Land Bank first target in public sector rejig
PUBLISHED : 27 Jul 2026 at 01:01
The government will begin dissolving a number of state agencies from September as part of a public sector reform programme aimed at eliminating overlapping responsibilities and improving administrative efficiency.
The first organisation to be abolished will be the Land Bank Administration Institute (Public Organisation), with its responsibilities expected to be transferred to the Office of the National Land Policy Board (ONLB).
Deputy Prime Minister Pakorn Nilprapunt said Prime Minister Anutin Charnvirakul had instructed the government to accelerate structural reform of public agencies to reduce duplication of functions.
The Land Bank Administration Institute, commonly known as the Land Bank, was selected as the first agency because its mandate overlaps with those of other organisations and its lifespan has already been extended several times.
Its responsibilities are expected to be consolidated under the ONLB.
The government is also considering dissolving several other agencies with overlapping mandates, including the Strategic Transformation Office, as well as four or five public organisations that have failed performance assessments for several consecutive years.
The process will be phased in to minimise disruption to personnel.
“Many agencies have long duplicated the work of other organisations, while some have been proposed for dissolution for years without any practical action being taken,” Mr Pakorn said.
“The same applies to around four or five public organisations that have repeatedly failed performance evaluations. The government has given them every opportunity to improve, but they have been unable to meet the required standards. It is therefore necessary to consider dissolving them.”
Mr Pakorn said some organisations had failed to implement meaningful reforms, creating obstacles to national development and reducing competitiveness.
Agencies with duplicated responsibilities must be abolished to protect long-term fiscal stability and ensure taxpayers receive more efficient public services.
The government has prepared two options for affected employees: a voluntary early retirement programme for those wishing to leave public service, or redeployment to other agencies for those who want to remain in government.
However, transferred employees would be subject to standard civil service pay and benefits rather than retaining the special entitlements provided under the legislation establishing their original organisations.
Mr Pakorn said the restructuring aimed to bring personnel under a single national management framework while reducing duplicated benefits that had increased personnel costs.