Baku:The government has given the green light to the "One Home Per Person Plus" loan program, which has been allocated a budget of 50 billion baht. This initiative enables borrowers to obtain loans of up to 3 million baht with a repayment period extending up to 40 years. The program is designed to assist low- and middle-income earners in purchasing their homes and is projected to boost the economy by 125 billion baht.
According to Thai News Agency, Ms. Lalida Periswiwatana, Deputy Spokesperson for the Prime Minister's Office, announced that the Ministry of Finance, led by Deputy Prime Minister and Minister of Finance Mr. Ekniti Nitithanprapas, proposed the project under the Government Housing Bank (GHB). The initiative aims to provide affordable housing loans with interest rates tailored to borrowers' repayment capabilities. A Public Service Account (PSA) will be used to ensure the project's transparent management and auditing.
The loan program is an extension of the government's previous successful housing initiatives, such as the Happy Home loan project and the purchase-build loan project, which saw full disbursement of allocated funds. The new project allocates 50 billion baht to support home purchases priced at no more than 3 million baht. It covers various housing needs, including buying land with a house, constructing a house, and acquiring housing on government land under specified conditions. Loans are also available for housing-related equipment subject to bank criteria.
Initial interest rates are specially categorized based on borrower income, transitioning to the GHB's prime retail lending rate over time. The GHB will evaluate borrowers' repayment abilities to prevent excessive financial burdens once the special rates expire.
Ms. Lalida further mentioned that the loan application period will commence immediately following Cabinet approval and will continue until December 30, 2030, or until the full budget is disbursed, with possible adjustments in the project's duration. The initiative is being executed without additional government funding. The PSA account will separate policy-related performance from commercial transactions, allowing transparent oversight and evaluation. Observations from the National Economic and Social Development Council and the Bank of Thailand will guide risk management and compliance with housing loan regulations.
The project not only facilitates home ownership but also aims to revitalize the real estate sector and related industries, such as construction and material production, thereby stimulating economic activity. The government emphasizes creating opportunities for home ownership while ensuring reasonable repayment obligations and avoiding excessive public debt or increased government subsidies.