Govt yet to ask council about BAAC wallet funds

Govt yet to ask council about BAAC wallet funds
Pakorn: Waiting for comment

The government has yet to ask the Council of State for legal advice on the use of funds from the Bank for Agriculture and Agricultural Cooperatives ( BAAC ) to partly finance the digital wallet scheme, Pakorn Nilprapunt, the council’s secretary-general, said.

He claimed that since the government had the authority to control expenditure investing, it was not necessary to do so. The government did not need to ask the council for advice if it wanted to deduct money from the federal funds for the handout plan.

Mr. Pakorn questioned whether the state could use money from the central bank of the national finances for the scheme, claiming that the Budget Bureau is in charge of overseeing the central fund, which is used for emergencies.

According to Mr. Pakorn, the Budget Bureau will determine whether a demand for the use of the main account will join the bureau’s requirements.

One of the three major sources of funding for the modern budget program was the government’s originally stated plans to distribute 172 billion ringgit of money from the BAAC to the plan.

Nevertheless, applying for a loan from the BAAC to finance the project may present legal challenges. According to the BAAC laws, the lender can only assist farmers financially and cannot use its loans as monetary stimulus.

On May 28, the government approved a 3.75-trillion-baht resources for the 2025 fiscal time, which will launch on Oct 1 and ending on Sept 30 next month. The economy’s central bank allocated approximately 152.7 billion ringgit to partially finance the handout program.

According to deputy state representative Rudklao Intawong Suwankiri, the authorities on Tuesday approved a bill to use 122 billion ringgit from the 2024 governmental funds for the same purpose. She said the act is scheduled to be presented in congress for a second reading the following week.

Of the 122 billion rmb, 111 billion baht may come from a budget deficit, while the rest will be diverted from different parts of the 2024 spending, according to the Budget Bureau.

The state will have to wait for the 2025 fiscal year’s budget bill to go parliament before asking the Council of State for advice on the flyer program, according to Lavaron Sangsnit, permanent director for finance, on Tuesday.

The House of Representatives on June 21 passed its first reading of the 3.75-trillion-baht resources costs for the 2025 governmental time.

A screening committee is already looking into it.