Department of Enforcement Unveils 2025 Debt Resolution Plan Exceeding Targets

Bangkok: The Department of Enforcement has unveiled its strategic plan for 2025, aiming to address the debt issues faced by Thai citizens, surpassing initial targets. This announcement follows a successful mediation of 6,879 cases, representing 97% of cases handled.

According to Thai News Agency, Seksan Suksaeng, the Director-General of the Department of Enforcement, outlined the plans and activities for the fiscal year 2025. He noted that the economic slowdown has resulted in job losses, escalating debt issues, and an increase in lawsuits. As of October 31, 2024, there were 4,171,644 civil and bankruptcy cases in the enforcement stage, with assets valued at over 19.109 trillion baht, amounting to 4.02% of the GDP.

During October to December 2024, 7,072 cases entered the mediation process, involving assets worth 3,623 million baht. Of these, 6,879 cases were successfully mediated, with assets amounting to 3,173 million baht, achieving a 97.27% success rate. This mediation effort has reduced expenses for individuals by approximately 112 million baht.

The Department has also addressed issues related to the Student Loan Fund (SLF), categorizing debtors into those who have fully paid their debts and those preparing income and expenditure accounts. Many SLF debtors hesitate to engage in debt restructuring due to enforcement fears. In 2025, it is anticipated that more SLF debtors will participate in restructuring to extend repayment periods. Currently, there are 51,254 SLF cases, with 7,892 cases where enforcement was suspended and 14,862 cases where enforcement was withdrawn or sold. Additionally, 1,551 cases saw money returned to debtors, totaling 54 million baht.

The Director-General announced plans to review and amend laws to align with current situations, specifically highlighting the expected enactment of a revised Bankruptcy Act in April 2025. This law aims to facilitate business rehabilitation for small businesses similarly to large businesses.

The Department is also enhancing public service efficiency through digital innovations. By May 2025, it expects to complete systems like the automatic receipt and payment account system and the e-offering Auction system. By September 2025, the automatic seizure system and the electronic asset placement system are anticipated to be operational.

Seksan elaborated on the electronic asset placement system, which assists debtors in making payments even when creditors are uncooperative, thus preventing defaults. This system is particularly beneficial for tenants who face difficulties in paying rent due to uncooperative landlords.

Furthermore, the Department has addressed conflicts between old residents and new property buyers, urging new buyers to follow enforcement protocols and coordinate with enforcement officers for eviction processes.