The government will set criteria to ensure the rich are not eligible for the 10,000-baht digital money handout when it is launched, because it is not intended for wealthy people, Prime Minister Srettha Thavisin said on Wednesday.
He acknowledged recommendations from a range of people, including the governor of the Bank of Thailand, that rich people should not receive the 10,000-baht handout.
"There will be a good and fair definition of who is rich... Some groups who do not have troubles should not get it," the prime minister said.
The government team planning the handout's implementation had discussions with the Bank of Thailand governor (Sethaput Suthiwartnarueput) on Tuesday, said Mr Srettha, who is also a finance minister.
The digital payment was a key election policy of the prime minister's Pheu Thai Party, which heads the coalition government. Mr Srettha also announced it during the government's policy statement to parliament.
The prime minister denied reports that some other coalition parties did not support the policy. He said the coalition backed the plan.
Mr Srettha confirmed the handout would be paid in full, and not be delivered in instalments.
"The government intends to stimulate the national economy effectively with a huge amount of money," he said.
The government plans to give a 10,000-baht equivalent in digital money, via a digital wallet, to each Thai aged 16 years or more, with conditions on how and where it can be spent. The government estimates the cost at 548 billion baht.
Mr Srettha said this degree of economic stimulation was needed because the country's gross domestic product had grown by 1.8% on average annually over the past decade, and household debt was already at 91% of GDP.
Asked if the handout would be delayed from the planned Feb 1, 2024, Mr Srettha said he was still reviewing the timeframe. It would be as soon as possible.
Asked where the money was coming from, he said that was also still under consideration.
Economists and some former central bankers have urged the government not to forge ahead with its digital wallet programme, warning it could be fiscally problematic and further stoke inflation.
Deputy Finance Minister Julapun Amornvivat said a government-appointed committee would soon decide how many people should be entitled to the handout.
The committee would consider excluding people whose monthly incomes and savings were over certain thresholds, which would mean 43 million to 49 million people would be eligible, he said.
The stimulus plan is set to be rolled out in the first quarter of next year, but Mr Julapun said it could be delayed until April or May. He ruled out loans as a source of funding.
