However, the scheme has been criticised as an attempt to woo the 8.5 million SSO members ahead of tomorrow's election. Somsak said that under the five-year scheme, the SSO would put Bt3 billion into accounts at Kasikorn Bank, Siam City Bank and Bank of Ayudhya to allow members to borrow money to buy houses at the scheme's housing estate projects.

He said a low interest of 2.5 per cent would be charged over the first five years with normal bank rates applied thereafter.

Nearly 300,000 people and some 100 housing estate operators had joined the scheme, Somsak said.

The SSO will invest a further Bt10 billion for phase two expansion, he said, adding that the scheme may be further expanded if demand increased. Those interested in applying for the loans need to have been paying into the social security fund for at least one year. They could then submit their chosen house plan to a participating bank in a request for a loan ranging from Bt200,000 to Bt1.5 million, he said. The bank would then consider the loan request according the conditions set by both the SSO and the bank.

The scheme has been criticised over its transparency as some committee members have allegedly asked for fees from the housing estate operators.