Published on January 18, 2006

The Civil Service Commission has been inundated with requests for assistance from officials

overwhelmed with debt, its deputy secretary-general said yesterday.

Vanida Nualboonrueng said about 37,000 civil servants had signed up for the debt-relief programme unveiled by the government late last year.

Most of the requests came from mid-ranking officials at the Public Health, Agriculture and Interior ministries, she said. Their monthly debt repayments ranged from Bt6,000 to Bt30,000 and were a mix of home mortgages, car loans and personal loans, Vanida added.

Their expenses exceeded their income and this could lead to spiralling debt burdens as charges for late payments piled up, interest fees rose and more loans were taken out to finance old debts, she added.

The commission is processing the data and will submit a proposal to the Cabinet.

Those who had signed up for the programme were hoping for soft loans, a debt moratorium and job training that would enable them to find second jobs. They were also hoping to consolidate their debts with a single creditor, she said.

Piyanart Srivalo

The Nation

Post your comment to this story here