The National Economic and Social Development Board (NESDB) is exploring how to tackle problems associated with the country's ageing population.
Board director Kosit Panpiemras said research shows the demographic situation risks having a critical impact on the country's development. Thailand's fertility rates have fallen, while medical advances are prolonging life expectancy, resulting in an increasingly ageing populous.
The NESDB's 12th population plan will address the situation. "It is a serious issue we must start thinking about urgently," Mr Kosit said.
The number of children aged up to 14 and the number of people aged 15-59 is continuously decreasing, he said, while the NESDB expects the elderly to account for 32% of the Thai population in 2040.
According to official statistics, there are currently 8.4 million elderly people in Thailand, or about 12% of the total population, but their number is expected to exceed 20 million by 2040.
This will create workforce shortages that affect the economy, Mr Kosit said, adding that local administrations will have to play more of a role in caring for vulnerable elderly people.
The population plan will focus on increasing the self-reliance of older people between 2016 to 2035, according to NESDB secretary-general and Deputy Transport Minister Akhom Termpittayapaisit.
"The most important thing is to educate people about saving to achieve stability in the future," he said.
The NESDB supports the establishment of a national policy to support saving for retirement.
The plan, which will be published next year, will also prioritise how to enhance the living conditions of families.
Caspar Peek, United Nations Population Fund (UNFPA) representative to Thailand, said the country should invest in its young people to prepare to become an ageing society.
Working-age people will have to become more innovative to maintain the country's competitiveness, he said.
"The window of opportunity is closing fast and the next five to 10 years will be critical for investing in young people," Mr Peek said.
If the country supports its youth, they will command higher incomes by the time the elderly population has increased significantly. "Therefore they will be able to afford to pay for their care," he said.