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Table 1 Costs of Thaksin’s programs and their financing
Program Year Cost
(billion
baht)
$
(million)
Method of financing
Evaluative studies
1 Universal Health Care
Program (extends health
insurance to those not
covered by social
insurance for private
sector employees and
by civil servants’
benefit scheme, covers
a total of 46–48 million
people)
2002
2003
2004
2005
2006
…
2010
27.6
30.5
33.6
40.9
54.4
…
89.4
641.80
734.40
834.37
1015.65
1434.27
2767.33
Budget
Anchana and Viroj
(2007) show that
the burden of healthcare
cost for the poor is
entirely eliminated.
For the near-poor,
without the scheme, 1%
of the total population
would cross over to
the poor, or the poor
population would
increase by 10%.
2 Agricultural Debt
Moratorium (Farmers
are excused from
repaying their
borrowings from Bank
for Agriculture and
Agricultural
Cooperatives (BAAC)
for three years, and
from paying interest
during the period.)
2001
-
2003
15.3 355.78 The debt stayed on
the BAAC’s
balance sheet for
the duration of the
moratorium.
The amount shown
here was the interest
cost waived to the
farmers during the
moratorium, which
was paid out of
the budget to
the BAAC.
The objective was to
inject substantial
purchasing power into
the economy. Suchanan
(2004) shows that there
was no impact on
consumption, and
a negative impact on
investment, because
farmers opting to be in
the program could not
take out loans.
3 One-million-baht-pervillage
Fund (Each
village got a one-time
grant of one million
baht in 2001, which
could be used to extend
credit to villagers
according to the rules
set up by the village
committee.)
2001 69.6 1564.85 The amount paid
out to the villages in
2001 was borrowed
from the Government
Savings Bank and,
therefore, was
off-budget. This
loan was repaid out
of the budget over
the next 8 years.
Worawan and Bawornpan
(2008) show no impact
on income, expenditure,
or poverty.
4 OTOP Program (One
tambon (=commune)
one product scheme.
Promotes the
production of a product
from each tambon.
Government contributes
marketing promotion.)
2003
2004
2005
2006
0.7
1.3
0.7
1.0
16.86
32.28
17.38
26.37
Budget
Sources: Item 1: Budget Bureau; Item 2: BAAC; Item 3: Government Savings Bank: Item 4: Small and Medium
Enterprise Promotion Bureau, Ministry of Industry. Baht converted to dollars at current exchange rates.
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