Income inequality, debt, climate change and plastic waste the main issues – BOT governor

[webfact]

Income inequality, debt, climate change and plastic waste the main issues – BOT governor

 

 

Bank of Thailand Governor Veerathai Santiprabhob, in his speech entitled “Formulating for the Future of Corporate Governance”, delivered at the Finance and Beyond National Director Conference 2019 in Bangkok today (July 24th), said Thailand faces four challenges that require good governance in businesses to address.

 

He said that Thailand has a high level of income inequality, citing statistics from the Office of the National Economic and Social Development Council which reveal that the richest 10% of the country’s population have incomes that are 19 times higher than the poorest 10%, adding the former own over 61.5% of the country’s land while the latter barely own 0.07%.

 

The BOT governor went on to say that a lot of Thais are still trapped in a cycle of debt and are among the most indebted populations among developing countries.

 

Full story: https://www.thaipbsworld.com/income-inequality-debt-climate-change-and-plastic-waste-the-main-issues-bot-governor/

 

 

-- © Copyright Thai PBS 2019-07-25

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[RichardColeman]

10 minutes ago, webfact said:

The BOT governor went on to say that a lot of Thais are still trapped in a cycle of debt and are among the most indebted populations among developing countries.

I'm pretty sure that the BOT formulating will be to encourage more loans to pay of their old loans

[canopus1969]

Income inequality, debt, climate change and plastic waste the main issues

 

Sorry, I first thought they were talking about Western countries

[nickstav]

And that richest 10% are perfectly happy with things just as they are, so nothing will be done.

[RotBenz8888]

4 hours ago, webfact said:

The BOT governor went on to say that a lot of Thais are still trapped in a cycle of debt and are among the most indebted populations among developing countries

A strong driver of the economy. If people stop consuming the bubble will burst.

[londonthai]

Climate change and plastic waste is out of competence of banks director. He doesnt know much and cant do anything about them. 

Leave it to prayuth, he will sort out every single global problem and compose a song about it

[Cadbury]

4 hours ago, RichardColeman said:

I'm pretty sure that the BOT formulating will be to encourage more loans to pay of their old loans

The government has just announced a new "stimulus" package which included government bank loans to farmers, workers and small business people. This package was allegedly to stimulate the economy but predictably all it will do is to stimulate the already high national household debt numbers.

[Geoffggi]

In the real world this is called "Living beyond ones means"

[mikebell]

Agree with Nickstav; the richest 10% will include those who call the tune in Thailand, including those who are minting it in because of the strong baht: ergo nothing will be done.

[StayinThailand2much]

Congratulations! Recognised most of Thailand's pressing issues. You may want to add lack of/state of infrastructure, health care, and educational systems, and Thailand's overvalued currency...

 

So, with the new government in power, they may want to address these issues.

[yellowboat]

5 hours ago, webfact said:

He said that Thailand has a high level of income inequality,

Didn't the junta cry follow to such a report stating the divide increased by 8% during their rule ?  This guy may not last long if he states the obvious truths. 

[Isaan sailor]

Too bad he ignored Thailand’s #1 economic problem—a stratospherically high Baht.

Perhaps BoT is still stratospherically high on foreign hot money bond sales... 

[Matzzon]

We can clearly see that the economic hero of Thailand is speeding up in the curve, just like all the motorists. We also knows what that usually leads to. 

Here a life lost can be compared to a lost economy, floating baht, devalue the baht, companies moving out, export goes down and tourism sector is bleeding.

I wouldn´t continue to give this superhero anymore extreme powers. Actually he is not doing great at all, and he probably already know it. The thing, though. When does a prominent Thai person ever admitt to something before it´s too late and the damage is already done?

Edited July 25, 2019 by Matzzon

[Srikcir]

8 hours ago, webfact said:

Thailand has a high level of income inequality

Shall we say "Highest" level on earth!

From Grasping the Reality of Thailand's Wage Inequality by Ambassador Vijavat Isarabhakdi, Advisor to the Ministry of Foreign Affairs of Thailand (May 26, 2019)

http://www.thaiembassy.org/astana/en/news/1302/101288-Grasping-the-Rethe government has made ality-of-Thailand%27s-Wage-Inequ.html

• "New" findings published in the Credit Suisse Global Wealth Report 2018 claimed that Thailand had this year assumed the undesirable mantle of being the country with the highest wealth disparity on earth. This led to some publications dubbing Thailand "the world's most unequal country".
• In response the NESDB pointed out that the information gathered on Thailand is "rather dated", having been collected since 2006. ...  Had the latest data on Thailand been utilised, the outcome could well have been different. Hence, there is cause for doubt as to whether the findings reached in the Report correctly reflect the reality in Thailand.

Bad news just means bad data. There's apparently not enough "Thainess" in the statistics.

Frankly, if NESDB has had access to only questionable data, then all the statements made by the government since at least the military coup concerning improving income inequality have been equally questionable, if not without any foundation what so ever!

As such Prayut as PM since 2014 owes an apology to the nation for misleading the Thai people on alleged government improvements on income inequality. This might rise to the level of a "no-confidence" vote for Prayut continuing as PM.

[Srikcir]

4 hours ago, Geoffggi said:

In the real world this is called "Living beyond ones means"

No, it's called the 1% living off the backs of the 99%.

When the 99% have little to nothing of a hope to having a net worth, everything is beyond their means.

[sitanonchai]

" The BOT governor went on to say that a lot of Thais are still trapped in a cycle of debt and are among the most indebted populations among developing countries."

 

Don't worry Thailand isn't a developed country.

[Angry Dragon]

7 hours ago, mikebell said:

Agree with Nickstav; the richest 10% will include those who call the tune in Thailand, including those who are minting it in because of the strong baht: ergo nothing will be done.

that would include me.  i'm quite happy now earning a salary paid in THB.  Thanks to all the tax loopholes I'm paying an effective rate of around 15% to boot.

[Angry Dragon]

7 hours ago, Isaan sailor said:

Too bad he ignored Thailand’s #1 economic problem—a stratospherically high Baht.

Perhaps BoT is still stratospherically high on foreign hot money bond sales... 

don't the economic fundamentals support the current level of the baht?

[Isaan sailor]

10-average USD/Baht: 32.40.  Same can be said for other western currencies.  Yes, my TV friends, Thai Baht seems high.  And please don’t compare Baht to gold prices. That’s a fallacious argument.  Compare Baht to other SEA currencies.  You will see the problem here.

[mikebell]

15 hours ago, Angry Dragon said:

that would include me.  i'm quite happy now earning a salary paid in THB.  Thanks to all the tax loopholes I'm paying an effective rate of around 15% to boot.

You're in the richest 10%? What do you do, advise Prawit on what watch to buy next?