Thaksin outlines plans for crypto sandbox and US trade deal, urges focus on economic recovery

Thaksin Shinawatra discusses plans to allow cryptocurrency transactions in Thailand and ongoing US trade negotiations. He also highlights challenges in Thailand's economic growth and household debt.

Former Prime Minister Thaksin Shinawatra on Thursday delivered a speech at the event “Unlocking Thailand’s Future”, held by MCOT, focusing on the country's economic recovery and the global crisis.

Thaksin mentioned that in collaboration with the Bank of Thailand (BOT), Thailand plans to roll out a national cryptocurrency sandbox within three months, allowing foreign tourists to exchange digital assets into baht for spending. This initiative, which initially started as a pilot project in Phuket, will soon be expanded nationwide. The aim is to attract high-income tourists and generate new capital flow into Thailand's economy.

Thaksin explained that cryptocurrencies like Bitcoin and Ethereum will be accepted in retail and service transactions across Thailand. Tourists will be able to easily convert digital assets into Thai baht for spending at various venues, including shopping malls and airlines, without concerns over market volatility.

“Anyone holding Bitcoin today is already wealthy because its value has increased exponentially. This unlock will bring new money into the economy,” Thaksin added.The former prime minister also addressed Thailand's ongoing trade negotiations with the United States. He stated that while the US tariff policy poses challenges, particularly in the agricultural, SME, and jewellery sectors, the deal is largely focused on balancing competition from imports. Thailand must negotiate a fair deal with the US, aiming for a level of fairness in tariffs, especially against competitors like Vietnam, which has secured a much lower tariff rate of 20%.

Thaksin stressed the need for Thailand to negotiate terms where the difference in tariffs would not exceed 10% between Thailand and its regional competitors, particularly as Thailand’s trade negotiations with the US continue to play a crucial role in protecting local industries and boosting economic performance.

He also noted that Thailand’s GDP growth is currently below its potential by 22-75%, pointing to the fact that the Thai economy should be closer to a $900 billion GDP, rather than the current $600 billion. This underperformance has caused Thailand to miss out on joining the G20 group of leading economies.Thaksin further explained that Thailand’s high household debt is a major issue that has long hindered the economy. He proposed creating Asset Management Companies (AMCs) to purchase household debt, which would enable Thailand to move forward and provide more purchasing power for the Thai people.

Finally, Thaksin remarked that despite global challenges, Thailand’s future could be brighter with the right reforms, including managing the ongoing debt crisis and improving the financial stability of the country.

(2025/07/18-00:00)