Revelations from the Fiscal Policy Office (FPO), depicting the repercussions of escrow legislation in the past 15 years, accentuate the hefty value of escrow service transactions during this time. An FPO informant who chose to remain anonymous divulged that an astronomical 867 billion baht of transactions, with a significant chunk being capital market transactions, was recorded in this span. The Escrow Account Act, rolled out in 2008, was a cornerstone in the upsurge of escrow service transactions. From its inception until the second quarter of this year, the gross value of such transactions breached an impressive 867 billion baht. A breakdown of this cumulative transaction value reveals that a whopping 862 billion baht or a mammoth 99.5% was associated with capital market transactions. In stark contrast to this, product and service purchase transactions constituted a minuscule 0.38% of the total, amounting to a paltry 3.3 billion baht. Astonishingly, real estate…
Posts published in “Thailand”
KKP Research, a reputable analyst firm, recently revealed an updated economic projection for the upcoming years, forecasting a 2.8% growth for this year and 3.3% for the forthcoming year, a prediction significantly lower than their earlier expectations. The modified outlook seems to be influenced significantly by Thailand’s subpar economic performance during the initial six months of this year. According to KKP Research’s comprehensive report, Thailand’s exports are anticipated to continue being impacted by the global economic slowdown. Moreover, even the return of foreign tourism, which could potentially bolster the economy, might fail to counteract these negative elements. The analysts explain the dip in Thailand’s economic performance with a striking contrast between impressive private consumption growth and an alarmingly low manufacturing sector growth. In the initial half of the year, a robust 6.7% increase in spending was witnessed, primarily attributable to the expansion in private consumption and the services sector, the…
The discussion revolved around “Anticipating Shifts in Thai Diplomatic Position under the Incoming Government,” at a forum attended by academia and policy makers. Issues such as the escalating competition between the United States and China, and the neutrality of the Association of Southeast Asian Nations (ASEAN), particularly Myanmar’s situation, were highlighted as key challenges for Thai foreign policy. This event was hosted at Chulalongkorn University on a recent weekday, with the university’s Institute of Security and International Studies teaming up with the European Union’s delegation in Thailand. Russ Jalichandra, a former Thai ambassador, and one of the event’s speakers, discussed Thailand’s changing foreign relations strategy. Since the 2014 military coup, Thailand has leaned inward, seeking partners that do not question its governance — particularly its approach towards democracy and human rights. He called for an immediate course correction, advocating for the restoration of balanced relationships with global powerhouses. “What cannot…
Recently, the soon-to-be Prime Minister Srettha made his way to the bustling Muang Thai Phatra Market. He engaged in candid conversation with the street food vendors, eager to understand their business costs from the crux. Fresh food ingredient prices, cooking oil cost, cooking gas pricing, and much more were on his list of inquiries. The vendors were informed that their concerns about escalating prices and inflation wouldn’t go unnoticed once he comes into power officially. The newly formed Cabinet will step into their roles after the formal swearing-in before His Majesty the King, followed by an announcement of the government’s policy statement before Parliament. While interacting with the locals at the market, Srettha explored the urgent issues they wished to be addressed by his governance. The majority voiced their concerns for the increasing cost of living, especially public-utility costs. Addressing the press, Srettha liked to mention his visit to the…
In the early waves of June, forecasts were made by the office that projections for industrial GDP of the ongoing year would display a 0.0-1.0% increment. Similarly, the manufacturing production index (MPI) was also anticipated to demonstrate the same percentage growth. Despite such expectations, numerous challenging factors began influencing the manufacturing landscape of the country critically, prompting the Office of Industrial Economics (OIE) to revise its industrial GDP forecasts for the year 2023 to a sharp decrease ranging from 1.5% to 2.5%, and the MPI to a slip between 2.8% and 3.8%. This disheartening news was delivered by the director-general of the OIE, Warawan Chitaroon, last Thursday. According to Warawan, the chief determiner amongst these influencing factors is the eroding purchasing strength of the agricultural sector. The sector has seen an average contraction of about 1.1% in recent months. An array of other detrimental factors like the slowdown of the…
The Bank of Thailand is presently refining its GDP assessment for the forthcoming September convening, raising caution about the sluggish pace of exports and a lesser than anticipated influx in tourism. An additional concern on the table is the prospective influence of the digital cash handout initiative by Pheu Thai. As per Sakkapop Panyanukul who heads the macroeconomic division of BOT, the overall economic landscape and the financial climate in July evinced signs of revival, influenced by an increase in local spending due to a rise in consumption and a greater investment by the private sector. The tourism sector saw an upswing with foreign tourist arrivals touching 2.49 million as compared to 2.24 million in the prior month, a 0.9% increase. The cumulative tourist count this year marks an impressive 15.4 million, predominantly constituted by visitors from Russia, Malaysia, South Korea, and Japan. Nevertheless, despite the swelling numbers, revenue from…
The Department of Rail Transport (DRT) has publicly backed new plans proposed by the Pheu Thai Party regarding the Bangkok metro charges, stating that they could be viable with an annual budget allocation from the government. Valued at 5.4 billion baht, this subsidy would support a significant cost reduction in Metro fares. The Pheu Thai Party formally presented their policy for a flat-rate 20-baht metro fare during the recent election campaign period. Accompanied by a comprehensive budget proposal of 40 billion baht, the Party additionally requested an 8 billion baht annual contribution from the regular budget allocation to support ongoing costs. According to Pheu Thai Party representatives, the budget allocation is not only necessary, but advantageous—given that the potential benefits greatly exceed the involved costs. Pichet Kunathammarak, the director-general of the Department of Rail Transport, stated that while the proposed 20-baht fare policy indeed is feasible, there needs to be…
The esteemed Permanent Secretary of the Ministry, Dr. Opas Karnkawinpong, recently revealed that an impressive tally of 1,855 agencies under the ministry’s Office of the Permanent Secretary have been mandated to adopt solar technology before the current year sees its end. From Provincial Public Health Offices to community hospitals, a diverse range of agencies are incorporated in this directive, according to Dr. Opas. This progressive move is a part of the ministry’s forward-thinking Smart Energy and Climate Action (SECA) policy. Rooted in an unflinching commitment to sustainability, the policy aims to exponentially enhance energy efficiency, concurrently working towards significantly curbing carbon dioxide emissions, a major contributor to global warming. Dr. Opas further shed light on the tangible benefits of this initiative, anticipating annual electricity savings amounting to a whopping 904.35 million baht, alongside a reduction of 99,458 tonnes in carbon dioxide release each year. Adding another feather to their cap,…
In an unsettling economic climate characterized by looming fears of a recession and persistently high inflation and interest rates, investment prospects may seem few and far between. Nonetheless, avid stock aficionados assert that global interest rates are nearing their zenith, a claim that has piqued the interest of central banks around the world, who remain vigilant in their observation of inflation trends. Over in the United States, the Federal Reserve—a notable player in the investment scene—has upped the stakes by raising the federal funds rate to a staggering 5.25-5.50% in July, a leap unseen in decades. Its European counterpart, the European Central Bank, followed the upward trajectory albeit to a lesser extent, with a rate increment of 0.25%. The Bank of Japan, often synonymous with cheap money, is displaying signs of transitioning towards a more adaptable approach in managing the yield of government bonds. Among those closely watching the interest…
In the serene locale of Nong Kok village nestled within the province of Surin, a persistent and highly problematic issue has remained unresolved for over two decades. At the center of the town, a sprawling pig farm, spanning a distance greater than 2 kilometers, has been continuously causing distress among the villagers. A seemingly insignificant pig farm problem had morphed menacingly into something that drastically affected the community’s overall life quality. A pungent stench perpetually permeating the air has been the main complaint against the establishment. This noisome odor comes directly from the waste generated in vast amounts by the farm, instantly permeating the entire village. It’s not merely an issue of discomfort; the villagers complained of recurrences of health-related problems attributed to the powerful stench.\ The severity of these health issues had led to frequent hospital visits. Yet, despite continuous appeals to the responsible authorities, their pleas and complaints…