Govt to tackle informal debt problems

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BANGKOK, June 12 (TNA) - Senior officials from Finance Ministry and the Bank for Agriculture and Agricultural Cooperatives (BAAC) on Monday visited a model community in addressing informal debt problems in Nakhon Sawan province ahead of today’s cabinet meeting in this lower northern province.

Deputy Finance Minister Wisut Srisuphan and executives of the Bank for Agriculture and Agricultural Cooperatives (BAAC) visited Baan Khao Hinkling community in Nakhon Sawan province. It is a model community that adopted the Finance Ministry policies to set up the community enterprise for production. The operation of the community enterprise is aimed at creating jobs for farmers and adding value to farm products, so local people have supplementary income and it helps solve informal debt problems.

The deputy minister reiterated that the government intends to develop grassroots economy and upgrade local people’s quality of life. This community model will be expanded to other communities nearby.

To address the informal debt problems, the ministry works with the police and relevant parties to convince creditors to enter into the system. It is expected to achieve the plan within two months.

Meanwhile, the BAAC has prepared 1.6 billion baht to support farmers to build barns for storing unhusked rice and selling it when the rice price is proper.

The bank will offer loans for 10,000 farmers and agriculture institutes across the country. Each farmer will receive a maximum loan of 150,000 baht and a maximum of 3 million baht will be granted to each agriculture institute for construction or repair of their barns. Storing rice grains in the barns will help prevent rice oversupply and stabilize the rice prices in the market. (TNA)