Thailand’s struggle with informal debt likened to modern-day slavery

The struggle with informal debt, described as a form of modern-day slavery, has been prioritised on a national level by Srettha Thavisin, the Prime Minister. A vast number of individuals are trapped in both formal and informal debt cycles, with interest rates for the latter often surpassing the 15% legal limit. The government’s estimated informal debt stands conservatively at 50 billion baht, according to PM Srettha.

He remarked during a press conference on the national agenda and the measures to tackle informal debt last month, “The government, in cooperation with administrative organisations and the police, will act as an intermediary to ensure equitable treatment for both creditors and debtors. When the government has revived the economy, people should be able to escape these cycles of perpetual debt.”

The debt problem is further complicated by…