Nattawut: Number of newly registered businesses drops 19% in April

[webfact]

Number of newly registered businesses drops 19% last month

BANGKOK, 19 May 2014 (NNT) – The number of newly registered businesses in the month of April declined by 19 percent, thanks to the ongoing conflict that has dragged on for over six months.

Deputy Commerce Minister Nattawut Saikua revealed that a total of 4,265 new businesses registered with the ministry last month. When compared to the figure in March, the number in April represented a 19 percent drop.

The combined value of registered capital in April was more than 17 billion baht, with construction business topping the list, followed by real estate, machinery, restaurant, and management consulting businesses.

According to Mr. Nattawut, more than 800 companies were forced to close their businesses due to the effects from the political crisis in the country which has caused delays in government spending and impaired overall business confidence.

The political unrest also prompted the central bank to lower this year’s GDP forecast to 2.7 percent.


-- NNT 2014-05-19

[PoorSucker]

Isn't it better to compare against April last year Mr. Nattawut?

After all Songkran is during April, government offices were closed 19% more than in March.

[Gunna]

" more than 800 companies were forced to close their businesses due to the effects of "

Incompetence, ie shouldn't have been running a business in the first place

Not enough capital to start the business, eg Borrowed from loan sharks

No business plan, no idea of cash flow

Had to have new car as now business owner

[JohnThailandJohn]

Isn't it better to compare against April last year Mr. Nattawut?

After all Songkran is during April, government offices were closed 19% more than in March.

Was thinking the same thing.

[webfact]

Political uncertainty wrecks business confidence



BANGKOK: -- The weakened economy plagued by political turmoil for over half year has taken toll on the private sector with more than 800 companies shutting down and newly-registered businesses dropping.

According to caretaker Deputy Commerce Minister Nattawut Saikua, said mor than 800 companies were forced to shut down due to the political uncertainty and turmoil which has delayed government spending and wrecked business confidence.

He also said the number of newly registered businesses in the month of April showed a decline of 19%.

A total of 4,265 new businesses with a combined value of 17 billion baht registered with the ministry last month.

But when compared to the figure in March, the number in April represented a 19% drop, he said.

Construction business tops the list, followed by real estate, machinery, restaurant, and management consulting businesses.

Source: http://englishnews.thaipbs.or.th/political-uncertainty-wrecks-business-confidence/


-- Thai PBS 2014-05-19

[Dogmatix]

Ah yes - Nattawut, hired as deputy commerce minister because his superior knowledge of commerce. What an astounding revelation he came out with.

[rubl]

Would be interesting to see more details on those 800 companies which failed. Especially as the 2.2 trillion loan cancellation seems to have effected all those wishful thinking in construction, real estate, machinery, and management consulting businesses.

[ramrod711]

According to caretaker Deputy Commerce Minister Nattawut Saikua, said mor than 800 companies were forced to shut down due to the political uncertainty and turmoil which has delayed government spending and wrecked business confidence.

In the face of this disturbing news, I would ask the government to step down so that reforms can take place. I know they won't, they don't want power of course, they are just defending the constitution. Oddly enough, they did not seem to care about the constitution when they held the amnesty vote.

[Thai at Heart]

Isn't March end of FY.

If so, isn't there likely a spike in March every year.

[jpduggan]

Maybe that is just a reflection of the decline in property sales as us falangs have to form a company to buy property??Fewer properties bought equals fewer new business's registered.

[dcutman]

Would be interesting to see more details on those 800 companies which failed. Especially as the 2.2 trillion loan cancellation seems to have effected all those wishful thinking in construction, real estate, machinery, and management consulting businesses.

The caretaker govt and before have never been very good with details, as you know.

There is no doubt many of these 800 failed companies, paid dearly for the direct or indirect opportunity at Bt2.2 trillion.

[ChrisY1]

But...my trucking business in the south is going gangbusters.....moving rice all over the place!