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October 14, 2024

The Government of Thailand Kicks Off First Phase of Digital Wallet Scheme

thai PM digital handout
Chanakarn Laosarakham—AFP/Getty Images — https://fortune.com/asia/2024/08/27/thailand-cash-handout-growth-economy-new-prime-minister/
October 14, 2024

Deputy Finance Minister Julapun Amornvivat announced that the Government of Thailand will distribute $4.2 billion of its "digital wallet" handout program earlier than planned, aiming to stimulate short-term economic activity. The government has prepared $13.29 billion for the program to provide 10,000 baht to 50 million Thais. In its first phase the payments will be transmitted via a smartphone app later this year, following a delay due to the change in the government. 

Prime Minister Paetongtarn Shinawatra, Srettha's successor, indicated that the remaining part of the handout would be distributed in cash. Paetongtarn’s government, which has faced criticism from economists over the scheme’s financial viability, delivered a policy statement in parliament the week of September 9th. Despite the criticisms and funding challenges, the government aims to boost Thailand's economy, which is expected to grow by 2.6% this year, lagging behind regional peers.

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