The government has yet to ask the Council of State for legal counsel regarding the proposal to utilize funds from the Bank for Agriculture and Agricultural Cooperatives (BAAC) for the much-talked-about digital wallet scheme, revealed Pakorn Nilprapunt, the council’s secretary-general. When probed on whether the government needs the council’s advice to allocate money from the national budget for the handout programme, he clarified that there’s no necessity since the government holds the reins on budget management.
On the topic of whether the government’s reach extends to using funds from the national budget’s central pool for this scheme, Mr. Pakorn stated that the Budget Bureau supervises the central fund geared for emergencies. He emphasized that it’s up to the Bureau to assess if any fund requisition matches its pre-set criteria.
In earlier announcements, the government disclosed its plan to funnel 172 billion baht from the BAAC to support the digital wallet initiative, marking one of the three major financing sources for this ambitious project. However, this move faces legalities; BAAC’s stipulations permit financial assistance solely to farmers, not economic stimuli via loans.
On May 28, the cabinet greenlit a 3.75-trillion-baht budget for the upcoming 2025 fiscal year, stretching from October 1 to September 30. In this allocation, 152.7 billion baht from the budget’s central pot was designated for partially funding the handout scheme. The government further agreed on a bill to allocate 122 billion baht from the 2024 fiscal budget towards the same cause, according to deputy government spokesperson Rudklao Intawong Suwankiri. The bill is slated for parliament’s first reading next week.
Diving into the fiscal specifics, out of the proposed 122 billion baht, a sizable chunk of 111 billion baht is sourced from a budget deficit, with the remainder rechanneled from other 2024 budgetary segments, per the Budget Bureau. Lavaron Sangsnit, permanent secretary for finance, stated that the government will first await the passage of the 2025 fiscal budget bill through parliament before seeking the Council of State’s advisory on the handout initiative.
Notably, the 3.75-trillion-baht budget bill for the 2025 fiscal year had a successful debut, sailing through its initial reading in the House of Representatives on June 21. It’s currently under thorough examination by a vetting committee.
I can’t believe they are even considering using the BAAC funds like this. It’s supposed to help farmers, not fund digital wallets!
Exactly! It seems like a massive misstep by the government. Farmers already have so little support.
But isn’t the digital wallet scheme supposed to help the economy? In the long run, wouldn’t that help farmers too?
The government needs to be more transparent about where this money is going. This could end up being another huge scandal.
The emphasis on the digital wallet scheme is misplaced IMO. There are far more pressing issues that need attention and budget.
Can you name any? I think an economic boost would actually help most issues people are facing right now.
Healthcare, education, and infrastructure for starters. These are long-term investments with far-reaching benefits.
People always say that, but these schemes can actually make a tangible difference in people’s daily lives.
This is a typical case of misplaced priorities. They should focus on sustainable development, not quick fixes.
This is a very complex issue. On one hand, economic stimulation is needed, but on the other, there are strict legal frameworks around these funds.
I agree. It should be done within legal bounds. No point in fostering economic growth if it’s going to be built on shaky ground.
Yes, exactly. There has to be a balance. Shortcuts will only lead to bigger problems.
Legal frameworks can be changed, though. Maybe it’s time to update the laws to accommodate modern needs.
This is ridiculous! We farmers rely on BAAC, and this scheme won’t directly help us in ways we need.
Isn’t the real issue here that the government didn’t even ask the Council of State for advice? How can they justify this?
Taking money from the national budget’s central pool should only be done for emergencies. Is this really an emergency?
That’s a good point. It really makes you question what criteria they are using to define emergencies.
Indeed. Financial prudence is crucial, especially with such a large amount of money at stake.
What happens if the parliament rejects the budget bill? Will the scheme be shelved or funded through some other means?
A 3.75-trillion-baht budget is massive. Where is all this money coming from?
Some from budget deficits apparently. Not sure how sustainable that is.
Yeah, deficits can be dangerous if not managed properly. It could lead to bigger economic issues.
Budget deficits are quite common in many countries, but they should come with a solid plan for repayment.
Will the digital wallet initiative actually make a difference in the economy? Or is this just another political gimmick?
The digital wallet could have broad economic impacts, but only if implemented correctly and managed transparently.
Transparency is always a concern with government projects. The public needs to be kept in the loop.
Yes, without transparency and proper oversight, even the best-intended schemes can fall apart.
It sounds great on paper, but the devil is in the details. Execution matters the most.
I hope the vetting committee does a thorough job in reviewing the budget bill. Rushing through this could lead to unforeseen consequences.