1. Affordable Housing Policies and Programs Thailand

2. Affordable Housing Policies and Programs Khan Prachuabmoh, President Government Housing Bank Thailand January 27, 2010

3. Demographics – Thailand Population – 65 million Population growth – less than 0.5 per cent per year Migration increasing urban housing needs 36 per cent – urban population GDP per capita - $US4,072 Affordable Housing Policies and Programs - Thailand

4. Underlying theme - HM the Kings sufficiency economy initiatives 1997 and global economic crisis Moderation Reasonableness Need for risk self-immunization or built-in resistance Affordable Housing Policies and Programs - Thailand

5. Housing Policies No comprehensive national housing policy 3 main government units implement government middle and low-income housing programs Government Housing Bank (GH Bank), National Housing Authority (NHA) and Community Development Organization Institute (CODI) Private sector provides housing from low-income to multi-million baht homes

6. Affordable Housing Policies and Programs - Thailand New Policies Cabinet approved National Housing Policy Committee – May 28, 2008 Major responsibility of NHPC – oversee formulation of comprehensive long-term national housing policy No more reliance on individual governments housing policies

7. Affordable Housing Policies and Programs - Thailand Specialized Financial Institution (SFI) – Ministry of Finance Major emphasis – lower and middle income mortgages Total Assets Bt 692 billion ($US 21.6 billion) (12/31/09) Net income Bt5 billion ($US157 million) (12/31/09) 37.3 per cent of all outstanding individual housing loans (2009) About GH Bank

8. Affordable Housing Policies and Programs - Thailand Government Pension Fund members housing loans Baan Eur-Athorn Board of Investment (BOI) low-income housing programs Special GH Banks Housing Loan Programs

9. Affordable Housing Policies and Programs - Thailand Special GH Banks Housing Loan Programs GH Bank First Home Project Energy efficient projects Saving for future home projects

10. Affordable Housing Policies and Programs - Thailand Assuring shelter for all residents in Thailand Operates as state enterprise Rental apartments, condominium, government employee housing Currently, primarily acts as an enabler between government and private sector National Housing Authority (NHA)

11. Affordable Housing Policies and Programs - Thailand Project to build 600,000 homes - 2005 Scaled down – currently 200,000 under construction Government subsidies granted to private sector developers Houses sold at affordable prices GH Bank and Government Savings Bank - buyer financing NHA – Baan Eur-Arthorn Project

12. Affordable Housing Policies and Programs - Thailand Community Organization Development Institute (CODI) Finance slum-area communities Develops community-based savings programs and organization through co-operatives Funded from Government budget Baan Mankong program – very successful Since 2003, CODI has funded more than 77,000 households in more than 245 districts throughout Thailand

13. Affordable Housing Policies and Programs - Thailand Well developed private-sector housing industry Provide most homes from low-income sector to multi-million dollar homes Commercial bank financing readily available – 50 per cent market share Private-sector developers and commercial banks

14. Affordable Housing Policies and Programs - Thailand Keys to future growth – policy issues Reducing land, construction and other costs Further developing housing-financing markets Developing secondary housing markets Housing finance education for the public

15. T h a n k y o u www.ghb.co.th