Thai govt launches two-pronged attack on inequality

[webfact]

Govt launches two-pronged attack on inequality

By Kas Chanwanpen, 
Wichit Chaitrong 
The Nation

 

Prime Minister’s Office Minister Kobsak Pootrakul

 

Experts express doubts over new agency set up to tackle poverty under 20 year national plan

 

WITH poverty still plaguing society despite Bt800 billion pouring into the grass-roots economy, the Cabinet yesterday agreed to set up an office to mobilise resources and agencies to combat the problem, said Prime Minister’s Office Minister Kobsak Pootrakul. 

 

The office will be under the National Economics and Social Development Board (NESDB) and comprise two committees – for policy and for implementation, he said.

 

The prime minister would head the policy committee, Kobsak added.

 

“The establishment of the office and the committees will be an important turning point in the fight against social disparity and poverty,” he said. “The issue has long been discussed but never came to fruition. Now we have set a goal to tackle it over 20 years under the national strategy.”

 

The committee was authorised to lay out strategies, policies, guidelines, action plans and their implementation for those tasked with tackling inequality and poverty in the country, he said.

 

Inequality has dominated national debate recently after reports by international and domestic institutes indicated that a tiny rich elite controlled most of Thailand’s wealth. 

 

Most unequal country: Credit Suisse report

 

According to the Credit Suisse Global Wealth Report 2018, published in October, Thailand is the world’s most unequal country, since the richest 1 per cent own 66.9 per cent of the country’s wealth. The government claimed the report was based on outdated and inaccurate figures. Kobsak claimed that the number of Thais in poverty had fallen from 34.1 million in 1991 to 6.2 million. 

 

NESDB, the government planner, reported that the situation had improved as the number of people under the poverty line – with monthly incomes below Bt2,686 – was 5.3 million last year, down from 5.8 million in 2016. The reduction in poverty was due to economic growth and government welfare policies including cash handouts, the agency said.

 

The Finance Ministry said yesterday that the government social welfare programme has reached 14.5 million citizens, 8.3 million of whom earn less than Bt30,000 per annum. 

 

Despite this, disparity of incomes and assets remain a big problem, Kobsak conceded. “Inequality remains high, therefore we need mechanisms to take care of the matter,” he said.

 

With such mechanisms, the government would be able to effectively utilise the Bt800 billion budget allocated for the poor, he said.

 

‘Super-rich will remain super-rich’ 

 

Somchai Jitsuchon, research director at the Thailand Development Research Institute (TDRI), said that the Cabinet’s solutions had the potential to narrow the income gap between middle-income and lower-income groups, but were unlikely to narrow the gap between the super-rich and the rest of the population.

 

Somchai said efforts to address the issue would depend largely on political will and decisive action by the premier as chair of the policy committee. 

 

It would also depend on effective coordination between ministers and senior officials of ministries. Outside experts should be also invited to consult on the key issues, he suggested.

 

He voiced doubt that minister Kobsak would take any action that would damage the interests of the super-rich, saying Kobsak had never discussed reforming the political structure which political scientists say is a major obstacle to wealth redistribution.

 

Somchai has proposed the government increase the welfare budgets from the current 7.8 per cent of gross domestic product to 10 per cent – a boost of Bt350 billion.

 

He also advised raising the value-added tax rate from the current 7 per cent. The military budget should be cut in order to increase more welfare budgets, he added.

 

Kobsak said the 11 government agencies which take care of social welfare will today sign an agreement at Government House to join hands in the effort to fight social inequality and poverty. 

 

Under the theme “Happiness for all: A state welfare”, they will also host an exhibition to show how the people would benefit from the government’s measures.

 

Source: http://www.nationmultimedia.com/detail/politics/30360688

 

-- © Copyright The Nation 2018-12-19

[Reigntax]

Yes. 4 years of doing nothing, not caring and acting now for the sole purpose of being elected to keep their noses well entrenched in the troughs

[martinhp]

1 hour ago, Reigntax said:

Yes. 4 years of doing nothing, not caring and acting now for the sole purpose of being elected to keep their noses well entrenched in the troughs

its not true they done a lot to get this result .either out off stupidity or incompetence but rise tax and remove job from low income earners .

im a ingenier and i implore thai builders who all have 1 thing in common ,the money (even i rised there salary) , got significant less in consume value.

they work hard but get less but the boss from big companys get a lot same bosses in housing project .

as this is only one example, you can choose the farmers ,and factory workers, staff in hotels,

high tax on consumer goods does effect a household off these people enormously ,this ,the goverent been very good at.

but they do not care, i think.

look how they treat there own conscript ,without respect even for there familys.

but you get people like this ,with obviously lack off education ,combined with missing life experience .

and then give them power .

its the wrong people ,for such a task. and now they proofed it too.its even the wrong people to lead an army too ,which they equally proofed.

[smutcakes]

Did they launch this before or after their sufficiency economy and Pracharat initiative of a 3 million baht per table feast?

[Cadbury]

2 hours ago, webfact said:

The prime minister would head the policy committee

Well that certainly puts the kiss of death on it and any future hope for the 99%.

If his ineffective performance over the last 4+ years is anything to go by then it is sure to make the rich and poor gap wider and the greedy 1% acquire an even greater percentage of the wealth. 

[colinneil]

The prime minister would head the policy committee.????

The man who has done more than Anyone in recent history to create the situation.

All men are equal, just some more equal than others.

[anon537687643]

The junta, this PM, the fake parliament all together a trillion baht downs in their 5 years and all they have achieved is economic stagnation .. oh and prevented Demonstrations in the streets !


Sent from my iPhone using Thaivisa Connect

[Cadbury]

3 hours ago, webfact said:

comprise two committees – for policy and for implementation

Two committees not just one. That should at least double the time taken for any decision to be made and double the cost of the seafood buffet lunches.

The Committee for Policy Development might stand a chance but going by the junta's history of ineffectiveness the Committee for Policy Implementation has a snowball's chance in hell. Achievement is just not in any military junta's genes.

[PatOngo]

What an absolute crock of --it! For 30 years that I know of, the rich have stolen from the poor and any time they have voiced opposition, out comes the army to quell dissent. You can fool some of the people some of the time......nothing will change while ever greed is the mandate!

[bluesofa]

25 minutes ago, colinneil said:

The prime minister would head the policy committee.????

The man who has done more than Anyone in recent history to create the situation.

All men are equal, just some more equal than others.

Are you sure you're not thinking of George Orwell's Animal Farm: "All animals are equal, just some more equal than others."

It seems more appropriate when thinking of the PM, as it was a pig talking, plus the PM's hatred of free speech, and his persecution of anyone reading 1984, by charging them with "eating a sandwich with political intent":

 

[Darcula]

The two prongs are nicknamed Benz and BMW, I think.

[baboon]

1 hour ago, bluesofa said:

Are you sure you're not thinking of George Orwell's Animal Farm: "All animals are equal, just some more equal than others."

It seems more appropriate when thinking of the PM, as it was a pig talking, plus the PM's hatred of free speech, and his persecution of anyone reading 1984, by charging them with "eating a sandwich with political intent":

 

I hope the voters never forget that this is exactly what they stand to be voting for. Beneath their handouts and newly constructed men of the people facade, this is what one faction is and will always remain.

[newnative]

 20 years to solve the problem?  Well, that's kicking the can waaaay down the road.

[Eric Loh]

How did the junta went from dismissing the CS inequality report to setting up an office to address inequality in just a week span. This is so fake like the cash handouts, loans and subsidies to farmers so near to election.   

 

 

 

 

[brain150]

Why do I read these days that Socialism is the answer to all these problems ?

Must surely be a coincidence ... or maybe it is THE agenda world wide ??? [... coming from the UN]

[sammieuk1]

Its the probable 799 out of the 800 billion that gets embezzled by the green lawns before the grass roots get their hands on it that could be the problem????

[sammieuk1]

5 hours ago, Darcula said:

The two prongs are nicknamed Benz and BMW, I think.

Or three for the Maserati boys????

[marko kok prong]

two pronged attack ,well that should sort it out.

[GarryP]

Okay so if they are earning Bt2,687 then they are above the poverty line. Really? I would have thought the line should be drawn a few thousand higher.  Who can live on Baht 3,000 a month? I really don't know how they do it.

[Enoon]

35 minutes ago, GarryP said:

Okay so if they are earning Bt2,687 then they are above the poverty line. Really? I would have thought the line should be drawn a few thousand higher.  Who can live on Baht 3,000 a month? I really don't know how they do it.

 

This from 2015 estimates that a Thai household requires 193% of a minimum wage income (2 earners) to cover essentials:

 

http://www.bbc.com/capital/story/20151215-the-best-and-worst-places-for-people-on-minimum-wage

 

PS Australian household requires.......36%

 

[HalfLight]

Right, we tried the 'throwing money at it' approach, - didn't work. Some crooks stole all the money, not the army though... never.

 

Now for the smoke and mirrors approach. That'll work...

 

I love the spokesman though, that's a new take on the clown-suit if I'm not mistaken, gone is the red nose and the baggy trousers. Now we have trendy glasses and a dopey look on the face.

 

He's right at the punch line though... "I swear, they were *this* big..."

 

 

[zzaa09]

9 hours ago, PatOngo said:

What an absolute crock of --it! For 30 years that I know of, the rich have stolen from the poor and any time they have voiced opposition, out comes the army to quell dissent. You can fool some of the people some of the time......nothing will change while ever greed is the mandate!

Wow.

Only 30 years that you know of? 

 

 

Forever seems to be a more realistic figure of measurement.

[chama]

16 hours ago, webfact said:

Thailand is the world’s most unequal country, since the richest 1 per cent own 66.9 per cent of the country’s wealth. The government claimed the report was based on outdated and inaccurate figures.

The government will always have a hard time effectively tackling this problem when they are part of the 1 percent. They want to set up policies to create equality for the rest of the population without diminishing their own wealth and that just won't work.

[mok199]

The corrupt shamless filthy rich telling the middle class how the poor feel...

[jerojero]

Well that certainly puts the kiss of death on it and any future hope for the 99%.
If his ineffective performance over the last 4+ years is anything to go by then it is sure to make the rich and poor gap wider and the greedy 1% acquire an even greater percentage of the wealth. 

Give him a break, he needs to buy more watches to keep up with his brother.....then the poor will be given consideration.

[thaiguzzi]

On 12/19/2018 at 4:05 AM, webfact said:

According to the Credit Suisse Global Wealth Report 2018, published in October, Thailand is the world’s most unequal country, since the richest 1 per cent own 66.9 per cent of the country’s wealth. The government claimed the report was based on outdated and inaccurate figures. Kobsak claimed that the number of Thais in poverty had fallen from 34.1 million in 1991 to 6.2 million. 

 

On 12/19/2018 at 4:05 AM, webfact said:

The government claimed the report was based on outdated and inaccurate figures.

Yeah, right, ok, my figures are from another reliable source;

China 47% of the country's wealth is owned by 1% of the population

India 45%   "    "       "            "              "       "  "        "         "

Thailand 96 %          "            "        "     "       "           "         "

Considerably depressing worse figures...

On 12/19/2018 at 4:05 AM, webfact said:

He also advised raising the value-added tax rate from the current 7 per cent. The military budget should be cut in order to increase more welfare budgets, he added.

No.

VAT affects everybody.

Yes.

Cut the military budget and more importantly, get rid of 75% of the top officer echelons - generals, admirals, air force field marshals etc.

Here's another idea, how about putting 5 % MORE tax on anybody currently clearing 20 mil per annum?