FTI claims ‘Thais Help Thais Plus’ could drive 40% SME growth if fully implemented
FTI backs new economic package but Finance Ministry counters that multi-billion-Baht scheme is a cost-of-living lifeline rather than a stimulus
- The Federation of Thai Industries (FTI) estimates the "Thais Help Thais Plus" initiative could boost the GDP of Small and Medium Enterprises (SMEs) by 35% to 40% if fully executed.
- A key part of the plan, "Made in Thailand Plus," aims to increase the SME share of the 720 billion Baht state procurement market, which the FTI sees as a major driver for this growth.
- The FTI's optimism is based on the initiative's multi-pronged approach, which includes improving credit access, incentivizing investment in technology and automation, and boosting export opportunities for SMEs.
- Conversely, the Ministry of Finance has clarified that the program's primary goal is to serve as a cost-of-living relief measure for the public, rather than an economic stimulus package designed for rapid GDP growth.
FTI backs new economic package but Finance Ministry counters that multi-billion-Baht scheme is a cost-of-living lifeline rather than a stimulus.
The Federation of Thai Industries (FTI) has thrown its weight behind the government’s newly launched “Thais Help Thais Plus" initiative, estimating it could boost the country’s Small and Medium Enterprise (SME) GDP by 35 to 40 per cent, provided it is executed thoroughly.
Weerachai Mansinthorn, vice chairman of the FTI and chairman of the Small and Medium Industrial Institute (SMI), stated that the scheme offers a comprehensive framework to stimulate purchasing power, incentivise investment, improve credit access, and upskill the workforce.
In particular, Weerachai highlighted the Made in Thailand Plus (MiT Plus) initiative as a game-changer for local manufacturers. The measure aims to open up the state procurement market—valued at over 720 billion Baht annually—to domestic businesses.
"Currently, state procurement from SMEs stands at around 720 billion Baht, or 43 per cent of the total public procurement value," Weerachai noted. "If MiT Plus succeeds, we expect the SME share to rise to at least 45 to 50 per cent."
He added that this shift would strengthen domestic supply chains, encouraging businesses to source raw materials and services locally, thereby fostering long-term resilience.
A multi-pronged approach to industrial modernisation
The FTI underlined several other key pillars under the package designed to give manufacturing SMEs a competitive edge:
SMEs Plus+: A targeted liquidity boost offering loan guarantees to help businesses invest in machinery and technology, bypass collateral constraints, and expand capacity.
AI Plus+: A drive to transition traditional factories into "Smart Manufacturing" hubs by integrating automation and artificial intelligence to reduce labour costs and manufacturing errors.
Trade Plus+: A scheme to diversify markets, boost export opportunities, and reduce reliance on a stagnant domestic market.
To ensure these policies yield tangible results, the FTI has urged the government to adopt five key recommendations: enforce stricter local procurement regulations; subsidise 50 to 70 per cent of SME automation costs; expand industrial solar rooftop schemes to cut energy burdens; scale up public-private business matching; and establish an "SME Health Check" diagnostic centre to assess corporate finance and digital readiness.
Ministry of Finance clarifies: This is relief, not stimulus
In stark contrast to the FTI’s optimistic growth projections, the Ministry of Finance and the National Economic and Social Development Council (NESDC) have explicitly clarified that "Thais Help Thais Plus" is not an economic stimulus package.
Officials emphasised that the scheme's primary objective is to alleviate the soaring cost of living driven by inflation and the global energy crisis, rather than to rapidly revive GDP.
The program, which officially opened for public registration today (25 May), is funded by a 400-billion-Baht emergency loan decree introduced in 2026 to manage global energy shocks triggered by conflicts in the Middle East.
Ekniti Nitithanprapas, Deputy Prime Minister and Minister of Finance, explained that the current crisis differs from the structural halts seen during the financial crash or the COVID-19 pandemic. Instead, it is a livelihood crisis hitting households via skyrocketing commodity prices.
How the funding breaks down
The total package will deploy over 176 billion Baht, covering more than 43 million citizens over a four-month period from June to September.
For the general public, targeting 30 million people, the government will operate a 60/40 co-payment scheme, subsidising 60 per cent of expenses up to 1,000 Baht per person.
Meanwhile, the 13.18 million citizens holding state welfare cards will receive a direct monthly top-up, raising their allowance from 300 Baht to 1,000 Baht per month.
Treasury officials warned that without this immediate financial cushion, the drop in consumer spending could trigger widespread business closures and severe unemployment, ultimately spiralling into a broader recession. The measure is intended as a temporary buffer to help citizens weather an unpredictable economic storm.
