Village funds must submit financial reports, project details to receive budget

Village funds nationwide are required to submit their financial reports and detailed development projects to be eligible for new development budgets under the so-called SML scheme, PM’s Office Minister Jiraporn Sindhuprai said on Monday.

Unlike in the past, the new budget for village funds will not be automatically allocated; instead, funds must meet certain conditions to receive the money, Jiraporn explained.

The new budget will no longer be used for granting personal loans to villagers, as was previously the case. Instead, the money will be spent on development projects that must be approved by a majority of villagers in each community, she added.

Last week, Prime Minister Paetongtarn Shinawatra presided over a ceremony to remit 11.9 billion baht to the National Village and Urban Community Fund Office (NVUCFO) for distribution to 79,610 village funds under the SML — small, medium, and large village — scheme.

Allocation Based on Village Size

Jiraporn said the fund would be distributed according to village size:

• 200,000 baht for small villages with no more than 500 residents each
• 300,000 baht for medium-sized villages with between 501 and 999 residents each
• 400,000 baht for large villages with more than 1,000 residents each

Conditions for Eligibility

Jiraporn stated that village funds must meet the following criteria to be eligible for the new budget:

• Be registered as legal entities
• Have submitted financial reports for the 2023 and 2024 fiscal years
• Ensure that members of the fund committees are still in office
• Obtain approval for development projects from at least half of village residents and at least half of fund members

NVUCFO to Begin Considering Projects Next Month

Meanwhile, a Government House source said the NVUCFO would start considering development projects submitted by village funds next month.

The source said each village fund must first hold a meeting of local residents to approve the proposed projects. These projects must then be submitted to the NVUCFO for consideration, with budget allocations expected to be finalised by late May.