BANGKOK – “The main idea of the economic stimulus policy is that GDP can grow by at least 5%, which we expect in 2024,” declared Deputy Finance Minister Julapun Amornvivat today, discussing Pheu Thai’s innovative 10,000-baht digital currency handout policy.
Julapun believes this initiative will introduce a whopping 2 trillion baht into the national economy. He attributes this boost to the multiplier effect of the cash handouts. This windfall will not only stimulate local economies but also aim to level the playing field regarding people’s access to digital money.
“The mass deployment of digital wallets will give the economy a shot in the arm,” Julapun explained, “followed by various stimulus measures such as generating income through soft power and raising the price of agricultural products.”
In terms of revenue, about 30 billion baht in value-added tax (VAT) is projected to be collected from goods and services transactions stemming from this initiative. For participants, the process is straightforward. “The user simply needs to download the new national wallet app to get their share,” said Julapun.
Emphasizing the security of this initiative, Julapun mentioned, “The project will be driven by high-security blockchain technology so it’s completely traceable.”
The digital wallet comes with conditions: Users can only spend within four kilometers of their registered address, focusing on stimulating local businesses. It also prohibits buying cigarettes and alcohol, repaying debts, and transferring to fiat, except for registered VAT merchants.
Scheduled for a launch in the first quarter of 2024, the project, costing an estimated 560 billion baht, will be funded by the state budget. This move is expected to cause an uptick in the revenue collected for fiscal 2024 and will subsequently reduce the expenditure on certain welfare programs like the state welfare card.
To access the 10,000-baht digital fund, individuals are required to download the associated app and link it with their ID card. “Those without a smartphone can use their 13-digit ID card number,” Julapun added.
