EC rejects irregularity claims in Senate election

The Election Commission (EC) has defended its handling of the 2024 Senate election and rejected allegations of irregularities after a video showing officials collecting voting notes from candidates resurfaced.

In a statement, the EC said on Friday that a court had already ruled that bringing documents or notes containing candidate numbers into polling areas did not constitute an offence under the law governing Senate elections.

The commission cited a ruling by the Central Criminal Court for Corruption and Misconduct Cases on Jan 28, which found there was no legal prohibition against candidates carrying such documents into polling stations.

The clarification came after People’s Party list-MP Parit Wacharasindhu released video footage, which he said showed two individuals inspecting and collecting voting notes or “cheat sheets” from Senate candidates. One of the individuals, according to Mr Parit, was an EC member.

The EC also rejected claims made by former election inspector Pol Col Manat Nakhonsri that he had warned EC secretary-general Sawaeng Boonmee on the morning of the election about groups of candidates preparing coordinated voting lists.

Reviews of official records found no evidence that such a warning was made to Mr Sawaeng at the time claimed.

However, official records showed that Pol Col Manat formally submitted a report concerning the matter on June 28, 2024, two days after the national-level election.

The EC said it had the authority to issue measures to safeguard the integrity of the election and maintain order during the voting process.

Therefore, the commission agreed on June 26, 2024, that candidates advancing to the next round would not be allowed to bring documents into designated voting areas during the cross-voting process.

EC member Thitichet Nuchanatta acted in accordance with the commission resolution barring candidates from bringing documents into designated voting areas, according to the EC.

Meanwhile, Mr Parit said that discussions between representatives of the EC and a House committee on public independent agencies left several questions surrounding the EC’s handling of the Senate election unanswered.

He said the EC must decide within 90 days of its first deliberation to pursue cases against individuals implicated in the alleged collusion scheme or dismiss the complaints. The decision was due in early September.

New committee seeks to create reform agenda

The government is preparing to establish a national reform agenda for the next four years, according to Finance Minister Ekniti Nitithanprapas.

Mr Ekniti said the first meeting of the newly established Joint Public-Private Consultative Committee, chaired by the prime minister with Mr Ekniti as vice-chair, will focus on long-term planning for national reform.

The emphasis is on driving long-term infrastructure investment projects, energy sector reform, upgrading education, and finding new markets for the country, as well as gutting regulations that limit investment — an issue rating agencies still view as problematic for Thailand.

He said efforts to tackle regulatory obstacles to investment will be carried out by the Board of Investment (BoI) through its “Thailand Fast Pass” programme, aiming to unlock investment more quickly.

The government will pursue a “Quick Big Win” approach to national reform, identifying what can be achieved over six months, one year and four years, said Mr Ekniti.

“The new committee’s first meeting on Monday will include the president of the Federation of Thai SME Association, as the government wants national growth to encompass small and medium-sized enterprises in order to achieve inclusive growth,” he said.

“The BoI is expected to adjust its foreign direct investment strategy to increase the use of local content in order to build supply chains in Thailand. This approach is similar to the period around 1981, when Japanese investors relocated production bases to Thailand, especially in the automotive industry, which led to the growth of related supply chains. The current global context requires greater use of modern technology.”

To develop modern industries such as artificial intelligence, data centres are required, noted Mr Ekniti. If Thailand has data centres, it can expand its cloud services industry, he said.

The BoI is exploring ways to make cloud services more affordable, said Mr Ekniti.

Because the focus is not on short-term policies, GDP growth this year is not a government priority, he added, though the goal is economic growth of more than 2% in 2026.

“We must preserve our strengths, which offer stability, and eliminate our weaknesses, such as high dependence on foreign energy,” said Mr Ekniti.

“We must implement projects to transition energy use, upgrade workforce skills, and improve investment regulations.”

IMD ranked Thailand 26th out of 70 nations for competitiveness, up from 30th last year.

However, Thailand ranked near the bottom at 67th in the energy sector due to its high reliance on imported energy. This was reflected by the current account deficit in April, when Thailand imported energy equivalent to nearly 10% of GDP.

He also referred to the latest credit rating assessment by S and P, which maintained Thailand’s rating.

The country has strong external stability, with foreign reserves of around US$300 billion, more than 2.5 times its short-term debt, while unemployment remains low and investment conditions are improving.

S and P views government stability as an important factor in enabling structural reforms.

“We must reform infrastructure, energy, labour skills, education and the public health system, which IMD is also concerned about,” said Mr Ekniti.

S and P is not concerned about Thailand’s public debt level, but is concerned about drivers of economic growth, he noted.

Vice-finance minister Santitarn Sathirathai said national stability is crucial in a world of increasing instability. He pointed to US interest rate cuts ending, while Japanese bond yields have risen. Meanwhile, interest rates in Thailand’s neighbours were hiked to prevent capital outflows.

“Stability is important as it allows us to avoid being forced into implementing policies that may not be suitable for Thailand’s economy,” said Mr Santitarn.

“However, stability alone is insufficient; we also need a new growth story.”

Whose ‘communication sovereignty’ are we protecting?

The Thai people are under threat of being fed lies and being wrongly influenced, and the country is at risk of losing control over its communication channels.

For the safety of the nation’s naïve and impressionable populace, the government must fortify homegrown (read state-operated) communications and information media, lest the Thai people begin forming opinions.

Surely, the proper protection would not be developing some level of information literacy?

AM Thanapant Raicharoen, speaking as a commissioner of the National Broadcasting and Telecommunications Commission (NBTC), sounded the alarm this past week, declaring that Thailand must enhance its ‘communication sovereignty’ as soon as possible.

His concern is that with technology platforms allowing for the circumvention of traditional communication channels, Thailand’s ‘national interests’ are at risk of being compromised by miscommunication, misunderstanding and deliberate deception.

Pointing to scam centres, online fraudsters and cyber criminals, AM Thanapant made the rather incongruous statement that ‘threats to national security have evolved far beyond conventional military confrontations’.

The commissioner’s call definitely deserves serious consideration. In an era of cyber warfare and threats based in misinformation campaigns, the government cannot ignore the vulnerabilities that arise from having foreign entities exerting control over information circulated in Thailand.

Yet there is another danger that deserves equal attention. When does communication sovereignty become counterproductive to information democracy?

National security

The argument for communication sovereignty, as presented by AM Thanapant, is framed in terms of national security. Foreign-owned social media platforms, messaging applications and cloud services are portrayed as strategic risks. The fear is that public opinion could be manipulated by outside actors, sensitive data could be exposed and the nation could lose control over critical infrastructure.

However, when discussions move from protecting infrastructure to controlling the flow of information, the line between sovereignty and censorship becomes increasingly blurred.

‘If global operators are able to provide end-to-end communications services directly to consumers, countries may gradually lose influence over key layers of their digital ecosystem,’ AM Thanapant declared.

It’s an argument that seems airtight in a vacuum.

However, in a world where social media has proven consequential during times of government oppression, or at the very least has served as a useful tool for public oversight, that remark can be read as the state wishing to maintain the systems that allow for an imbalance of power.

A democratic society thrives not because information is perfectly controlled, but because information is openly available and can even be contested. Citizens are exposed to competing viewpoints, conflicting interpretations and uncomfortable facts.

Ultimately, the factor most in need of protection is the ability of everyday citizens to interpret and analyse information.

Unlikely as it may be that a Thai government would concede this, the best immunisation against manipulation should be critical thinking ability, not better controls on input.

Information control

The call for communication sovereignty assumes that citizens require protection from harmful information. This assumption reads as well-intentioned, but it also takes for granted that the governments and institutions involved are solely intent on defending the people from malicious messages.

A society that relies primarily on information controls risks creating a population that remains vulnerable whenever those controls fail. Investing in media and information literacy develops citizens who can evaluate sources, identify manipulation and make informed judgements.

Alongside the three strategies proposed by AM Thanapant – accelerating the development of domestic digital capabilities, appropriate governance frameworks for communication channels, and deeper regional cooperation – Thailand needs to add enrichment of its own people’s critical thinking capability.

The strongest defence against being misinformed is not stricter control. It is being informed.

US book their place in next round at World Cup

The ?United ?States showed they could win ?without Christian Pulisic on Friday, beating Australia 2-0 to reach ?the World Cup round of , but coach Mauricio Pochettino is hoping his talisman will return for their next match.

The match in Seattle was one of four played on Friday. Elsewhere, 10-man Paraguay eliminated Turkey with a 1-0 victory, Morocco defeated Scotland 1-0 and Brazil blanked Haiti 3-0.

Pulisic missed the Group D clash with a calf injury sustained in the Americans’ opening win over ?Paraguay, leaving the ?co-hosts without their most influential attacking player.

They still found a way through, taking the lead in the 11th minute through a Cameron Burgess goal before Alex Freeman headed in shortly before halftime after a VAR review overturned an initial offside decision.

‘It’s always difficult because we want to have all the ?players,’ Pochettino said. ‘Christian is an important player for us, but … it was impossible today for him to play. We hope that next game he will be available.’

The US moved to six points and secured their place in the knockout rounds ?with one group-stage match still to play.

Pochettino said Pulisic remained central to his plans but added that any successful World Cup ?run require contributions from the entire squad.

‘If we want to win the competition, we need the whole team,’ he said. ‘All the ?players ?need to be important.’

The US will close ?out Group D against Turkey on ?Thursday at Los Angeles Stadium. Turkey is already out of the picture, after losing 1-0 to ten-man Paraguay in Santa Clara, California.

Fired up after their humiliating 4-1 opening match defeat by the United States, Paraguay went ahead 64 seconds into the match ?when Matias Galarza ?rifled in a long-range shot, then clung on for the entire game against a tide of Turkish attacks.

Spurred on to the sound of beating drums in the San Bay area, Paraguay defended resolutely to withstand the Turkish onslaught and played the second half with 10 men, after Miguel Almiron was sent off for remarks made to Mert Muldur with his ?hand covering his mouth.

Turkey dominated the match, with 79% possession at one point but they paid the heaviest of prices for their atrocious ?finishing, logging 32 attempts but no goals in almost a carbon copy of their high-shooting opening match loss to Australia.

Paraguay, known as ‘La Albirroja’, last played in the World Cup in 2010, ?where they were eliminated by eventual champions Spain in the quarter-final.

Morocco subdue Scots

Morocco outmuscled Scotland for ?a 1-0 win, moving into second spot in Group C, behind Brazil on goal difference, with one match left to play.

The North Africans, surprise semi-finalists four years ago, were in control throughout despite the deceptive scoreline, after Ismael Saibari struck just 71 seconds into the match in Foxborough, Massachusetts.

Morocco, who did not translate their dominance into more goals, now have four points from ?their two matches and will next play ?Haiti on Wednesday.

Scotland, with three points from two games, face five-time champions Brazil on the last matchday.

‘We would liked to score that second goal to be more at ease, but we wanted to keep them really, really high up so they wouldn’t get too close to our box,’ said Morocco coach Mohamed Ouahbi.

Scotland tried to pile on the pressure late in the game but despite some late chances, could not find an equaliser.

‘Had we played another five minutes, we might just had them,’ said Scotland midfielder Ryan ?Christie.

‘It’s frustrating. The start to the game wasn’t exactly how we ?planned it. But we limited them to very little second half and started to play our football. It just wasn’t to be,’ he said.

Brazil cruise

In Philadelphia, Brazil forward Matheus Cunha rewarded Carlo Ancelotti’s backing with his first two goals at a World Cup as the five-times champions cruised to a 3-0 victory over Haiti on Friday to eliminate their opponents.

Vinicius Junior also scored in the first half and was the creator for both of Cunha’s strikes before an apparent leg injury forced winger Raphinha off ?in the 40th minute.

Overall, it was ?a much-improved effort from the Selecao’s 1-1 draw against Morocco to open their tournament and a result that puts Brazil on four points above the Atlas Lions in Group C on goal difference.

‘It was what I expected from this match have a better quality of this match,’ Ancelotti said. ‘Fewer mistakes. More effectiveness at the forward (positions) and more control at the back. And I think this was a good match.’

Haiti became the first team at the World Cup out of contention for the knockout phase after Morocco’s ?1-0 win over Scotland, who have three points, earlier on Friday. Haiti are bottom with no points.

Even so, they clearly enjoyed their second appearance at the finals and first since 1974 and, despite a lineup that suggested a low block, showed admirable endeavour in front of a vocal red-and-blue-clad minority.

‘They showed that they deserved to be here at this World Cup,’ Haiti manager Sebastian Migne said of his players. ‘And unfortunately, ?we played against Brazil, and there was too much of a gap.’

After credit rating, panel calls for economic stability

The private sector is urging the government to maintain Thailand’s economic stability following S and P Global Ratings’ reaffirmation of the country’s sovereign credit rating.

The Joint Standing Committee on Commerce, Industry and Banking (JSCCIB) called on the government to implement targeted policies while maintaining strict fiscal discipline to sustain the stability and resilience of the Thai economy.

S and P’s latest decision to affirm Thailand’s sovereign credit rating at BBB+ with a stable outlook follows Moody’s recent reaffirmation of the country’s rating at Baa1 with a stable outlook. These assessments reflect international investors’ confidence in Thailand’s ability to manage its macroeconomic and fiscal policies prudently.

Thailand’s consistently strong external financial position provides a solid buffer against global economic shocks, geopolitical uncertainties and major shifts in the trade landscape.

“The JSCCIB believes the confirmation from these agencies demonstrates Thailand’s economic fundamentals remain strong and stable,” said the panel.

The committee recommended the government prioritise investments that generate strong economic returns and broad-based benefits throughout the supply chain, while also urging authorities to reduce blanket subsidy schemes.

“The government should scale back broad subsidies that may encourage long-term dependence on state support, while accelerating regulatory reforms to remove obstacles to investment and business operations,” noted the JSCCIB.

In addition, the panel strongly supports Thailand’s efforts to join the Organisation for Economic Co-operation and Development, viewing membership as an important benchmark for raising national standards in the rule of law, governance, transparency and open government.

The committee also applauds efforts to upgrade the country’s key industries through collaboration with stakeholders, including international organisations such as the World Bank. These initiatives demonstrate Thailand is systematically advancing its economic transformation towards a growth model driven by value creation, productivity gains and high-quality job creation.

This approach is consistent with the “Reinvent Thailand” framework and is expected to strengthen investor confidence, while enhancing the credibility of Thailand’s economic reform agenda on the global stage, said the JSCCIB.

The group said it is ready to support the government in advancing these reforms through investment, supply chain development, small and medium-sized enterprise promotion, and close cooperation among the private sector, financial institutions, capital markets and the public sector.

CAPITAL MARKET

Asadej Kongsiri, president of the Stock Exchange of Thailand (SET), said S and P’s rating sends a positive signal that reflects the country’s financial stability and robust international reserves.

Thailand’s high level of foreign exchange reserves provides a buffer against external volatility, while government stability remains a key factor supporting policy continuity, particularly in driving economic restructuring and implementing long-term investment projects under the national strategic plan, he noted.

The credit rating should strengthen investor confidence and support continued capital inflows into the Thai stock market, said Mr Asadej.

Listed companies should be able to maintain competitive funding costs in international markets, which is beneficial to business expansion and the long-term development of Thailand’s capital market, he said.

“The maintenance of Thailand’s credit rating and stable outlook is a positive factor for the economy and capital market, bolstering investor confidence and supporting sustainable business growth over the long term,” Mr Asadej said.

Law reform bid gains support

An academic at Thammasat University has backed the Office of the Consumer Protection Board’s (OCPB) proposed Defective Item Act draft, or the Lemon Law, describing it as a long-awaited step towards fairer treatment of consumers.

The Lemon Law, which received the cabinet’s approval this week, provides consumer compensation through repayment, replacement, a discount, or contract termination within a limited timeframe.

The law will limit the presumption of defect to six months for general items and one year for vehicles.

It limits maintenance timelines to 60 days for general items and 90 days for cars, and requires immediate replacement within seven days for general items and 14 days for electronic appliances.

It further mandates the immediate replacement of cars if an irreparable defect is found that could affect driver safety.

The law allowed clients to demand a discount, terminate a contract, or call for damages from service providers if they breached an agreement.

Commenting on the draft, Asst Prof Aimpaga Techa-Apikun, lecturer at the Faculty of Law, Thammasat University, called the law a success after a decade in the making, marking a pivotal milestone in the nation’s consumer protection initiatives.

Asst Prof Aimpaga explained that, if passed, it would address any ambiguities and limitations in the Consumer Protection Act, BE 2522 (1979), particularly regarding consumer compensation measures that have often led to recurring conflicts between consumers and providers, while limiting the authority of state agencies, as no measures in the act had stated directly.

Asst Prof Aimpaga praised the law’s attempt to clarify the responsibilities for item warranties, as it covered client protection in the event of item repair and defect-presumption timelines by item category.

She also appreciated the law’s attempt to extend legal rights to financial institutions in cases involving product leasing, such as cars and electric vehicles (EVs), which were the most common in consumer protection.

Tha Phra Chan clings to Thai herbal traditions

‘This is part of the roots of Thai culture. One day, it may no longer exist. The place where it all began is slowly fading away,’ says Payao Sitthisong, 70, looking out onto the street from her herbal medicine store. ‘But the truth is, this is where it all started – right here at Tha Phra Chan.’

Strolling through the tourist area around Tha Phra Chan and Tha Maharaj pier, I was wondering why there were so many Thai medicine stores. So, I took the opportunity to explore and find out.

Located on the eastern bank of the Chao Phraya River, Tha Phra Chan is one of Bangkok’s oldest piers. The area has long been known not only as a transport hub but also as a centre of traditional Thai herbal medicine.

Lined with shops selling balms, oils and traditional remedies, Tha Phra Chan preserves a rich heritage based on local wisdom and herbal knowledge passed down through generations. For people seeking authentic Thai medicine, it is a must-visit destination.

Ms Payao, the owner of the store that bears her name, shared the story of the area with me.

‘Back then, this area was called Dong Ya (Medicine Cluster),’ she explained. ‘Around Tha Phra Chan and Tha Tien, people came here to buy herbal balms and traditional medicines.

‘There were also many medicine shops in front of Wat Pho that also originated from Tha Phra Chan. People have been coming here to buy herbal remedies for decades.’

Tha Phra Chan, she continued, is where authentic traditional medicine began. ‘Just as Thai traditional massage is deeply rooted at Wat Pho and Tha Tien, Thai traditional medicine began here, at Tha Phra Chan.’

Wat Mahathat, located between Tha Phra Chan and Tha Chang, has long been the cultural hub of the area.

‘In the old days, people sold these medicines around Wat Mahathat. They set up simple stalls. Most of the herbal medicines were made by people from the provinces,’ the long-time seller recalled.

‘Back then, there was no Food and Drug Administration approval or regulation. They simply made the medicines themselves, often based on traditional folk remedies – ya phee bok, or ghost medicines as they were known – and it became part of the area’s legend.’

The neighbouring Tha Chang area was also influenced by Tha Phra Chan, but it has come to specialise in topical remedies only.

‘Back then, most of the medicines sold in Tha Phra Chan were homemade,’ said Jitra Sirilerdpornchai, 80, owner of the Lor Yong Jit store at Tha Chang. ‘Our shop specialises in traditional Thai medicines for external use, including herbal balms and other topical remedies.’

Tha Phra Chan’s customers are mostly Thai people. Not many foreigners know about Thai traditional medicine here.

‘Most foreign tourists tend to go to Tha Chang and Tha Tien,’ said Ms Payao. ‘Thai customers still stop by, but business has become very quiet. For the past three years since Covid, it’s been slow.

‘Back then, we could make many thousands of baht in daily sales. Now, we’re lucky if we make just a few thousand. There simply aren’t as many people walking through here anymore,’ she said.

One of the major challenges facing herbal remedy sellers is applying for FDA approval of their homemade medicines. Older store owners in particular find it a struggle to deal with all the required documents, some of which require English translation.

Many traditional herbal ingredients do not have recognised scientific or English names or lack sufficient scientific documentation. As a result, they cannot be registered with the Thai FDA, even though they have been used for hundreds of years.

In addition, manufacturers must meet strict production standards. Small local or traditional producers often cannot afford or comply with these requirements, making it difficult to legally market their products.

Consequently, many traditional herbal remedies remain unregistered and unavailable in the formal market, limiting public awareness and preventing local herbal knowledge from being preserved and expanded.

For the shopkeepers of Tha Pra Chan, the tradition goes beyond medicine to reflect culture, belief and folkways. Some say that Thai traditional medicine is still waiting for foreigners to find out that it works, which could give new life to Tha Phra Chan.

New ‘Lemon Law’ to protect buyers from faulty goods

Thailand’s cabinet has approved a draft Lemon Law aimed at strengthening consumer protection by making sellers more accountable for defective goods, allowing buyers to seek repairs, replacements or compensation more easily when products fail within a specified period.

The new legislation shifts the burden of proof from consumers to sellers. Under the proposed law, if a product becomes defective within the legal warranty period, it will be presumed that the defect existed at the time of delivery unless the seller can prove otherwise.

Known formally as the Draft Act on Liability for Defective Goods, the Lemon Law marks a major change in consumer rights. Previously, consumers were largely responsible for proving that a product was faulty. Under the new framework, sellers must take responsibility for inspecting and addressing defects covered by the law.

The cabinet approved the draft law proposed by the Office of the Consumer Protection Board (OCPB) on June 16. The bill will now be submitted to parliament for further consideration, said Supamas Isarabhakdi, the minister attached to the Prime Minister’s Office, who oversees the OCPB.

The government said the law would bring Thailand’s consumer protection standards closer to international norms while helping consumers obtain fair remedies more quickly and avoid lengthy legal disputes and unnecessary expenses.

The law provides four forms of consumer remedy depending on the severity of the issue: repair, product replacement, price reduction and contract termination.

Under the proposed protection period, defects in general consumer goods discovered within six months of delivery, and defects in cars found within one year, will be presumed to have existed from the outset.

Repair timelines are also clearly defined. Sellers must complete repairs for general goods and motorcycles within 60 days, while repairs for cars must be completed within 90 days from the date the product is received for servicing.

If sellers fail to complete repairs within the required timeframe, consumers will immediately have the right to request a price reduction, terminate the contract or claim damages under the law, preventing delays in repair processes.

The law also covers severe defects, such as products suffering system failures that prevent normal operation. In such cases, consumers may request an immediate replacement within the designated period: seven days for general goods and 14 days for electrical appliances and electronic devices from the date of delivery.

For automobiles with safety-related defects that cannot be fixed, sellers will be required to replace the vehicle with a new one of the same model.

The draft bill has already been vetted by the Council of State and has undergone public hearings involving citizens, businesses, and relevant agencies in accordance with Section 77 of the Constitution.

The Lemon Law will apply to transactions between businesses and consumers, business-to-business deals, hire-purchase agreements, credit-financed sales, and exchange contracts. However, it will exclude secondhand goods, live animals, and peer-to-peer consumer sales.

Spotlight on ballooning welfare spending

Is Thailand becoming a welfare state? The answer remains to be seen, given the government’s fiscal constraints.

Public debt has risen recently, nearing the statutory ceiling of 70% of GDP.

The government is striving to establish a welfare system that supports all segments of society, particularly low-income and vulnerable groups. While the financial assistance and benefits provided may be modest and intended merely to help recipients get by, they are significant for those who rely on them.

The administration revised the eligibility criteria for the state welfare card, initially attempting to exclude the parents of children who claimed parental tax deductions on their income tax returns. However, the government scrapped this screening method recently following public outcry.

The goal is to ensure welfare benefits are directed to those who are genuinely poor, rather than those who merely qualify on paper. The move also reflects growing concern within the Finance Ministry over the government’s rising welfare spending burden.

What is the government’s current welfare expenditure burden?

A significant portion of the government’s annual spending budget consists of costs that cannot realistically be cut, including welfare spending for both public and civil servants, which has continued to increase, especially as Thailand transitions into an ageing society.

Debt servicing obligations and salaries and compensation for public sector employees also cannot be reduced. Taken together, this spending accounts for more than half of the government’s annual budget and is trending upwards, rising from 62% of total government spending in 2019 to 67% in 2023, before easing to 66% in 2024.

Welfare expenditure for civil servants and the public has increased consistently over time. Spending on civil servant welfare accounted for 12.7% of total government expenditure in 2019, rising to 15.1% in 2024, equivalent to 542 billion baht. This category includes medical benefits, gratuity and pension payments, as well as government contributions to the Government Pension Fund.

Welfare spending for the public tallied 11.9% of the annual expenditure budget in 2019, rose to 13.1% in 2021, then dipped to 12.2% in 2024, amounting to 437 billion baht.

Government welfare spending for the public includes: (1) living allowances for the elderly, people with disabilities, and HIV/AIDS patients; (2) child support subsidies; (3) school lunch programmes and supplementary nutrition programmes (school milk); (4) government contributions to various social funds, including the National Savings Fund, National Health Security Fund, Social Security Fund, Elderly Fund, and the Pracharat Welfare Fund for Grassroots Economy and Society, which administers the State Welfare Card programme.

Based on Thailand’s medium-term fiscal framework for 2027-2030, there are growing concerns about rising government obligations, particularly healthcare costs. To address this issue, a committee was established to review medical expenses under the public healthcare welfare system, exploring measures to reduce costs and improve spending efficiency. Healthcare expenditures are expected to continue increasing as the population ages.

The National Health Security Fund, which oversees Thailand’s Universal Coverage Scheme (UCS), also known as the 30-baht scheme, received a budget allocation of 272 billion baht for fiscal 2026, which translates to a per-person allocation of 4,298 baht for individuals covered by the scheme.

This growing burden is increasingly viewed as a fiscal risk. Credit rating agencies have urged the government to maintain stricter fiscal discipline following the sharp increase in public debt during the pandemic.

In response, the Finance Ministry set a target to reduce the fiscal deficit to a ceiling of 3% of GDP by 2029. For fiscal 2026, the fiscal deficit is projected to remain at 4.4% of GDP.

What welfare systems does Thailand have?

Thailand’s most important welfare mechanism is the Social Security Fund, which operates as a contributory system involving the government, employees and employers. Employees are entitled to benefits when they become ill or suffer work-related injuries. Upon retirement, they are also eligible to receive a monthly pension for life, although the amount may not be substantial.

Civil servants are covered under a government-funded healthcare scheme. The medical benefits also extend to their parents and up to three dependent children who are not yet adults. Spending under this scheme has risen steadily, and during the first half of fiscal 2026, expenses amounted to 64 billion baht.

The UCS covers nearly 50 million people, around 70% of the country’s population, with the scheme launched in 2001 by Thaksin Shinawatra’s Thai Rak Thai Party as the first nationwide universal healthcare initiative in Thailand.

According to Thailand Development Research Institute, welfare-based healthcare programmes existed before the UCS. In 1975, under the government of MR Kukrit Pramoj, a programme offered free medical treatment to low-income citizens, and successive governments implemented healthcare welfare programmes targeting low-income groups and other vulnerable members of society.

The state welfare card programme, a policy of the National Council for Peace and Order government led by Gen Prayut Chan-o-cha, represented the first major attempt to establish formal criteria for identifying and supporting only those classified as poor. The programme was introduced in 2017.

Research by Chatra Kamsaeng, a Thai public policy researcher, discovered that of the 14 million cards issued, only around 3 million were received by individuals who were genuinely poor. Up to 2.7 million people who were genuinely poor did not receive a card.

The study also found some households in the top 20% income bracket were among the beneficiaries of the programme.

The state welfare card is designed to support low-income individuals, with a key eligibility criteria being annual income of no more than 100,000 baht. Under the programme, the government provides beneficiaries with a monthly allowance of 300 baht through an electronic wallet for essential expenses.

In addition, cardholders are entitled to a range of subsidies, including a cooking gas subsidy of 80 baht every three months, power bill support of up to 315 baht per household, water bill support of up to 100 baht per household, and a public transport allowance of up to 750 baht per month.

Why is the eligibility criteria for the welfare card being revised?

According to Vinit Visessuvanapoom, director-general of the Fiscal Policy Office, the rejig addresses two issues. The first is reducing leakage by removing beneficiaries whose financial conditions have improved or whose income exceeds the eligibility threshold, ensuring that limited government resources are directed towards those most in need.

The second issue is reaching those who have been overlooked by adopting a more proactive approach. The Interior Ministry and the Social Development and Human Security Ministry plan to conduct field visits to identify genuinely disadvantaged individuals who may be unable to travel and register on their own, ensuring they can access welfare benefits.

The revised eligibility criteria for the state welfare card introduces four additional categories of ineligibility: students considered under the care of their parents; shareholders or company directors; individuals holding stock or bond investment accounts; and individuals paying life insurance premiums exceeding 12,000 baht per person per year.

The income criteria was also revised, as previously eligibility was based on average household income not exceeding 100,000 baht per person per year. Under the new criteria, eligibility is determined based on individual income, which must not exceed 100,000 baht per person per year.

The new financial asset criteria follows the same rule, evaluating individuals rather than the household. Personal deposits and savings lottery holdings must not exceed 100,000 baht per person.

In terms of real estate, in addition to maintaining the existing limits of no more than 10 rai of agricultural land and no more than 1 rai of non-agricultural or residential land, applicants must also not own a motor vehicle, except for motorcycles with an engine capacity not exceeding 300cc; three-wheeled vehicles; small four-wheeled public-hire vehicles; or vehicles used for agricultural purposes.

Applicants must not hold credit card or loan balances exceeding a combined total of 100,000 baht across all accounts.

Regarding the criterion concerning children claiming tax deductions for their parents, which would disqualify the parents from the welfare card, critics said the measure was unfair.

On June 11, the Finance Ministry agreed to remove the condition, and the entire set of eligibility criteria is expected to be reviewed again and submitted to the cabinet for consideration.

A final decision on all criteria is expected before July 17, which is the scheduled date to announce individuals eligible to receive the card.

New ‘Lemon Law’ to protect buyers from faulty goods

Thailand’s cabinet has approved a draft Lemon Law aimed at strengthening consumer protection by making sellers more accountable for defective goods, allowing buyers to seek repairs, replacements or compensation more easily when products fail within a specified period.

The new legislation shifts the burden of proof from consumers to sellers. Under the proposed law, if a product becomes defective within the legal warranty period, it will be presumed that the defect existed at the time of delivery unless the seller can prove otherwise.

Known formally as the Draft Act on Liability for Defective Goods, the Lemon Law marks a major change in consumer rights. Previously, consumers were largely responsible for proving that a product was faulty. Under the new framework, sellers must take responsibility for inspecting and addressing defects covered by the law.

The cabinet approved the draft law proposed by the Office of the Consumer Protection Board (OCPB) on June 16. The bill will now be submitted to parliament for further consideration, said Supamas Isarabhakdi, the minister attached to the Prime Minister’s Office, who oversees the OCPB.

The government said the law would bring Thailand’s consumer protection standards closer to international norms while helping consumers obtain fair remedies more quickly and avoid lengthy legal disputes and unnecessary expenses.

The law provides four forms of consumer remedy depending on the severity of the issue: repair, product replacement, price reduction and contract termination.

Under the proposed protection period, defects in general consumer goods discovered within six months of delivery, and defects in cars found within one year, will be presumed to have existed from the outset.

Repair timelines are also clearly defined. Sellers must complete repairs for general goods and motorcycles within 60 days, while repairs for cars must be completed within 90 days from the date the product is received for servicing.

If sellers fail to complete repairs within the required timeframe, consumers will immediately have the right to request a price reduction, terminate the contract or claim damages under the law, preventing delays in repair processes.

The law also covers severe defects, such as products suffering system failures that prevent normal operation. In such cases, consumers may request an immediate replacement within the designated period: seven days for general goods and 14 days for electrical appliances and electronic devices from the date of delivery.

For automobiles with safety-related defects that cannot be fixed, sellers will be required to replace the vehicle with a new one of the same model.

The draft bill has already been vetted by the Council of State and has undergone public hearings involving citizens, businesses, and relevant agencies in accordance with Section 77 of the Constitution.

The Lemon Law will apply to transactions between businesses and consumers, business-to-business deals, hire-purchase agreements, credit-financed sales, and exchange contracts. However, it will exclude secondhand goods, live animals, and peer-to-peer consumer sales.