Thai private sector to give 4 billion baht loans to neighboring nations

[webfact]

Private sector to give 4 billion baht loans to neighboring nations

BANGKOK, 28 April 2015, (NNT) - The Neighboring Countries Economic Development Cooperation Agency (NEDA) has been planning to provide loans on several infrastructure projects in three neighboring countries.

NEDA Director Newin Sinsiri said that the projects currently negotiating loans are from Laos, Myanmar and Vietnam. These projects would constitute an estimated four billion baht in loans.

Mr. Newin believes that by providing financial assistance to these nations, Thailand plays an important role is developing the economy in northern Southeast Asia, as well as entrenches the Kingdom as an all-round hub of the ASEAN region.

The NEDA Director revealed that projects under negotiation include the 1.1-billion-baht investment project on power lines and power stations in Laos, and the 1.7-billion-baht project to upgrade power networks in Yangon, Myanmar.

The Laos power project may be expanded at a later date to connect power lines to Thailand. Meanwhile, the Myanmar power project is currently awaiting government approval and is expected to be announced by the end of 2015.

Director Newin disclosed that another project under negotiation is the 1.1 billion baht construction of a water gate in Ho Chi Minh City in Vietnam.


-- NNT 2015-04-28

[NeverSure]

Uh, No. This is the beginning of an attempt to establish the Thai Baht as the unit of trade in ASEAN. Each of those countries will owe baht to Thailand in significant amounts. Each will have to buy baht to make repayments.

It's Brunei, Indonesia, Malaysia, the Philippines, Singapore, Vietnam, Laos, Burma and Cambodia. They will all probably wind up trading in USD because that money is internationally exchangeable and they all hold some of it anyway to back their current international trades.

Why Thailand thinks that it would be handy to have a regional currency when they all already trade in USD is about Thainess and Hubris. It's not that the USD is better, it's just already in use just like English is the official international language so that everyone can have a meeting.

The sneaky little buggers aren't very transparent.

[connda]

I wonder if they charge 10% interest payable each week, and an 'enforcement' division to strong arm the neighboring countries into paying?