The Government is preparing measures to deal with the eurozone debt crisis, so that Thailand will be affected as little as possible by the situation. Among the measures are maintaining the stability of the baht to help exporters and ensuring that inflation and prices of products will not be too high.
The measures were discussed by a meeting of economic ministers, chaired by Prime Minister Yingluck Shinawatra at Government House on 4 July 2012. The Deputy Prime Minister and Finance Minister, Mr. Kittiratt Na-Ranong, said that the foreign currency exchange rates remain stable and are not a factor leading to inflationary pressure. Thailand’s capital market also enjoys stability.
Although crude oil prices in the world market have increased, he said, the Government believed that it would be able to maintain retail oil prices. If necessary, it might use money from the Oil Fund to maintain domestic retail oil prices. The Oil Fund’s red figures have been reduced from more than 30 billion baht to 16 billion baht.
Apart from accelerating public sector spending, Mr. Kittiratt said that the Government had instructed relevant agencies to seek new export markets to replace the European Union. The new markets include ASEAN, the Middle East, and East Asia.
Unemployment rate in Thailand is still low.
However, labor skills needed to be developed in response to the labor market demand. In this connection, the Ministry of Labor, the Ministry of Industry, and the Ministry of Education were told to promote skill development by providing training for workers.
In order to enable the tourism sector to earn more income, Mr. Kittiratt said that Don Mueang Airport will be reopened for services on 1 August 2012, instead of 1 October 2012. The reopening of Don Mueang will facilitate the movement of passengers and ease congestion at Suvarnabhumi Airport. According to a recent Cabinet decision, Suvarnabhumi will be a hub airport for full-service and connecting flights, while Don Mueang will serve low-cost carriers and accommodate both domestic and point-to-point international flights.
Another measure to help Thailand to cope with the eurozone crisis is that the Government will place emphasis on three groups of products to prevent them from being adversely affected. The three groups, which have been exported mainly to Europe, include textiles and garment, gems and jewelry, and electronics items. Financial institutions under the supervision of the Ministry of Finance will be asked to extend credit, or provide guarantee, for exports to target countries.
The Export-Import Bank of Thailand has prepared 100 billion baht in credit for entrepreneurs and another 40 billion baht in credit guarantee for exports. The funds will help in risk management for exports to Europe.
Thailand aims to push its games and content industry
After almost a year under the pandemic, the number of game players in Thailand rose to 32 million and helped the market generate over a billion dollars in 2020, according to NewZoo, an international analytics and market research group.
Thailand’s H1 Investment Applications rise 158% in combined value, BOI says
Japanese firms ranked first with 87 projects worth 42.8 billion baht, followed by investments from the U.S. with 18 projects worth 24.1 billion baht, and China with 63 projects worth 18.6 billion baht.
In the first six months of 2021, Thailand’s investment applications increased 14% from the year earlier period in terms of the number of projects, and 158% in combined value, led by increasing foreign direct investment (FDI) applications, sustained growth in target industries including the electronics and medical sectors, as well as in power generation, the Thailand Board of Investment (BOI) said.(more…)
Can border reopening revive tourism in South-East Asia?
In Thailand, where pre-pandemic tourism accounted for 11-12% of GDP, the country lost an estimated $50bn last year as Covid-19...
Thailand dropped from UK’s tough covid-19 travel ‘red list’
Earlier, Thailand was listed among countries with high infection levels that were put on a ‘red list’, requiring arrivals to...
The ASEAN-Russia Trade and Investment Cooperation Work Program
ASEAN and Russia recently agreed to enhance and widen economic cooperation at the 10th ASEAN Economic Ministers (AEM)-Russia Consultations held...
Flexible Workspace Startup Worklounge Debuts with 20+ Luxury Member Lounges in Thailand
Worklounge launches a premium membership granting remote professionals and executives access to exclusive hotel lounges across Thailand. Their platform is...
5 insights to guide ASEAN’s digital generation in a post-pandemic world
We surveyed 86,000 people from six ASEAN countries about their views for a post-pandemic world. The ASEAN Digital Generation Report...