Thailand’s 10,000-baht digital wallet scheme delayed due to legal complications

The anticipated 10,000-baht digital wallet scheme, initially scheduled for a May launch, has encountered delays due to a study by the National Anti-Corruption Commission (NACC) warning of potential legal complications. Prime Minister Srettha Thavisin, who is also the finance minister, emphasised on Saturday the need for expedited discussions with Deputy Finance Minister Julapun Amornvivat to determine the next steps for the initiative.

Despite the obstacles, the government is steadfast in its commitment to the project. The prime minister refrained from specifying the extent of the delay, stating that consultations with the NACC are ongoing. Nevertheless, he acknowledged the public’s anticipation of the scheme, reiterating his commitment to addressing their expectations.

Prommin Lertsuridej, secretary-general to the prime minister, assured that the flagship policy is on course. He revealed plans to proceed with a bill seeking a 500-billion-baht loan to fund the initiative. He stated that the government is set to answer any queries about the scheme once the NACC report is submitted to the government and the digital wallet committee reconvenes next week.

The urgency of implementing the digital wallet scheme is underscored by the current economic downturn in the country. Data from the Fiscal Policy Office (FPO) reveals that the GDP growth was only 1.8% in 2023, falling short of the projected 2.7%. The FPO anticipates a 2.8% economic growth this year, said Dr Prommin.

“Whether or not it’s a crisis, the government will decide. It’s the government’s job to formulate policies to alleviate the people’s plight and take action based on the real situation. This is what it hopes to achieve with the digital wallet.”

Deputy Prime Minister and Commerce Minister Phumtham Wechayachai also emphasised the necessity of the digital wallet policy to address economic challenges. He cited a group of economists’ warning that without boosting purchasing power and stimulating the fiscal multiplier effect, Thailand might struggle to manage an economic crisis akin to the 1997 crash, reported Bangkok Post.

In a related development, the Thai government secured a 500-billion-baht loan to stimulate the economy. Deputy Finance Minister Julapun Amornvivat underscored economic worries, highlighting the necessity for stimulus measures and a substantial loan. Issues involved household debt and slow GDP growth.