Krung Thai Bank recommends reducing inequality in Thai society, ESG issues that must be urgently addressed. Aiming to develop with a digital society

Krungthai Compass, Krung Thai Bank, released a report on inequality in Thai society. It is an important ESG issue that needs to be urgently addressed. Reflecting from the latest report by UNDP, Thailand still has problems. income distribution quite unequal The poor and low-income group accounted for 15.2 percent of the country’s total income, while the average share was 17.6 percent in the Asia-Pacific region, reflecting Thailand’s income inequality over the past 30 years. not developed as well as it should have

It is recommended to keep an eye on 4 important factors that may exacerbate inequality problems in Thailand in the next period: 1) high household debt; but income grows slowly 2) aging society 3) Climate change 4) technological advancement Thailand should draw on the strengths of digital economy development to combine with the power of new technologies. to overcome challenges from inequality Increase opportunities for job creation, income distribution, access to capital. savings and investments such as the extension of the NDID system base, PromtPay system and PromptBiz

Thailand is outstanding in alleviating multidimensional poverty. There is a multidimensional poor ratio in 2019, accounting for 0.6 percent of the population. has focused on alleviating poverty by targeting the poor low income earners and vulnerable groups such as the government welfare card program Started in 2017, including social welfare programs to increase access to education and health services. While other countries in the region are experiencing more severe multidimensional poverty. The main factor that reduces the opportunity to escape from the poverty of the Thai poor is the inequality in property ownership. as well as the lack of a comprehensive and adequate pension system for low-income earners.

creating new opportunities Will help solve the problem of income distribution in another way Krung Thai Bank found that the opportunity to access electronic financial systems and information technology in Thailand is considered to be at a level close to leading countries in Asia. The rate of access to digital financial services as well as the basic network of technology It has a similar proportion to South Korea, Singapore, China, and is also superior to its neighbors in ASEAN. According to the World Bank in 2021, Thailand has access to electronic payments, accounting for 65.6 percent of the population, second only to leading Asian countries. And is considered the second in ASEAN after Singapore.

by the rate of access to mobile phone services Thailand has the highest proportion in Asia with a ratio of 168.8 devices per 100 people or approximately 2 devices per person. Japan and China, Thailand should use the basics of digital technology. solve problems for the poor Reduces transaction costs as well as promoting low-income earners to have convenient and secure channels for savings and payments, applying for loans through the Mobile Banking system, simply conducting transactions via a mobile phone. Increase opportunities for the poor to communicate, learn, work, use as a business channel. To help increase income and improve the status of low-income people in the long run.

Source: Thai News Agency