Central bank chief: Political uncertainty damaging Thai economy
By English News



BANGKOK, Nov 11 – Thailand’s political conflicts and continued instability have begun to diminish the confidence of tourists, consumers and the business sector, according to central bank governor Prasarn Trairatvorakul.

He said the Bank of Thailand (BoT) would do its best to maintain liquidity in domestic financial system in light of the increasing risks to the Thai economy.

Speaking on the Thai economy in a volatile situation, Mr Prasarn expressed concern at the planned protests by several civil society groups against the amnesty bill today, which coincides with the verdict of the International Court of Justice on the Preah Vihear case – a long-standing dispute between Thailand and Cambodia.

He said BoT employees who rallied outside the central bank to oppose the amnesty bill were exercising their fundamental rights in accord with the democratic system and that their demonstration did not impair their routine work.

He said the government’s initiatives on the amnesty bill have created distrust among Thai people, similar to the rice pledging plan.

“People’s lack of confidence weakens the government. It should understand the real situation and accept the causes of the problems,” said Mr Prasarn. (MCOT online news)


-- TNA 2013-11-11

Well, pretty vague and weak willed statement in typical fashion.

However, the fact that he expressed that the BoT will "do its best" (in other words - try) might be a hint that things are coming off the rails.

Assuming a correct translation of course.

Edited November 11, 201312 yr by PaullyW

The solution to Thailand's problems is out there.

40 baht to a dollar would be good....the good old times.

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well they didnt need the protesters to undemine confidence its happening for years now.if you read what hes said..ita kick right in the bollo-x for the current government bot no-less

Wasn't it that the economy was doing fine only last week?

I disagree...it's pretty strong for a central banker, quite critical of the govt. However I believe the economy was well off the rails before the amnesty bill.

As for the Baht @ 40? Can't see that ( and the consequent inflation would smash the country were it to happen). 34 or 34 would give a good kick-start if this amnesty thing would die.

Well, pretty vague and weak willed statement in typical fashion. However, the fact that he expressed that the BoT will "do its best" (in other words - try) might be a hint that things are coming off the rails. Assuming a correct translation of course.

Wasn't it that the economy was doing fine only last week?

A week is a long time in politics economics !

And the damage to the Thai economy began, when a bunch of idiots came to power, and introduced the rice-scam & free-tablets & first-car-subsidies & nonexistent-flood-control-measures & unprofitable-infrastructure-schemes, all on borrowed money.

Or Thaksinomics, as it used to be known.

Wasn't it that the economy was doing fine only last week?

It's reported that today the Baht hit a 7 year low but against which currencies wasn't reported.

All of us on pensions are praying to whichever god we believe in.

The political uncertainty has been brought about by one particular party, no else is to blame and the total mismanagement , judgement of the response of the Thai people , who they take for granted on a large scale.

Wasn't it that the economy was doing fine only last week?

It's reported that today the Baht hit a 7 year low but against which currencies wasn't reported.

All of us on pensions are praying to whichever god we believe in.

It will be short lived. Bernankes munificence outweighs a year of protests.

'Hot' money is already flowing out. More leaving will drive the Baht down a bit. Good for everyone, so long as it doesn't overshoot and become an issue of national pride...

Wasn't it that the economy was doing fine only last week?

It's reported that today the Baht hit a 7 year low but against which currencies wasn't reported.
All of us on pensions are praying to whichever god we believe in.

It will be short lived. Bernankes munificence outweighs a year of protests.

"He said the government’s initiatives on the amnesty bill have created distrust among Thai people, similar to the rice pledging plan. “People’s lack of confidence weakens the government. It should understand the real situation and accept the causes of the problems,” said Mr Prasarn."

Very powerful words from the BOT Chief, bordering on dissention, but also so very true. This Thaksin proxy government is the cause of all Thailand's economic, political and social ills. They are governing for one man at the expense of all Thais, and believe the people support them in this endeavour. They need to face the reality that the instability they are generating in society is draining the electorates confidence in them, their policies and their ability to manage. as they .

Now, most educated poster realise that this, Yingluck, administration is expendable, it serves only for one purpose and that is to make the Thaksin agenda reality. However, aggressively pushing this unpopular agenda means they are haemorrhaging support to the point they are committing political suicide.

Edited November 11, 201312 yr by waza

'Hot' money is already flowing out. More leaving will drive the Baht down a bit. Good for everyone, so long as it doesn't overshoot and become an issue of national pride...

Wasn't it that the economy was doing fine only last week?

It's reported that today the Baht hit a 7 year low but against which currencies wasn't reported.

All of us on pensions are praying to whichever god we believe in.

It will be short lived. Bernankes munificence outweighs a year of protests.

In reality, it becomes a buying opportunity quite quickly, so it probably won't move much. It's basicgrandstanding. Thailand has been in virtually a permenant state of political crisis since Thaksin got into power the first time. In fact, if you look at it since 1997, it's been pretty much a political mess, but somehow the wheels have kept turning. At the end of it, what would really change for any floreign company or investor if there was a coup or the government changed tomorrow?

Virtually nothing.

Great headline and this has been true since Thaksin and his clan had control of this country. Nothing new here.

Central bank chief: Political uncertainty damaging Thai economy

Yes, probably, for a period of time...

How about coming out with a statement like this, Mr. Central Bank Chief:

Corrupt Politicians systematically damaging Thai economy since decades

Have you got the b*lls?