Thailand is preparing to hand out digital cash to around 50 million citizens in an effort to jump-start its sagging economy.
Only eligible businesses and individuals can enroll in the controversial program, reports the Associated Press. report July 15th.
“In April, the government unveiled an ambitious, widely criticised plan called ‘Digital Wallet’ to give 50 million Thai people 10,000 baht (around $275) in digital money to be spent at local businesses,” the media outlet reported, noting that Prime Minister Suretta Tavissin had said registration would open from August 1.
The AP article continues:
The “digital wallet” was a key campaign promise of Mr. Suretha’s ruling Pheu Thai Party ahead of last year’s general election. The government has said the plan would create an “economic tornado,” with Mr. Suretha predicting the stimulus and resulting spending will boost gross domestic product (GDP) growth by 1.2 to 1.6 percentage points.
But economists have criticized the program, arguing that it is an ineffective way to contribute to sustainable economic growth compared to other measures.
According to the Tourism Authority of Thailand, the country recently Announced Updated visa measures to support the economy.
“This includes the 60-day visa waiver and visa on arrival (VOA) schemes, Thai Travel Visa (DTV) and student visas, and will take effect from 15 July 2024,” the website said.
According to analysts, Thailand Showing Al Jazeera reported in April that there are signs of the middle-income trap, where “low productivity and low education levels combine to trap many workers in low-wage, low-skill jobs.”
While other Southeast Asian countries are recovering well from the China-inflicted coronavirus pandemic, Thailand is struggling, with government economic planners saying its economy will grow by just 1.9% in 2023.
The country’s economy has taken a big hit during the pandemic. Dependent Regarding the tourism industry, BBC News reported in November:
“Chinese tourists in particular accounted for a quarter of the 40 million foreign tourists who visited Thailand in 2019. It was hoped that tourist numbers would return to pre-COVID levels in 2023, but this has not happened,” the media reported.
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