Prime Minister Srettha Thavisin made a grand appearance at a press conference held at the iconic Government House in Bangkok, shedding light on the much-anticipated digital wallet scheme. This new initiative, aimed at catalyzing Thailand’s economic revival, encountered a rocky start on Thursday as millions flocked to register, causing the system to crash under immense pressure.
By the stroke of noon, a staggering 10.5 million eager individuals had rushed to enroll via the Thang Rath app, a government-developed platform designed to streamline access to numerous services. However, countless others faced disappointment as they struggled to get through, with many griping about not receiving the necessary text message passcodes to finalize their registration.
“It’s normal to encounter hiccups on the first day, but we are doing our utmost to resolve them,” reassured Prime Minister Srettha Thavisin, the enthusiastic champion of this bold program. Deputy Finance Minister Julapun Amornvivat had earlier predicted that at least five million people would register on the inaugural day.
The chaos began right at the 8am start time. Early glitches were attributed to outdated phones and weak internet connections, according to Mr Julapun. Despite these obstacles, the process took an average of two to five minutes per person. Impressively, around 2.3 million individuals registered within the first hour alone.
The window for smartphone users to register remains open until September 15. This flagship initiative of the coalition-core Pheu Thai Party—worth an eye-watering 450 billion baht—aims to breathe new life into an economy beleaguered by high household debt and tepid spending. Fund distribution is slated to kick off in early October, a timeline deferred multiple times from its original February launch amidst funding concerns.
Critics, including some well-respected economists and past central bank governors, have lambasted the scheme for being myopic and financially precarious—criticisms the government fervently disputes. Despite the debate, the House of Representatives sanctioned an additional 122 billion baht for the 2024 fiscal year to support the initiative. Senate and royal endorsements remain pending.
An estimated 50 million Thai nationals aged 16 and above are eligible for this program. Nevertheless, officials surmise that around 45 million will ultimately enroll. Eligibility criteria specify that participants must be Thai citizens earning no more than 70,000 baht monthly or 840,000 baht annually, based on personal income tax filings.
Recipients are required to spend the funds within the districts listed on their ID cards within a six-month frame. Importantly, eligible recipients can relocate their house registration to their work districts prior to registration, enabling them to use the digital currency effectively without the need to travel back to their home provinces.
Mr Julapun also cautioned that exchanging the digital funds for cash would be illegal, urging recipients to refrain from such transactions. The designated funds are primarily intended for small businesses, including local convenience stores. Notably, shop owners accepting digital money have the liberty to spend it beyond their districts.
Millions of retailers, from large malls and supermarket chains to humble noodle stalls and family-run convenience stores, are anticipated to join the scheme. The Pheu Thai Party is banking on the multiplier effect to ignite consumer spending, reinvigorate manufacturing, and trigger fresh investments. Prime Minister Srettha has even forecasted a “whirlwind” impact on the economy.
While authorities anticipate this stimulus package to elevate Thailand’s economic growth rate by as much as 1.8 percentage points—a remarkable leap for an economy averaging under 2% growth over the past decade—the Bank of Thailand offers a more conservative estimate, projecting a 0.9 percentage point boost to the GDP for the entire program.
Tech issues on day one are understandable but the whole system crashing? That’s unacceptable for such a major rollout.
That’s harsh. Any large-scale rollout will have its share of teething problems. Give them a break!
Agreed, but shouldn’t they have stress-tested the system better? 10.5 million registrations is a lot, but it should have been expected.
Exactly, DataGirl. Anticipation of the mass registrations should have been a big part of the prep. This is too important to mess up.
Throwing money at a problem isn’t a sustainable economic strategy. The critics have a point — this scheme feels short-sighted.
It’s not just throwing money. It’s a strategic stimulus. Look at how other countries have used similar measures to boost the economy.
But relying on stimulus packages constantly isn’t viable in the long run. We need structural economic reforms.
True, structural reforms would be more sustainable, but immediate relief can still play a pivotal role in tough times. Balancing both approaches is key.
Guys, you’re overthinking it. People need to eat now. This scheme puts food on the table and keeps businesses afloat.
Interesting move to restrict spending to districts. It ensures local business benefits, but what about those who live in one district and work in another?
They can relocate their house registration to their work districts, but that’s not a feasible solution for everyone.
Exactly, BangkokResident. It’s an added layer of complexity. This should have been simplified.
Yeah, some people don’t have the luxury or the time to deal with bureaucratic red tape just to spend their own money.
Old phones and weak internet are legitimate issues. The digital divide is real and needs addressing.
True, but improving tech infrastructure takes time. Meanwhile, digital wallets are the future. Adapt or get left behind.
Let’s not overlook elderly folks who might struggle with the transition. We need inclusive solutions.
The legality around not exchanging digital funds for cash is good, but I bet people will find a way around it.
Black-market operations will likely spring up faster than the government can regulate them. This part is pretty naive.
Maybe, but at least they’re trying to keep the money circulating within the intended local economies.
House of Representatives approved 122 billion more baht, but Senate and royal endorsements are still pending. What happens if they don’t pass?
The program stalls or gets restructured. Big risk involved.
Thanks, CHAIYIN. It’s crucial they have a fallback plan. Too many variables.
2.3 million registrations in the first hour? Insane. That’s a lot of optimism in the scheme.
Will this really revive the Thai economy or just create more dependency on state aid?
Only time will tell. Immediate impacts might be positive but long-term results are uncertain.
Dependency is a risk, but current economic stagnation justifies immediate action. Something had to be done.
How secure is this digital wallet platform? With so much data being processed, what about cybersecurity?
I’d hate to see people’s info get hacked. The government must ensure top-notch security measures.
No system is completely foolproof, but I hope they’ve invested heavily in cybersecurity. This could be a disaster if they didn’t.
People complain about everything. Just use the wallet, follow protocols. Don’t overthink it.
450 billion baht is no small amount. The pressure to make this successful must be enormous.
Can we talk about the realistic likelihood that digital wallets become more pervasive in daily life?
If it goes well, we might see other countries adopting similar models. *Fingers crossed*