Council of State Declares Kittiratt Unqualified as BOT Board Chairman

[webfact]

Picture courtesy: Naew Na

 

In a recent development that has raised eyebrows across Thailand's financial and political sectors, the Council of State has ruled Kittiratt Na-Ranong unqualified to serve as board chairman of the Bank of Thailand.

 

The decision comes amidst concerns regarding his previous role as an advisor to former Prime Minister Srettha Thavisin, a position deemed political, despite Kittiratt reportedly not receiving any remuneration.

 

The announcement relayed by Finance Minister Pichai Chunhavajira has thrown the Ministry into a search for a new candidate to assume one of the nation’s pivotal financial oversight roles. Until a suitable replacement is found, Paramethi Wimonsiri, whose term as chairman concluded on 11 September, will continue to serve in an acting capacity.

 

Kittiratt’s nomination, supported by a selection committee led by former Finance Secretary Sathit Limpongpan, initially positioned him as the preferred candidate. However, this sudden turn of events underscores the delicate balance between political association and institutional independence within the Thai government’s financial sectors.

The disqualification has garnered a response from Prime Minister Paetongtarn Shinawatra, who implied that the procedural integrity must be maintained, though refraining from delving into specifics.

 

This reserved stance reflects the gravity with which the Thai leadership is treating the situation, understanding the critical implications for both policy stability and public confidence.

 

The nomination drawn from Kittiratt’s extensive background was met with strong dissent from various academia and former employees within the Central Bank.

 

Among the vocal critics were four previous governors, underscoring fears that his close ties with the Pheu Thai party could be perceived as compromising the Bank’s essential autonomy. They argue that the central bank’s independence is vital for unbiased monetary policy decisions, which would be at risk should politically affiliated figures assume control.

 

This unstable situation not only places Kittiratt under a harsh public spotlight but also puts into focus the often intricate web of influence between Thailand’s political apparatus and financial institutions.

 

With this decision, the Council of State has aimed to reiterate the importance of ensuring those in pivotal financial positions are beyond the shadow of political influence, safeguarding the nation’s economic integrity.

 

In the wake of these developments, the Ministry of Finance faces mounting pressure to identify a chairman who can assure both competency and neutrality, reported Thai PBS.

 

-- 2024-12-25

 

 

[Will B Good]

 

 

Wow......tempted to use the word integrity here......but I assume I'm missing something.

[Callmeishmael]

If you are wondering who the Council of State is, here is the not-very-informative Wiki link:

https://en.wikipedia.org/wiki/Office_of_the_Council_of_State

 

So, the real question I have, is who appointed the Council of State members?

[bamnutsak]

23 minutes ago, Callmeishmael said:

So, the real question I have, is who appointed the Council of State members?

 

 

In most news articles announcing appointments to the Council of State the words "under the Royal Command" are included along with a reference to publication of appointments in the Royal Gazzette.

 

Per the Constitution, the King is the "head of state".

 

The most recent were Wissanu Krea-ngam and Arkhom Termpittayapaisith. Wissanu is the defacto head legal man in Thailand.

 

 

 

[Tropicalevo]

30 minutes ago, Callmeishmael said:

If you are wondering who the Council of State is, here is the not-very-informative Wiki link:

https://en.wikipedia.org/wiki/Office_of_the_Council_of_State

 

So, the real question I have, is who appointed the Council of State members?

 

No idea who they are, but they get my vote.  👍

[ChrisY1]

Good...another corrupt official gone! 

Check his history if you think I'm biased!

[Artisi]

Corrupt, come on now - you should know all these guys are as straight as a die, honest, above board and dedicated to the future of Thailand at great sacrifice to themselves. 

[Cardano]

Possible conflict of interest, maybe!

[chickenslegs]

9 hours ago, webfact said:

The announcement relayed by Finance Minister Pichai Chunhavajira has thrown the Ministry into a search for a new candidate to assume one of the nation’s pivotal financial oversight roles.

Thaksin might be interested in the position.

[Hunz Kittisak]

11 hours ago, bamnutsak said:

 

 

In most news articles announcing appointments to the Council of State the words "under the Royal Command" are included along with a reference to publication of appointments in the Royal Gazzette.

 

Per the Constitution, the King is the "head of state".

 

The most recent were Wissanu Krea-ngam and Arkhom Termpittayapaisith. Wissanu is the defacto head legal man in Thailand.

 

 

 

And these 2 were former deputy PMs in Uncle Tu’s cabinet. How apolitical can they be. 
Im sure many of the 136 members are pro military and anti PT

And so the power struggle continues 

[smedly]

16 hours ago, webfact said:

The announcement relayed by Finance Minister Pichai Chunhavajira has thrown the Ministry into a search for a new candidate to assume one of the nation’s pivotal financial oversight roles

until they find another"yes" man, we need someone in there that can be controlled politically  in a none political job, a job that is supposed to be independent of government -  you couldn't make this stuff up TiT

[smedly]

7 hours ago, Cardano said:

Possible conflict of interest, maybe!

there was obvious friction between Srettha Thavisin when he publicly challenged the governor of the central bank several times on interest rates, trying assert control/infuence, it didn't work so they replaced the governor with someone they could control effectively removing its political independence - Srettha Thavisin should be removed from office for this interference - oh wait, was it a shin shuffle ?

[hotchilli]

20 hours ago, webfact said:

They argue that the central bank’s independence is vital for unbiased monetary policy decisions, which would be at risk should politically affiliated figures assume control.

A blow for Thaksin...

[hotchilli]

11 hours ago, chickenslegs said:

Thaksin might be interested in the position.

He was, using Kittiratt as a proxy

[jippytum]

Another blow for a Thaksin nominated 

Phu Thai politician removed as being unsuitsble. 

 The BOT should remain independant from the influence of the  Thaksin and his cronies. 

[webfact]

UPDATE

 

Council of State Dispels Media Claims on Kittiratt's Eligibility for BoT Role

 

Picture courtesy: Money and Banking

 

The Council of State (CoS), serving as the Thai government's legal advisor, has dismissed recent media reports asserting that Kittiratt Na-Ranong has been ruled out as a candidate for the chairman of the Bank of Thailand (BoT) board.

 

On Wednesday, Secretary-General Pakorn Nilprapunt clarified that the council has not yet issued any official decision regarding Kittiratt's eligibility for this prominent role.

 

Media reports suggesting otherwise appear premature as the matter remains under scrutiny, with the CoS expected to deliberate on the issue later today. The ongoing evaluation follows an inquiry initiated by the Fiscal Policy Office under the Finance Ministry, questioning Mr Kittiratt's eligibility due to his stint as an adviser to ex-Prime Minister Srettha Thavisin—a role critics argue could compromise the BoT's impartiality.

 

Permanent Secretary for Finance, Lawaron Sangsanit, countered assertions that he confirmed Kittiratt’s disqualification. Instead, he emphasized that the ministry sought the CoS's counsel for clarity on whether Kittiratt’s advisory role could be defined as political—a determination crucial to validating his candidacy for the BoT chairmanship.

The procedural move aims to ensure the adherence to rigorous vetting required for such a significant appointment. "We approached the CoS to confirm the details because we're unsure about the qualification criteria," stated Lawaron. "We're awaiting their legal clarification."

 

Should the CoS classify the advisory position as political, Kittiratt would indeed be disqualified from consideration. Such a verdict would necessitate the Finance Ministry to recommend an alternative candidate for the BoT chair. Despite the uncertainty, operational continuity at the BoT remains secure as the current deputy chairman, also the governor, is empowered to fulfil the chairman's responsibilities in an interim capacity.

 

Amid this controversy, Kittiratt took to Facebook to express his commitment to respecting any forthcoming decision. He expressed gratitude to supporters who have vested their trust in his capabilities, regardless of the final outcome.

 

Finance Minister Pichai Chunhavajira anticipates an official response from the CoS within the next couple of days, which will put to rest this contentious issue and allow the appointment process to progress. The situation underscores the meticulous balance of legal and political considerations inherent in high-profile governmental appointments, reported Bangkok Post.

 

-- 2024-12-26

 

 

[Tropicalevo]

Oh dear.

Brown envelopes coming into play already.

Job done. 

[kingstonkid]

23 hours ago, webfact said:

With this decision, the Council of State has aimed to reiterate the importance of ensuring those in pivotal financial positions are beyond the shadow of political influence, safeguarding the nation’s economic integrity.

Yeah good luck finding anyone in this country that is not affiliated with any of the Elite or under their control.

 

The next nominee will be interesting to see.  What is dadd T going to do now.  

[hotchilli]

Kittiratt is a PTP lackey, Thaksin will use him to get what he wants.

[Scott Tracy]

22 hours ago, Artisi said:

Corrupt, come on now - you should know all these guys are as straight as a die, honest, above board and dedicated to the future of Thailand at great sacrifice to themselves. 

I guess it depends what 'die' you're talking about...

[realfunster]

I see again some sharing of misinformation about the appointment of Governors/Committee Members of central banks citing "independence issues" , please pay close attention :

 

USA Federal Reserve : As stipulated by the Banking Act of 1935, the Chairman is chosen by the president from among the sitting governors to serve four-year terms with the advice and consent of the Senate.

 

UK Bank of England : The Monarch appoints the Governor of the Bank of England after receiving a recommendation from the Chancellor of the Exchequer

 

If you think these two bodies are, in substance,  "independent" of US and UK Government, I suggest you are living in cloud-cuckoo land !

 

In Thailand's case, the appointment has been blocked by an unelected, unaccountable and frankly mysterious committee. If you think that is for the betterment of Thailand, I give up hope..

[Will B Good]

3 minutes ago, realfunster said:

I see again some sharing of misinformation about the appointment of Governors/Committee Members of central banks citing "independence issues" , please pay close attention :

 

USA Federal Reserve : As stipulated by the Banking Act of 1935, the Chairman is chosen by the president from among the sitting governors to serve four-year terms with the advice and consent of the Senate.

 

UK Bank of England : The Monarch appoints the Governor of the Bank of England after receiving a recommendation from the Chancellor of the Exchequer

 

If you think these two bodies are, in substance,  "independent" of US and UK Government, I suggest you are living in cloud-cuckoo land !

 

In Thailand's case, the appointment has been blocked by an unelected, unaccountable and frankly mysterious committee. If you think that is for the betterment of Thailand, I give up hope..

 

The Council is headed by the Prime Minister or a designated representative, often the Deputy Prime Minister, and includes a Secretary-General, senior legal experts, and appointed advisors who specialize in constitutional, civil, and administrative law.

 

Doesn't seem that mysterious?