International Property

Thai government pushes public-private partnership for housing scheme

PUBLISHED : Tuesday, 29 August, 2017, 1:32pm
UPDATED : Tuesday, 29 August, 2017, 7:21pm

By Chatrudee Theparat

The Thai government will let domestic and foreign investors collaborate with government agencies in developing housing projects through the public-private partnership (PPP) scheme for low-income earners and the lower-middle class under the Pracha Rat Home scheme.

Deputy Prime Minister Somkid Jatusripitak has authorised the state-owned GH Bank and the National Housing Authority (NHA) to design the housing development plan for low-income and lower-middle earners nationwide.

The two organisations are required to complete the plan within six months.

“Previously, I authorised GH Bank to join state agencies and private firms to build housing projects for low-income earners, but the initiative has yet to get off the ground,” said Mr Somkid.

“The government is very ambitious to help those low-income earners, lower-middle class people as well as state officials who have just started working, to have their own houses or empower them to at least rent the houses. So the public-private partnership scheme will be allowed in this ambitious plan.”

Mr Somkid said demand for housing projects remained high in Thailand, as many low-income earners and lower-middle-class people have yet to own their own houses, adding the PPP, once allowed, would be good for the property market.

He said the PPP for housing projects would be introduced as soon as possible.

“The cabinet is expected to approve the new measures to help low-income earners soon,” said Mr Somkid.

He said the government was also committed to supporting the development of housing projects for elderly people, as Thailand has become an ageing society.

According to the National Economic and Social Development Board, Thailand has 11.2 million elderly people accounting for 17 per cent of the population. By 2036, that number will rise to 19.5 million or 30 per cent of the total population.

Read the original article at Bangkok Post