Budget of at least B50bn to help poor
Ministry mulling more measures
The Finance Ministry expects to spend at least 50 billion baht to fund the government’s welfare and subsidy scheme for the poor.
Around 30 billion baht will be used to finance free rides on public buses and trains, subsidise a certain amount of utility bills, and fares on inter-provincial buses for those who are at the bottom rung of the economic ladder, said Somchai Sujjapongse, permanent secretary for finance.
The ministry is considering providing more aid including subsidising the cost of cooking gas, fares for electric train travel, and covering basic needs for those who qualify for the government’s welfare and subsidy scheme, either this year or next, he said. Those living below the poverty line will also get an allowance to help them with living costs, said Mr Somchai.
Thailand’s poverty line stands at 30,000 baht a year or 2,500 a month.
The Fiscal Policy Office and Comptroller General’s Department have already agreed what kinds of assistance will be offered to those who qualified for the scheme, but it must be approved by Finance Minister Apisak Tantivorawong.
The number of registrants for the scheme this year stands at 14.1 million, up substantially from 8.27 million in 2016.
The ministry’s criteria for the scheme this year requires applicants to be unemployed or to have had an annual income of 100,000 baht or less last year to receive aid under the programme. They must also have savings, bonds and savings certificates worth less than 100,000 baht combined.
If applicants own property, the space must not exceed 35 square metres for a condo unit, 25 square wah for a townhouse or 10 rai of land for agricultural purposes. Applicants must be Thai nationals aged 18 and above.
Mr Somchai said t he Finance Ministry is negotiating with the Budget Bureau to maintain two batches of budget worth a combined 80 billion baht to fund the scheme after the bureau wanted the ministry to use only one batch worth 50 billion. The two lots include a 30-billion-baht budget regularly used to provide welfare for the poor and a 50-billionbaht Pracha Rat fund for lowincome earners that recently won cabinet approval.
He said the ministry will apply a negative income tax model to pay money to those living below the poverty line. Those who receive the allowance are required to undergo career training.
The ministry recently estimated over half the 14.1 million registrants for the scheme could be understating their income to take advantage of the government aid for the poor.