Lotteries are among the oldest forms of betting. Yet in modern times, various governments have used this popular form of gambling to encourage financial savings among citizens and even retirees.
Thailand is no exception. Recent administrations have sought to use lotteries as a means to help bettors save money.
The latest example comes from the government of Prime Minister Anutin Charnvirakul, which has proposed an “online lottery for retirement savings” — a scheme aimed at creating a retirement fund for those who gamble on government lotteries.
The Anutin government is not the first to try this.
The recently replaced Pheu Thai-led administration developed a similar retirement lottery scheme, which received parliamentary approval and is expected to launch this year.
Under the Pheu Thai Party’s version, the programme will be managed by the National Savings Fund (NSF), which has 2.78 million members and expects this to rise to 2.8 million by year-end.
The NSF’s retirement lottery seeks to increase savings among Thais, particularly informal workers who are not covered by retirement systems such as the Social Security Fund or provident funds.
Anyone aged 15 or older can buy retirement lottery tickets for 50 baht each, up to a maximum of 3,000 baht per person per month.
Five million tickets are issued weekly, with draws held every Friday. The top prize is 1 million baht, with smaller three-digit prizes worth 1,000 baht.
The catch in Pheu Thai’s version is that all money used to buy tickets is accumulated and returned to buyers when they turn 60.
Those over 60 can still purchase tickets, with the money returned five years after the initial purchase.
If there are no winners for a given draw, the prize money rolls over to the next.
The Anutin government’s “online lottery for retirement savings” differs from this.
Under the plan, each lottery ticket will be priced at 80 baht, with a portion of the money set aside for a retirement fund even if the ticket does not win.
For instance, 5-7% of the 80 baht would be allocated to establish the fund, which could be withdrawn once the buyer reaches the age of 55.
For those over 50 — say, 58 years old — the fund must be held for at least five years before withdrawal.
At first glance, the idea behind the Anutin government’s online lottery for savings may seem promising.
However, on closer examination, the concept appears to be a populist policy lacking careful consideration — an attempt to build a retirement savings system out of gambling.
But can such a policy truly create meaningful retirement savings for the public, especially grassroots citizens?
With each 80-baht ticket setting aside just 5-7% — roughly 5.60 baht — the remaining 74.40 baht is still spent on gambling.
Had the ticket not been purchased in the first place, that amount could have been saved or used for daily necessities.
For this reason, saving through an online lottery is unlikely to provide a sustainable, long-term source of retirement income.
Ordinary Thais, particularly low-income individuals who regularly buy government or underground lottery tickets, often express frustration when their numbers fail to win.
“I lost again!” is a familiar lament.
The populist “Online Lottery for Retirement” policy thus seems designed to soothe that disappointment — even if one doesn’t win, at least some of the money goes toward future savings.
Each year, Thais spend around 200 billion baht on government lottery tickets.
Including underground lotteries, total annual spending may reach 300-400 billion baht.
The broader challenge to national savings, however, lies in rising household debt — a growing economic malaise.
According to the National Economic and Social Development Council (NESDC), Thailand’s household debt in the second quarter of 2025 reached 16.35 trillion baht, equivalent to 87.4% of GDP.
This debt burden constrains spending, especially among low-income groups.
Young people, too, are increasingly accumulating debt beyond their means, driven partly by online consumption and “Buy Now, Pay Later” services.
Nevertheless, a strong savings system is a crucial pillar of society, particularly as Thailand becomes an ageing nation — with 20% of the population now over 60.
Yet the country’s retirement savings system remains weak, leaving many older Thais in poverty.
The Social Security Fund’s old-age savings programme, launched in 1999, now covers around 12 million members.
While it has expanded coverage for non-government workers, monthly pensions remain low — typically 4,000-5,000 baht, sometimes reaching 6,000 depending on contribution length.
These sums are far from sufficient to support retirees amid rising living costs, particularly those without personal savings or passive income — let alone self-employed workers and small vendors outside the system.
Those not covered by social security can join the National Savings Fund (NSF).
Saving 2,500 baht per month for 40 years would yield a monthly pension of about 3,790 baht — a clearly inadequate amount to live on four decades from now.
According to the Finance Ministry, post-retirement income should be at least 50% of pre-retirement earnings.
To achieve this, the ministry has promoted the National Pension Fund Act — a mandatory provident fund requiring all employers to provide retirement benefits for their employees.
Currently, private-sector provident funds operate on a voluntary basis.
However, the National Pension Fund law, approved by the cabinet under the Prayut Chan-o-cha administration in 2021, has yet to be submitted to parliament due to unfavourable economic conditions.
Using the lottery to encourage saving is not inherently wrong, even though, on the surface, it could easily and understandably be perceived to be.
But policymakers must take a broader view and approach, and in turn build a more solid foundation for sustainable retirement financial security by reforming the Social Security Fund, corresponding pension policies, and various laws.