Thailand’s poorest hail US$14 billion cash handout scheme - ‘we can breathe’. Despite early success, Thailand’s growth has stagnated – as flashy developments siphon resources away from innovation and productivity | South China Morning Post

Asian Angle | Why Thailand failed to escape the middle-income trap

Published: 12:30pm, 20 Oct 2024

Despite early success, Thailand's growth has stagnated – as flashy developments siphon resources away from innovation and productivity

Despite being one of the first populous Southeast Asian countries to achieve middle-income status in the early 1990s, Thailand has struggled to escape the middle-income trap. Its gross domestic product per capita last year was about US$7,000 – just over half of China and neighbouring Malaysia.

The Asian financial crisis in 1997-98, which originated in Thailand, savaged the country's economy, destabilised its banks and financial system, and set back its development prospects. It took Thailand nearly a decade to regain its pre-crisis level of GDP per capita. Since then, growth has averaged just over 4 per cent annually – too low for a middle income economy.

Last month, the World Bank released its World Development Report 2024 titled "The Middle-Income Trap". The report highlights the central challenge for economies like Thailand's: while high investments and technology diffusion can elevate a country from low- to middle-income status, advancing to high-income status – with a GDP per capita of at least US$14,000 – requires developing domestic innovation capacity.

Thailand's poorest hail US$14 billion cash handout scheme - 'we can breathe'

Critics say the move to give Thailand's poorest a US$300 cash subsidy papers over structural issues that are holding back the economy

Published: 5:26pm, 4 Oct 2024Updated: 6:31pm, 4 Oct 2024

Cooking oil, rice and fertiliser were the first purchases made by 74-year-old Sopak Ruangsang with her 10,000 baht (US$300) cash subsidy, one of the 14.5 million poorest people in Thailand to benefit from an initial round of the kingdom's biggest ever direct handout.

Sopak next paid down debts and helped neighbours in her close-knit community in Isaan region who did not qualify for the cash handout this time around.

"After that, I helped pay for my grandchildren's school fees and that's pretty much all of it gone," she told This Week in Asia.



Visa-free travel across South East Asia has detail devils to resolve. Thailand’s initiative to secure a “6 countries, 1 destination” visa policy with her neighbors has received the thumbs-up as desirable. Of course, the devil hides in the detail which has not yet been agreed. For example, Vietnam has notoriously complex immigration rules, whilst Cambodia charges a tourist fee of US$30 for foreigners outside the ASEAN network. Laos has a fee structure for entry at its border posts, but has apparently now agreed with Thailand to abolish charges in the interests of an expected surge in tourism and cross-country trade. - Pattaya Mail

Visa-free travel across South East Asia has detail devils to resolve

Pattaya MailOctober 22, 2024

International tourists are snapped in a picturesque region of Vietnam.

Thailand's initiative to secure a "6 countries, 1 destination" visa policy with her neighbors has received the thumbs-up as desirable. If implemented, cross-border travel would promote tourism and economic collaboration between Thailand, Cambodia, Laos, Malaysia, Vietnam and Brunei. Following the "Schengen principle", a single visa would permit subsequent entry to other cartel member states.

Of course, the devil hides in the detail which has not yet been agreed. For example, Vietnam has notoriously complex immigration rules, whilst Cambodia charges a tourist fee of US$30 for foreigners outside the ASEAN network. Laos has a fee structure for entry at its border posts, but has apparently now agreed with Thailand to abolish charges in the interests of an expected surge in tourism and cross-country trade.

Hoang The Han, director general of Dai Vet International Tourism, said that Vietnam had the most to gain from the "6 countries, 1 destination" policy as the nationals of only 25 countries were currently allowed no-hassle entry. Thailand, by contrast, allows visa-exempt and free entry for 93 countries including all those with large contingents of leisure-seeking tourists. Currently, 70 million visit the region annually, with Thailand and Malaysia taking more than half of the US$90 billion estimated revenue.

Professor Thitinan Pongsudhirak, based at Chulalongkorn University, said that several security concerns still had to be resolved as member states had very diverse immigration-related policies. For example, Thailand will next year introduce a prior, automated entry requirement for all visa-free travel. But the authorization is specific to Thailand. What happens under the proposed policy if a tourist first enters Cambodia but then crosses to Thailand?

The Thai foreign ministry believes that all related concerns can be sorted, but that the initial "6 countries 1 destination" policy will likely be a bi-lateral agreement with Vietnam or Cambodia. A quick resolution across the region is unlikely. Thus, agreement will need to be reached on the data base identification of criminal elements who would be quick to exploit ambiguities in specific countries. Best to make haste slowly.



Fresh Push to Send Thaksin Back to Jail Intensifies. The Thai political landscape is witnessing yet another ripple as a fresh move by former Democrat MP Charnchai Issarasenarak seeks to have ex-Prime Minister Thaksin Shinawatra returned to jail. ASEAN NOW



 

The Thai political landscape is witnessing yet another ripple as a fresh move by former Democrat MP Charnchai Issarasenarak seeks to have ex-Prime Minister Thaksin Shinawatra returned to jail.

 

Thaksin, a prominent figure in Thailand's political scenario and father of current Prime Minister Paetongtarn Shinawatra, has come under scrutiny once more for allegedly circumventing his jail term.

 

Having been granted a royal pardon last year upon his return from a self-imposed 17-year exile, Thaksin's initial eight-year sentence for power abuse was reduced to a single year.

 

However, it is claimed that Thaksin has not served this year-long sentence in full, avoiding physical incarceration altogether. Instead, he spent six months in a private ward at the Police Hospital before his release on parole earlier in the year, sparking accusations of legal manipulation.

Charnchai is appealing to Thailand's Supreme Court to rule retroactively, asserting that Thaksin had utilised his influence to evade jail, a move that is "categorically against the law."

 

The crux of the matter lies in whether the Corrections Department legally transferred Thaksin to the hospital. Normally, such a transfer would necessitate prior approval from the Criminal Court, something that allegedly did not occur in this case, regardless of Thaksin's reported "critical illness."

 

Should the Supreme Court rule in favour of Charnchai's petition, Thaksin could face returning to prison to complete his sentence. Further, Corrections Department Director-General Sahakarn Petchnarin could also face misconduct charges if found complicit.

 

This development adds another layer to the saga surrounding the Shinawatra family and their ongoing influence in Thai politics. The outcome of this legal challenge will undoubtedly impact the country's political narrative in the coming months, reported Thai Newsroom.

 

Picture courtesy: Thai Rath

 

-- 2024-10-22

Newin Rejects Thaksin's Casino Plan for Thailand. In a significant political development, Newin Chidchob, a key political figure in Thailand, has openly dismissed Thaksin Shinawatra's proposal to legalise casinos. This decision came out during a private discussion between these two influential persons earlier this month. ASEAN NOW

Picture courtesy: Sanook

 

In a significant political development, Newin Chidchob, a key political figure in Thailand, has openly dismissed Thaksin Shinawatra's proposal to legalise casinos. This decision came out during a private discussion between these two influential persons earlier this month.

 

Thaksin, father of current Prime Minister Paetongtarn Shinawatra, has been trying to gain support for his casino initiative as part of larger entertainment complexes in popular tourist destinations such as Bangkok, Phuket, and Pattaya, where gambling is currently illegal. These proposed casinos would be part of grand entertainment centres aiming to attract tourism and boost the economy.

 

Despite Thaksin's efforts, Newin maintained a clear stance against the casino plan, expressing concerns over potential social and economic issues, such as debt and addiction among the public. Newin's stance is pivotal since his Bhumjaithai Party holds considerable influence within Thailand's ruling coalition, which includes Thaksin's Pheu Thai Party.

However, it is understood that Newin is not entirely against the notion of building entertainment complexes. He may support such projects on the condition that they exclude gambling activities. This stipulation underscores a key difference in vision between the two political figures.

 

Thaksin has been under scrutiny for potentially overstepping legal and political boundaries by allegedly wielding undue influence over his daughter's government and coalition partners. In light of this, investigations are already underway by several bodies, notably the Election Commission and Constitutional Court, to examine these allegations further, reported Thai Newsroom an Reuters.

 

In conclusion, while Thaksin continues to push forward ambitious projects, including the joint Thai-Cambodian initiative in the Gulf of Thailand, his casino plan faces a formidable challenge with Newin's rejection. New developments in this political story could significantly impact Thailand's legal and economic landscape in the near future.

 

-- 2024-10-21

Drunk Porsche Driver Offers B200,000 Settlement, Victim’s Father Questions Charges. Shockingly, the driver, who was visibly intoxicated, did not immediately help the injured pair. Instead, he reversed the car, running over Mr. Musa a second time before pulling over to the side of the road. ASEAN NOW

Foreign tourists caught disposing trash in Pattaya Sea ignoring warning, sparks online outrage. PATTAYA, Thailand – Social media erupted in criticism after TikTok user @yotin224 posted a video showing a group of foreign tourists, reportedly from India, carelessly throwing bottles into the sea at Pattaya Beach on October 18. Despite being warned in English, the tourists continued their littering behavior, prompting the poster to film the incident as evidence and threaten to contact the police. The tourists eventually left the beach but not before mocking the situation without showing any remorse. - Pattaya Mail

 Foreign tourists caught disposing trash in Pattaya Sea ignoring warning, sparks online outrage

Pattaya MailOctober 19, 2024

Social media users are outraged after a video surfaced of foreign tourists, allegedly from India, throwing bottles into Pattaya Beach despite warnings.

PATTAYA, Thailand – Social media erupted in criticism after TikTok user @yotin224 posted a video showing a group of foreign tourists, reportedly from India, carelessly throwing bottles into the sea at Pattaya Beach on October 18. Despite being warned in English, the tourists continued their littering behavior, prompting the poster to film the incident as evidence and threaten to contact the police. The tourists eventually left the beach but not before mocking the situation without showing any remorse.

The video, which has garnered over 1.4 million views, sparked outrage among viewers, many of whom expressed their dissatisfaction and called for the tourists to face legal action. Yothin Innoy or Juy, the individual who recorded the clip, stated that he had approached the tourists to pick up the bottles and urged them not to litter, but they ignored his pleas.

TikTok user Yothin Innoy or Juy filmed the incident, capturing the tourists' disregard for cleanliness and threatening to report them to the authorities.

Pattaya police are investigating the incident, reviewing CCTV footage to identify the littering tourists and potentially take legal action against them.

Pattaya police have reached out to Yothin for further details and are reviewing CCTV footage to identify the tourists. If they have not yet returned to their home country, legal action will be taken as a precedent. Yothin also urged both Thai and foreign tourists to help keep the beaches clean to ensure they remain beautiful and enjoyable for everyone.

Foreign 'Mafia' Harass Tourists in Pattaya, Taunt Local Police. In Pattaya, tensions are rising as foreign mafia members have been harassing restaurant customers and showing blatant disregard for the law. ASEAN NOW



 

In Pattaya, tensions are rising as foreign mafia members have been harassing restaurant customers and showing blatant disregard for the law.

 

The latest incident occurred in Soi Pattaya Tai 17, where a foreign man, believed to be of Burmese origin, regularly enters a restaurant demanding money from tourists.

 

When confronted by the restaurant owner, Ms. Saipirun (surname withheld), the man arrogantly replied that he was asking the customers, not her, showing no respect for the local business.

Ms. Saipirun explained that this individual has been coming to her restaurant daily, causing discomfort among the patrons. "When I asked him to leave, he just shrugged it off," she said. "He claimed that he wasn't afraid of anyone, including the police." On one occasion, she threatened to call the police, but the man confidently retorted that he wasn't afraid of the authorities and encouraged her to call them.

 

Local residents have also expressed their frustration regarding the ongoing harassment. A concerned Facebook user recently posted about the situation, asking if any agencies could take serious action against foreign beggars who not only request money but also display inappropriate behaviour.

 

Many have reported similar experiences, noting that these individuals often approach tourists with aggressive tactics, shouting and demanding money in a manner that leaves visitors feeling unsafe.

 

This isn't an isolated incident. There have been reports of foreign beggars acting like mafia in the area, intimidating both locals and tourists. They often appear intoxicated, shouting for money or food, and have been known to grab doors in an attempt to force entry.

 

 

Picture courtesy: Daily News

 

Residents recount instances where these individuals aggressively approached diners, particularly at night, causing alarm for both locals and foreign visitors.

 

Despite the frequent harassment, law enforcement has been unable to effectively address the issue. Some locals feel that the police are not taking the situation seriously enough, leaving them feeling vulnerable and unprotected. The ongoing presence of these individuals has led to a decline in the sense of security in what is traditionally a vibrant tourist hub.

 

Local residents and business owners are urging the authorities to take immediate action to resolve the problem and restore safety in Pattaya, a popular global tourist destination.

 

They are calling for increased police presence in the area and a crackdown on these foreign mafia groups to ensure that Pattaya remains a safe and welcoming environment for tourists and residents alike, reported Daily News.

 

TOP Picture courtesy: Daily News

 

-- 2024-10-19

Thailand Probes Thaksin's Alleged Political Manipulation. Thailand’s Election Commission is ramping up efforts to address sweeping allegations of power misuse by Thaksin Shinawatra. As the de facto leader of the Pheu Thai party, Thaksin is accused of clandestinely steering both his party and its coalition partners, despite being legally barred from political involvement following past criminal convictions. ASEAN NOW

FILE - Former Prime Minister Thaksin Shinawatra, center, arrives at Don Muang airport in Bangkok, Thailand, on Aug. 22, 2023. (AP Photo/Sakchai Lalit, File)

 

Thailand's Election Commission is ramping up efforts to address sweeping allegations of power misuse by Thaksin Shinawatra. As the de facto leader of the Pheu Thai party, Thaksin is accused of clandestinely steering both his party and its coalition partners, despite being legally barred from political involvement following past criminal convictions.

 

Thaksin's alleged activities include orchestrating secret meetings with leaders from various coalition parties, such as Bhumjaithai, Palang Pracharath, Ruam Thai Sang Chart, Chart Thai Pattana, and Prachachart.

 

These gatherings reportedly took place after Thailand's former Prime Minister Srettha Thavisin was ousted by a split decision from the Constitutional Court for ethics violations. Key decisions regarding the country's future leadership and the distribution of cabinet portfolios were allegedly made during these covert meetings at Thaksin's residence.

 

The Election Commission's decision to form an ad hoc committee highlights the seriousness of the accusations. The investigative body, led by Secretary-General Sawaeng Boonmee, is tasked with a 30-day probe to unearth the truth behind allegations of Thaksin's dominance over party dynamics.

The inquiries arose from multiple petitions, demanding not only the investigation but also the possible dissolution of both the Pheu Thai and involved coalition parties.

 

If found guilty, the repercussions for Thaksin could be severe. He could face imprisonment and further tarnishing of his political legacy. His daughter, Prime Minister Paetongtarn Shinawatra, would also face significant consequences, including removal from office. Such an outcome would destabilise the existing political order, triggering a reshuffle in the government and possibly even new elections.

 

Thaksin's manoeuvres have reignited attention on his controversial political career, reflecting the enduring influence of the Shinawatra family in Thailand's political theatre. Observers note that this situation showcases the complex interplay between personal influence and official governance in the country's tumultuous political environment, reported Thai Newsroom.

 

The upcoming investigation by the Election Commission is poised to be a pivotal moment. It will scrutinise these accusations, aiming to uphold legal and ethical standards within Thai politics while managing the potential fallout of any findings that could reshape the current political landscape. As the probe progresses, it promises to test the resilience of Thailand's political institutions in maintaining transparency and justice.

 

-- 2024-10-18

Thailand's Central Bank Cuts Interest Rate to Boost Economic Growth. Thailand’s central bank has surprised markets with an unexpected decision to cut its key interest rate by 25 basis points, reducing it from 2.5% to 2.25%. ASEAN NOW

 

Thailand's central bank has surprised markets with an unexpected decision to cut its key interest rate by 25 basis points, reducing it from 2.5% to 2.25%. The move comes after five consecutive meetings where the rate was held steady, and amid persistent calls from the government for monetary easing to support a sluggish economy. 

 

Despite inflation remaining below target, the decision aims to address the rapid appreciation of the baht and ease the debt burden faced by households.

 

Economic analysts had not widely predicted this change, with only four out of 28 economists anticipating such a reduction. The shift in policy, which last saw a rate increase in September 2023, is part of a strategy aligned with the government's fiscal stimulus efforts.

 

The central bank forecast economic growth improving slightly to 2.7% in 2024, and 2.9% in 2025, although the growth is modest compared to regional peers.

Thailand has been grappling with high household debt and borrowing costs alongside weak export figures. As of June, the country's household debt ratio was 89.6% of GDP, one of the highest in Asia. The latest reduction in the interest rate aims to alleviate some financial pressures by lowering debt servicing costs, potentially spurring more consumer spending and investment.

 

Alongside Thailand, the Philippine central bank also cut its key interest rate by 25 basis points, citing manageable price pressures and aiming to maintain inflation within its 2% to 4% target range. However, the Bank of Indonesia maintained its rates, aligning with analyst predictions.

 

The unexpected rate cuts in both Thailand and the Philippines reflect broader efforts in Southeast Asia to support economic activity amid challenging global conditions. The impact of these monetary policy decisions will likely unfold over the coming months as markets and consumers adapt to the new financial landscape, reported Thai Newsroom, Reuters.

 

-- 2024-10-16

The real deal about the end of one of Thailand’s unpopular address forms - Pattaya Mail

The real deal about the end of one of Thailand's unpopular address forms

Pattaya MailOctober 16, 2024

Cancelling the TM6 arrival form is an initial step to reform paper-based immigration bureaucracy.

The chopping of the Tor Mor 6 small arrival registration form is a staging post to a wholly electronic visitor entry system. Historically, the TM6 was distributed to airline passengers about to land who, always wearily and often unreadably, scribbled their Thai address and local phone number after borrowing their neighbor's pen. It was abolished for airline passengers as early as July 2022, partly out of covid concerns and partly because it was generally pointless.

However, the form survived for some visitors by land and all by sea until now suspended on October 16 by the Cabinet at least until April 2025. By then, according to the interior ministry, the ETA or Electronic Travel Authorization should be in place for all visa-exempt foreigners, the ones from 93 countries who receive 60 days on arrival. These countries include all the nations providing significant numbers of international vacationers.

These guys and gals, probably by Easter next year, have to apply online for permission to enter Thailand and, on permitted arrival, will be able to pass through immigration's electronic gates at entry points with a personally-provided QR code. The individuals will likely be refused boarding at airports or refused entry at seaports and border checkpoints unless the bureaucracy has been successfully completed.

Although the ETA, required for every visit, will be notionally free that's not the end of the story. Thailand will introduce the long-delayed tourist tax of 300 baht by air and 150 baht by land and sea. It has long been argued that collecting cash at entry points would lead to long queues and much frustration by visitors and immigration officers alike. ETA provides the answer by insisting you pay beforehand and electronically by card.

At some stage in 2025 the ETA system will be extended to include all foreigners entering Thailand, including all non-immigrant visa holders such as retirees. Such a system is becoming common worldwide, for example in UK which starts its electronic entry bureaucracy for all visitors next month. Basically, ETA replaces decisions by immigration officers on the ground by prior electronic checking of wannabe entrants.

TM6 forms, previously required for some land and all sea arrivals, have been suspended until at least April 2025. By then, the ETA (Electronic Travel Authorization) system is expected to be implemented for visa-exempt foreigners.

Before that can happen, Thai authorities have to combine several independent data bases which currently check for passport authenticity, prior travel history, criminal history in Thailand and international warrants. The 300-150 baht tourist tax, eventually to be levied on all foreigners except those with a valid work permit or permanent residence status, will be used to update tourist sites and provide limited insurance for tourists including compensation for loss of limbs or death. It is decidedly not comprehensive medical insurance for all.

Once ETA is fully in place, it will be powered by machine learning and the algorithm used will automatically perform all pre-examination tests. Questions often asked such as "How many times can you do a border run with visa exempt?", or "Can I use my Destination Thailand Visa again by leaving Thailand and returning the same day?" will be settled remotely. Where technological advancement leaves traditional visa extensions at local immigration offices, or paper trails such as the "housemaster" TM30 and the 90 days report, can only be deferred to our technological future.



Thai PM Faces Allegations of Media Freedom Breach. Prime Minister Paetongtarn Shinawatra has found herself under scrutiny following a petition filed by Ruangkrai Leekitwattana, a frequent petitioner, accusing her of breaching media freedoms. Mr Ruangkrai has claimed that her recent interactions with the press could result in her removal from office. ASEAN NOW



Picture courtesy: Springnews

 

Prime Minister Paetongtarn Shinawatra has found herself under scrutiny following a petition filed by Ruangkrai Leekitwattana, a frequent petitioner, accusing her of breaching media freedoms. Mr Ruangkrai has claimed that her recent interactions with the press could result in her removal from office.

 

On Monday, Mr Ruangkrai submitted a formal request to the Election Commission (EC), urging an investigation into Ms Paetongtarn's response to a journalist during a press interaction. He argues that her remarks were not befitting a public officeholder, potentially breaching Section 184 of Thailand's Constitution. If verified, this could lead to the prime minister losing her position as dictated by Section 170.

 

The controversy began during a media engagement at Government House. A particular interaction, featured on the ch3plus.com website, captured the prime minister's dissatisfaction with reporting related to the government's stance on constitutional amendments. This stemmed from a query about disagreements with coalition parties regarding proposed amendments perceived as a policy reversal.

Ms Paetongtarn expressed her preference that such questions be avoided, reiterating that coalition consultations on key issues occur regularly. She also noted that current government priorities were focused on flood relief efforts, pushing amendments to a lower priority.

 

The prime minister further suggested that cohesive governance was in the national interest, cautioning against questions that might incite division. Mr Ruangkrai, however, contends that her responses could be seen as infringing on the media's constitutional rights to report on governmental affairs.

 

This is Mr Ruangkrai's second petition against Ms Paetongtarn, the first being an accusation of ethical misconduct related to appointing advisors with criminal records. The EC's findings will dictate whether the matter escalates to the Constitutional Court for a conclusive ruling, reported Bangkok Post.

 

-- 2024-10-15