Cash hand-out pledges may increase taxes and debt, Chuan warns

Although he did not name a particular political party, reporters assumed he was referring to the Pheu Thai Party’s campaign pledge to transfer cash into the digital wallets of all Thais 16 years of age or older.

The 10,000-baht-per-person pledge is expected to cost 500 billion baht, which Pheu Thai says is intended to stimulate the economy.

“Various cash-handout policies may burden taxpayers and cause the country to borrow more, creating debt for future generations,” Chuan said while campaigning in Bangkok.

“I think the policies must balance income and spending. The law requires parties to clearly point out how they will finance their policies and when it’s time to implement them. Parties have to abide by the rules.”

Chuan said a good populist policy should not strain the state budget.

Chuan said he was proud of populist policies initiated by the Democrats because they were not expensive and did not damage the country’s economy.

Providing free milk to students, a policy implemented when he was the prime minister, has benefited the country because it helps ensure young students are healthy, Chuan said, adding that the student loans his government initiated allowed poorer students to attend university.