PM marks 10 years of village fund

Saying that she was proud of the scheme’s success and its importance in strengthening communities, tackling poverty, offering off-system loans and promoting people’s quality of life, Yingluck also announced that in the third phase the government was adding Bt1 million to each of the 21,624 qualified community funds. She said she hoped this would enable them to expand memberships and elevate them to become a bank that is run by a community. 

Nathee Klipthong, director of the Thailand Village and Urban Revolving Fund Office, said the scheme’s 79,255 funds nationwide covered 12,801,444 members and had generated Bt160 billion so far. Of the more than 12 million members, about 87 per cent have borrowed from the fund while others have been benefiting from saving with the scheme. Nathee said the funds had earned a total of Bt20 billion in savings.

He went on to say that 1,500 community funds had been elevated to the status of financial institution, and only 7 to 8 per cent of them had any problems. 

Deputy PM and Finance Minister Kittiratt Na-Ranong, as chairman of the scheme, said that since then-PM Thaksin Shinawatra approved the scheme’s funding on July 25, 2001, it has seen 79,255 funds come into existence and has continued to develop in several aspects, especially in creating jobs. 

Preecha Chairak, deputy chief of Muang Yasothon’s Tambon Na Sa Mai Administrative Organisation, said the fund helped farmers find new vocations like weaving containers for sticky rice between harvest seasons and that the fund had yielded Bt1 million in profits per year.