

Move Forward MP Sirikanya Tansakun said the Pheu Thai-led government is obliged to unveil to the public how many years the sought-after 172.3 billion baht funding from the government-run BAAC could be returned in full and how much interest per annum it may incur.

Sirikanya insisted members of the public be truthfully informed of BAAC’s currently untapped liquidity some of which could be finally provided as part of a 500 billion baht total needed to finance the government’s populist handout campaign whilst the government currently owes as much as 800 billion baht of borrowed money to BAAC.

Meanwhile, she said, it remains to be seen whether the Council of State, known as a legal adviser to government, will finally deem the government’s populist handout campaign eligible to borrow the BAAC money which is normally used in financial support of farmers.

Undersecretary for Finance Lavaron Sangsanit has earlier confirmed the 172.3 billion baht funding will only be provided for some 17 million farmers throughout the country under the delayed digital wallet project.

However, the government has recently resolved to avoid taking loans, either from domestic or foreign financial sources or both, and instead to borrow from BAAC in addition to using their own budgets for the current and next fiscal years to finance the Pheu Thai-initiated digital wallet project.

Of the 500 billion baht total funding calculated to cover the 10,000-baht digital wallet project, a batch of 175 billion baht and another batch of 152.7 billion baht will come from the government’s budgets for the current fiscal year and next fiscal year respectively, plus the contentious 172.3 billion baht borrowing from BAAC.

Under the populist handout campaign, scheduled to be effective in the fourth quarter of this year or between October and December, each of some 50 million Thai nationals aged 16 years or over may buy a maximum of 10,000 baht via their digital wallet in value of goods available at groceries, retail stores, restaurants and food shops in their home district within a six-month period.

All “entertainment-based” services, fuels, alcoholic beverages and cigarettes will not be allowed under the digital wallet project.

Nevertheless, those who may earn more than 840,000 baht in yearly income and those who may have more than 500,000 baht in bank deposits will not be entitled to the 10,000-baht handout campaign.

CAPTIONS:

Top: Move Forward MP Sirikanya Tansakul and a banner promoting the 10,000 baht digital wallet project. Photos: Matichon

Front Page: Representative image of the 10,000-baht digital wallet scheme. Credit: Thai Rath

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