On May 13, the Thai Cabinet approved a draft regulation by the Ministry of Finance outlining the criteria, procedures, and conditions for issuing government digital tokens, known as G-Tokens. This initiative allows the Ministry of Finance to issue and sell government-backed digital tokens as a new method for public borrowing.

G-Token is a digital borrowing tool that complements traditional government savings bonds. Managed by the Public Debt Management Office (PDMO), the goal is to make secure, high-yield government investment accessible to the general public—especially younger generations—through online platforms.

This digital approach also reduces the government’s borrowing costs. Currently, issuing traditional savings bonds incurs an issuance fee of 0.03% per bond value, based on regulations by the Bank of Thailand. In contrast, G-Tokens will be issued under the framework of the Digital Asset Business Emergency Decree (2018), regulated by the Securities and Exchange Commission (SEC).

Key Features of G-Token:

  • Definition: A government borrowing tool similar to savings bonds, with public investors lending money to the state.
  • Trial Launch: Planned for July 2025.
  • Value: 1 G-Token = 1 to 100 baht.
  • Total Value: Not exceeding 5 billion baht.
  • Maturity: Maximum of 1 year per issuance round.
  • Return: Comparable to savings bonds, with the PDMO considering additional incentives if necessary.
  • Transferability: No lock-up period (unlike traditional bonds, which are non-transferable for 6 months).
  • Sales Channels: Through securities companies and digital asset exchanges.
  • Trading: Real-time (traditional bond processing takes up to 7 days).
  • Purpose: To finance the 2025 fiscal budget deficit (not linked to the 10,000-baht digital wallet stimulus).

Mr. Patchara Anantasilp, Director of the Public Debt Management Office, stated that the G-Token initiative is still in the development phase in collaboration with the SEC. The Cabinet has granted a 45-day period for detailed planning. The aim is to launch by July 2025.

Patchara emphasized that the G-Token issuance is strictly for budget deficit financing under existing frameworks and unrelated to the government’s proposed 10,000-baht digital wallet stimulus program.