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Bangkok Post
Bangkok Post
Business
PHUSADEE ARUNMAS

B17bn flows via welfare card scheme

The Commerce Ministry says the state welfare card project has helped circulate up to 17 billion baht for local economies, and officials aim to improve the buying system and increase the number of shops to reach more low-income consumers.

Deputy Commerce Minister Sontirat Sontijirawong said the rising number of low-income earners and the amount of money being circulated in the system shows that the government is on the right track to increase purchasing power to help stimulate local economies.

He said the Commerce Ministry will increase the number of Thong Fah Pracha Rat shops and the number of electronic data capture (EDC) machines, which are used to read the welfare cards.

The ministry aims to install EDC machines at 18,000 shops by the end of November. There are 20,000 shops nationwide, Mr Sontirat said.

Under the state welfare scheme, low-income earners are given welfare cards to buy low-priced consumer products at Thong Fah Pracha Rat and other designated shops. The financial aid includes discounts for rides on public buses and trains and utility bills.

The government transfers 200-300 baht a month to each card. Recipients earning under 30,000 baht a year will receive a monthly living allowance of 300 baht, and those with earnings in the range of 30,000-100,000 will get 200 a month.

The Thong Fah Pracha Rat shops and state welfare scheme are part of a 41.9-billion-baht aid package approved by the cabinet on Aug 29. Apart from help with low-priced consumer goods, the package also includes allowances for rides on public buses and trains, as well as subsidised utility bills.

The Commerce Ministry's Trade Policy and Strategy Office has proposed increasing the number of food items on the list of products that can be bought via the state welfare project.

The proposal was made after the office found that food items made up 45% of total expenses for low-income earners, according to a survey of the Low-Income Consumer Price Index, which aims to measure the spending of the poor.

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