Thai Prime Minister defends controversial 10,000-baht digital handout scheme

Thailand Prime Minister Srettha Thavisin defended the government’s decision to proceed with the controversial 10,000-baht digital currency handout scheme on Monday, despite mounting criticism. Primarily, critics have been concerned about the scheme’s lack of transparency, particularly regarding its funding source.

The 61 year old PM, who also holds the position of finance minister, dismissed these concerns.

“I insist the policy will go ahead. We are working on fine-tuning details regarding the source of funding for the scheme and how to use the handout system.”

The Thai PM anticipates these details will become clear after a meeting of the sub-committee responsible for overseeing the scheme, reported Bangkok Post.

Earlier, Deputy Finance Minister Julapun Amornvivat stated that the government must proceed cautiously to avoid potential legal issues. He also confessed that a funding source for the scheme is yet to be determined. Despite this, Amornvivat assured that the scheme will be launched as planned on February 1 next year.

However, several major factors may delay the handout Julapun said.

“We need to be sure the system is safe when it is launched. Protecting the confidentiality of personal data is also important. Moreover, compliance with the law cannot be overlooked.”

Julapun also denied that the government is seeking loans from the Government Savings Bank (GSB) to fund the scheme. Once the sub-committee finalises the scheme’s details, specifically the funding source, it will forward the matter to the main digital wallet policy committee.

In the meantime, former senator Rosana Tositrakul has requested the Election Commission to scrutinise the legality of the policy and how Pheu Thai, the ruling party, plans to fund it. She argues that the handout can’t be justified by an economic crisis and that borrowing to fund it may be illegal.

Sirikanya Tansakun, a listed MP of the opposition Move Forward Party, pointed out on Facebook that the Government Savings Bank Act does not permit the GSB to lend money to the government to finance schemes or initiatives.

“Section 7 of the law stipulates clear purposes for the bank’s operations, but nowhere in the section is it mentioned that the government is allowed to borrow from the bank.”

This story is set to be kicked around like a political football for some time yet.

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