Last week, the House of Representatives passed a resolution approving the Draft of the Education Loan Fund Act (YOT), with the key points being:

Interest-Free Student Loans

No penalty for defaulting on payment

No guarantor required

It has retrospective effect on all borrowers and guarantors.

amid concerns that

will encourage Thai people to lose financial discipline and may result in the fund

The EDFA has funding problems in the future.

proposing such a law

may allow politicians to gain popular votes in elections

but to break the rules that are good in society

create a negative impact on Thai society in the long run

Mr. Arkhom Termpittayapaisith

, Minister of Finance, is concerned that

If this law passes both houses

There must be a money management plan.

New ranks in the past

Election Commission used the initial money that the government gave

and manage the capital without using the budget

Most of the money comes from the youth of the previous generation who have graduated.

Then pay back the principal and interest.

Some delays are subject to fines.

to have working capital all the time

Now there's still a Senate procedure.

The Ministry of Finance has to clarify.

Can the law be modified?

It depends on the opinion of the Senate.

Khun Chainarong Kajchapanan,

Fund Manager of the KORT, saw that if the law was enforced

must consider

impact on fund status and

Continued management of student loans because the fund has liquidity from debt repayment of 40 billion baht per year, 6 billion baht in interest and fines, and the fund has 2 billion baht in expenses per year.

An interesting information is that

revealed that the KU Fund, established since 1995, has received a budget of 3,000 million baht as a capital, has been in operation for 20 years, has loaned more than 6.9 hundred billion baht, or 6.2 million students. Those who closed the accounts paid off 1.6 million people died, 6.7 thousand people are studying, 1 million people and are in the process of repayment of 3.5 million people, with 2.5 million defaulters, totaling more than 90 billion baht. Currently, the loan fund Average 4 billion baht per year

Think of a simple trio law.

The fund has 40 billion baht in income from debt repayments per year, 40 billion baht in cash out of new student loans per year, making the fund live for 20 years, and earning 6 billion baht per year from interest and fines. The fund does not depend on government taxes.

Therefore, there is no reason to amend the law to cause problems for the fund.

If this law can be passed

Borrowers who are pending debt of 3.5 million do not have to pay interest.

Plus, get all the interest paid back.

because the law is retroactive

causing the government to find money to pay back the borrower's interest

If going back to all 6.2 million borrowers, the government has to find money to pay back the interest. I don't know how much.

I don't know how Thai politicians think.

Without the penalty for defaulting on debt, I believe that

more than 2.5 million defaulters may have more debt delinquency.

Affects the KKF fund in the future, the fund's income will immediately disappear 6 billion baht per year.

If there is an increase in debt

The capital fund was even lower.

Less money left for new loans

Finally, the fund may run out of money.

I wrote this and I thought about it.

Medical students who have to work for 3 years to spend money after graduation by being a doctor in a rural hospital to treat the poor

All medical students when taking medical examinations

Must have a scholarship contract with the university from year 1 because the cost of producing 1 doctor requires about 5 million baht. The government has to use tax support.

When you graduate, you need a scholarship for 3 years before continuing your studies.

If you don't use the capital, you have to pay the government 4 hundred thousand baht.

It is a good rule of the Thai educational society for a long time.

Why are Thai politicians in this era?

Therefore, do not think of doing good things for the nation better.

Thinking only of raising money without thinking about legitimacy or in this era, tiles will flourish.

"The wind changes direction"