In response to corruption concerns, the Thai government has reduced the budget for its digital wallet scheme from 500 billion baht to 450 billion baht. Deputy Finance Minister Julapun Amornvivat announced the decision on July 10, citing recommendations from the National Anti-Corruption Commission (NACC).
The revision comes after the NACC advised against an excessively high budget, prompting the Finance Ministry to assign the Fiscal Policy Office (FPO) to review the matter. The FPO found that most government initiatives typically see 90% participation from eligible recipients, leading the Budget Bureau to propose the budget cut. This updated budget proposal will be presented to the national digital wallet policy committee, chaired by Prime Minister Srettha Thavisin, on July 15. The precise number of recipients will be determined after registration closes at the end of September. “Both the Finance Ministry and Budget Bureau do not see the need for the government to allocate a budget higher than the expected actual spending of 450 billion,” stated Julapun.
If registration numbers reach 50 million recipients, the government will adjust the budget accordingly. The revised 450 billion baht budget will be allocated from the 2024 and 2025 fiscal years: 160 billion baht from FY 2024 (including 122 billion baht from additional funds and 40 billion baht from other cuts) and 285 billion baht from FY 2025 (comprising 152.7 billion baht from the annual budget and 132.3 billion baht from other reductions).
Julapun emphasized that this budget adjustment will prevent the government from violating the Financial Discipline Act by avoiding reliance on state bank funds. Additionally, the subcommittee decided to exclude purchases of electric appliances, electronic gadgets, and communication devices, including smartphones, from the 10,000-baht handout. These decisions now await approval from the prime minister’s committee.
Eligible recipients for the digital wallet scheme must be at least 16 years old by September 30, have savings of no more than 500,000 baht as of March 31, and earn no more than 840,000 baht during the 2023 tax year, according to The Nation.
