Serious saving campaigns essential to fight huge indebtedness

BANGKOK, Feb 27 (TNA) -- The Ministry of Social Development and Human Security is seriously calling for savings as 91.1% of Thai people are indebted. In a discussion to promote savings for retirees’ life security at the Stock Exchange of Thailand in Bangkok, Gen Anantaporn Kanjanarat said the Thai population reached 65.9 million and included 10.5 million elderly people who formed 16.5% of the total. He said Thailand would completely become an ageing society in 2021 with the elderly accounting for 20% of the total population. According to him, the declining birth rate in the country prompts the government to quickly prepare to cope with the ageing society and savings are a key solution. Household debts are soaring as 91.1% of Thai households are indebted. The percentage is the highest in 10 years. Of the indebted households, 32.4% got into debts due to general expenses and 30.5% due to asset purchases. People of the Generation Y who are new workers aged under 30 are more indebted for credit card usage and personal loans and are causing non-performing loans faster. Gen Anantaporn expressed concern about the situation, saying it reflected poor savings among people. Only 30% of Thai people well prepared themselves for their old age, he said. He suggested people start savings when they are young and seriously save 5-10% of their income. (TNA)