Analysis: Why Thailand is at a policy crossroads as ‘last man standing’ Shinawatra becomes prime minister

What’s next for the digital wallet proposal?

Multiple sclerosis Padangtan She has already had to answer questions about whether she would abandon a key Pheu Thai election policy promise, a digital wallet plan aimed at stimulating the economy and reducing the cost of living for citizens.

The wallet would give every Thai over 16 10,000 baht ($290) to spend at local stores. But nearly a year after the government implemented it, the policy remains stagnant despite about 30 million Thais signing up for it, which was expected to cost about $14 billion.

In his first press conference as the nation’s leader on Sunday, Padangtan He said the government needed to do more “research and listen to other options” but said it would not abandon the plan.

There are questions about how the policy is financed, its impact on inflation and its effectiveness in stimulating a sluggish economy.

The plan also presents broader legal issues that could present pitfalls for inexperienced leaders.

“There are concerns about the policy, such as possible violations of the National Fiscal and Financial Discipline Act or allegations of improper use of the state budget,” Mr Somchai said.

He added that while the program might still go ahead, the government might need to revisit who the grant is targeted for — tweaking it to cover only the vulnerable — and where the funding comes from.

Dr Yuttaporn Issarachai, a political scientist at Sukhothai Thaimatirat Open University, said public sentiment was also crucial for Pheu Thai, which has seen declining support in recent years but managed to stay in power despite failing to win the last election.

“Digital wallets are a crossroads for Pheu Thai. In a sense, if they want to go back, they can’t because they have to be accountable to the public,” he said. “If this plan is cancelled, it will definitely affect the public’s trust in the Pheu Thai party.”

The government will seek to ensure it is immune to legal scrutiny to ensure its own survival. This may lead to longer or severe delays in consultations on other major policies rather than outright cancellations, said Dr. Titipol Padivanichi, director of the Regional Human Rights Center at Ubon Ratchathani University.

“Thaksin and Ong Yingluck probably don’t want to risk making a legal mistake,” he said. Padangtan Her nickname.

Other populist policies advocated by Pheu Thai before the election, such as raising the minimum wage, have yet to be implemented.

To amend such a law would require agreement from multiple stakeholders, including the private sector. Mr Somchai said reaching consensus was a challenge, again undermining public confidence in the party’s populist agenda.

“Despite clear policy, such changes are quite difficult. I think in the future the Election Commission should prohibit raising the minimum wage as a policy for political campaigns,” he said.