Digital Wallet Scheme Aimed at Boosting Businesses and Stimulating the Economy

The Thai government’s initiative to provide a 10,000-baht digital wallet giveaway is expected to have a positive impact on 50 million individuals and offer significant support to small and medium-sized businesses in the retail, service, and tourism sectors.

Key Takeaways

• The Thai government’s 10,000-baht digital wallet giveaway is expected to benefit 50 million individuals and provide substantial support to small and medium-sized businesses in the retail, service, and tourism industries.
• The digital wallet scheme could stimulate Thai economic growth by 1.5 to 2 percentage points, potentially reaching 5% growth, which is higher than previous forecasts.
• The implementation of the digital wallet scheme is advised to begin in April, ahead of the Songkran festival, to maximize its impact and support local businesses at various levels.

Numerous companies in Thailand have expressed support for the government’s plan to give away digital wallets worth 10,000 baht to 50 million individuals. They believe this initiative will benefit small and medium-sized businesses in the retail, service, and tourism industries.

The scheme is expected to create job opportunities and directly benefit 2.4 million SMEs. The implementation of the digital wallet scheme is advised to begin in April to maximize its impact.

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The prime minister of Thailand has announced new guidelines for the controversial digital wallet scheme, which will provide a one-time cash benefit of 10,000 Bots to eligible citizens. The money cannot be exchanged for cash or used for online purchases, but it can be spent on consumer goods in registered shops within 6 months. The funding for the scheme will come from loans procured by the government and will cost taxpayers around 500 billion Baht.

Experts predict that this policy could stimulate Thai economic growth by 1.5 to 2 percentage points. The re-introduced e-refund project and holiday expenditures during Songkran are also expected to boost the economy.

Coalition parties discuss the upcoming policy of providing a 10,000 baht stipend through a digital wallet, with varied opinions and an emphasis on legal compliance and public benefits. Efforts are being made to expedite the review process and consider public opinions regarding potential financial discipline violations.

The government’s decision to procure loans to fund the digital wallet scheme is being criticized as risky and potentially violating the constitution and fiscal discipline act.