PUBLISHED: 25 Apr 2024 at 04: 12
Phumtham Wechayachai, the deputy prime minister and trade minister, is downplaying the revelation of a confidential banks report from the Bank of Thailand ( BoT), which contains instructions for the state against using the digital budget handout scheme.
Mr Phumtham, commonly seen as the next- most powerful determine in the cupboard, said he has no idea about the article’s material as he has still to see it himself.
The deputy prime minister even cast doubt on the article’s integrity, saying that if it were actually intended as a reminder for the state, it would have been publicly addressed to the authorities.
” If it was really classified, how could it have been leaked”? Before adding, he stated that he wanted to personally examine the report.
The working commission on the digital wallet handout plan has held many meetings held by the government asking for its view of the plan, but the bank never said it would submit a document for the committee to examine, he continued.
” We if n’t pay too much attention to such a papers”, he said, adding what is important is that the coalition parties are on board with the 500- billion- baht wallet scheme, which may discover a one- off, 10, 000- baht modern money handout to Thais aged 16 and above who earn no more than 70, 000 , baht a month.
The government is confident that it will be able to begin registering for the program in the third quarter of this year and to begin distributing the handout in the fourth quarter.
Despite Mr Phumtham’s denial, a source in the Finance Ministry has confirmed the existence of the five- page paper, which conveys BoT governor Sethaput Suthiwartnarueput’s concerns over the digital handout programme.
According to the source, the document from April 22 was sent to the cabinet secretariat office.
It outlines the governor’s suggestion that the scheme be reviewed to better target those who need assistance the most, such as low-income earners and other financially vulnerable groups. This would help to lower the burden of living costs and boost the economy.
Additionally, according to the document, the plan should be implemented in smaller steps to avoid overstretching the budget and maintain fiscal stability.
Additionally, it stated that there is no urgent need to increase public consumption at this time, which would require significant funding through various stimulus campaigns.
Further, the long- term financial burden created by the scheme may cause credit rating agencies, such as Moody’s, to downgrade the country’s credit rating, which would limit the government’s ability to obtain loans and hurt investors ‘ confidence in the economy, according to the document.