“It can help aerospace operators and airlines reduce costs by up to 10 per cent per flight,” Espen Olsen, director of business development and sales for aerospace and defence, said yesterday.
The new solution called “Tail Planning, Optimisation and Assignment” was designed specifically for civil aviation, as it ensures optimal aircraft allocation for all flights and routes.
Dynamic scheduling reduces the impact of maintenance on airline operations. It can maximise fuel savings by reducing maintenance inefficiency through better allocation of aircraft to long-haul routes and assigning aircraft for maintenance.
However, it may force users to cut some jobs as it can replace some featherweight staff. Although the launching ceremony will be held in Sweden, the group is eyeing Asia and the Pacific, as the aviation industry in the region will continue to grow in the long term.
The International Air Transport Association predicts air-passenger growth doubling by 2035, with 7.2 billion people travelling by air over the next 20 years.
Four Asia-Pacific countries – China, India, Indonesia and Vietnam – are among the five fastest-growing markets.
Aircraft maintenance, repair and overhaul (MRO) demand in the Asia-Pacific region is already ahead of Europe and only just behind the United States.
Olsen expects the new solution to serve 40 new aerospace operators and airline clients in this region including four or five in Thailand after introducing the new service today in Gothenburg.
During the introductory period, the company is organising a two-day “Aviation and Aerospace MRO & Flight Operations IT Conference” in Bangkok today and tomorrow as part of regional expansion plans.
IFS has offices across the Asia-Pacific region including Bangkok, from where it provides services to the Royal Thai Air Force.
IFS has been in Thailand for nearly three decades, serving finance, human-resource, production and supply-chain management and solutions before shifting to the aviation segment.
Key customers are GFPT, CP Engineering, Jotun, Tokai Rubber and Asia Silicones Monomer.
Earlier this year consulting company ICF International said MRO demand in the Asia-Pacific region was 28 per cent of the global market. It has already outstripped Europe’s 26 per cent, and is only 1 per cent lower than the US.
IFS has appointed a market-development team to strengthen its presence in the booming Asean aerospace and defence markets.
This year IFS launched its Engine MRO solution to the Asia-Pacific civil-aviation market.
Engine MRO is an integrated enterprise asset management and MRO solution for the civil-aviation industry.

“We have lost some share of Thai corporations to them [local banks]. However, the bank sometimes has to allow the use of pricing to retain quality customers,” said Tharabodee Serng-Adichaiwit, BBL’s senior vice president and general manager for Vietnam.
Vietnamese banks need to lower their non-performing loan ratios, so they need to boost lending as much as they can, he said.
Vietnamese banks enjoy a lower cost of funds than foreign banks, so they can offer lower fees to customers.
Some Thai corporations doing business in Vietnam have switched to using Vietnamese banks for their credit needs such as project finance.
Normally, local banks will have exposure in consumer products and real estate, which are not the targets of Bangkok Bank.
However, local banks are now moving to top-tier customers, which are in the crosshairs of Bangkok Bank, as they are quality customers.
“Therefore, the competition this year is quite serious,” said Tharabodee, who also is manager of the Ho Chi Minh City branch.
Overall loans so far this year still are short of target, especially at the Ho Chi Minh branch, because of the fierce competition.
Some customers have also had to spend much time dealing with the complicated regulations for buying land and property.
However, the Hanoi branch has achieved the loan-growth target of 15 per cent after the bank increased the registered capital of the Ho Chi Minh and Hanoi branches to a combined US$250 million (Bt8.8 billion) from $80 million. The Hanoi branch had been unable to lend to some corporate customers because of the single lending limit, but after expanding capital, it can serve demand.
In Vietnam, a bank’s loans to a company cannot exceed 15 per cent of its capital and for a group of companies, the cap is 25 per cent.
Both branches have 40 deals in the pipeline for financing projects, mergers and acquisitions and greenfield projects. Bangkok Bank hopes that half of those deals will be finalised this year.
The bank has room to achieve the growth target of 15 per cent despite the price war in the market.
Vietnam demands investment in electricity to support economic growth, so the energy business is an interesting segment for foreign investors including Thai corporations.
As a developing country with a growing middle class, Vietnam is giving importance to reducing pollution, so renewable energy has become the choice.
This will be an opportunity for Thai corporations. However, the cost of renewable energy might be unattractive now, Tharabodee said.

I lived in Thailand many years ago, and am saddened to hear of his demise and know how highly revered he is there.
While his political power was limited, His Majesty was seen not only as a stabilising force but also as a very important influence on the military, bureaucracy and all other segments of society, helping to ensure stability over his 70-year reign, which spanned many changes – and at times turmoil – not only in Thailand but also throughout the world.
When concerns about his health began to intensify, the equity market and the baht also began to suffer.
As the world’s longest-reigning monarch and given the overwhelming emotional ties the Thais have with him, the ramifications of the royal succession have been a source of uncertainty in Thailand for many years, although it is expected that His Royal Highness Crown Prince Maha Vajiralongkorn will succeed his father in due course.
I think it will take time for people to get used to the change, and while the Prince doesn’t have the same stature his father had, it is hoped the Prince will be able to step in and help Thailand move forward in a positive direction.
One thing we do know is that there is a very dynamic situation in Thailand right now. The country has been prone to coups, and has been under military rule since the one in 2014.
A general election is scheduled next year, so we could see some significant changes ahead, and investors need to be prepared for that – and also for market volatility.
Thailand’s equity market has reacted negatively to the current uncertainty, with concerns centred on possible instability due to conflicts of interest between different groups in the aftermath of the succession, including potential terrorist plots.
There are also concerns that in the aftermath of the succession – after a national mourning period – political differences could re-emerge in Thailand, which have in the past been destabilising.
However, in our view, the backdrop to the royal succession has improved drastically in recent years, with competing street protests long since passed and a new constitution approved by the electorate.
The military government remains in power to oversee any succession as well as the 2017 elections. Security across the country appears to be tight.
In general, we remain constructive on the macro situation in Thailand.
Large banks there look attractive to us, as growth has been reflected in the latest quarterly earnings reports. Valuations also appear reasonable.

Our outlook
Despite the market volatility we have seen so far, it is worth noting that the Stock Exchange of Thailand generally is higher than its 2016 lows, and the baht remains stronger than early in the year.
In the short term, we think the power transition in Thailand is likely to affect specific areas of the economy.
A period of national mourning would be expected to affect the media and entertainment industries, for example, and there could be secondary effects on tourism.
Uncertainty relating to the monarchy has been a long-running concern of both domestic and foreign investors, so many market participants hold excess cash that may act as a spur to the market as these fears pass with the succession.
In addition, Thailand’s government is embarking upon an ambitious long-term growth agenda in its recent five-year plan, with a focus on infrastructure spending, both directly from public funds as well as through state enterprises executing projects, aided by debt and public-private partnerships.
Beyond weak near-term sentiment, the structural drivers in Thailand – from a macroeconomic perspective as well as the country’s bottom-up stock fundamentals – remain attractive to us.
A reduction in longer-term uncertainty should prove positive for the Thai market.
We view Thailand’s low fiscal deficit of 3 per cent as providing room for further stimulus spending if required.
Additionally, the substantial current account surplus – above 12 per cent of gross domestic product – should be supportive of the currency and should place Thailand in a strong position to benefit from a potential recovery in global trade.
We think these factors, alongside the typical boost to spending that usually accompanies elections, are likely to have a far greater effect on Thailand’s overall economic growth than the current short-term uncertainty. I also think it’s very important to point out that while there remains potential for political friction, Thailand has a long history of rebounding from difficulties, demonstrating both the resiliency of its people and economy as well as the competency of its bureaucracy.
Recent events do not fundamentally alter our positive outlook toward the country.

MARK MOBIUS is executive chairman of Templeton Emerging Markets Group.

Supapat Ongsangkoon, deputy director-general of the International Trade Promotion Department, said Thai trade |representatives in more than |60 overseas offices had reported that foreign traders’ belief in the country had not waned as they were confident in the government’s strategiesto drive economic growth.
Commerce Minister Apiradi Tantraporn has told Thai trade counsellors overseas to assure trading partners that it is business as usual, which also applied to upcoming international trade fairs that the Kingdom would host as well as other business activities, with events going ahead as scheduled.
From November 13-16, the ministry will stage a business-matching activity to introduce Thai tapioca and rice traders |to international buyers. Almost 200 foreign traders have so far committed to the event, Supapat said. Of those, 135 are rice traders, and 64 are tapioca traders.
Supapat said international buyers understood the current situation and reaffirmed that they would maintain their business plans for Thailand. Thai trade officials overseas have advised foreign businesspeople on how to dress when visiting Thailand to honour the late King.
Two international events set for next year in Thailand are the “Bangkok Gems and Jewellery Fair” in February, and “Thaifex: World of Food Asia” in May.
Meanwhile, the Business Development Department gave approval to 289 foreign companies to set up operations worth a total of Bt5.97 billion under the Foreign Business Act (FBA) during the first nine months of the year.
The number of approvals is 14 per cent lower than in the same period last year, while the value of initial capital investment decreased Bt7.03 billion, attributed to many businesses investing in financial-related businesses last year.
The department said permitting these companies to conduct service businesses in Thailand would encourage a technology transfer and create jobs for Thais.
Bangjongjitt Angsusingh, directorgeneral of the department, said many foreign investors were highly interested in establishing businesses in Thailand as part of their regional integration policies and the strong growth in the region and in the country.
“More investment will be seen in the remaining months of the year, as well as through next year.
The government will |try to facilitate more investment under economic stimulation policies and Asean integration, in particular special economic zones and 10 clusters investment,” she said.
In September alone, 17 companies were approved under the FBA, bringing Bt193 million in initial investment capital.
Bangjongjitt said the September approvals would create more than 98 new jobs for Thais. Most of the companies approved were susidiaries, agencies, retailers and wholesalers and mostly came from Japan, Singapore and Switzerland.

Banjongjitt Angsusingh, director-general of the Business Development Department, said more investors were expected to start new companies in the remaining months of this year as a result from the government’s investment-promotion measures and strong tourism growth.
“Thailand will maintain the momentum of promoting investment under a strategy to develop the local economy and increase employment. The plan to encourage the setting up of start-ups and small and medium-sized enterprises will help increase investment,” she said.
The department expects most of the new companies will be in the construction, property-development, restaurant, consultancy, and machinery businesses. The number of new business registrations in September declined by 2 per cent to 6,076 companies., while initial investment capital was down 51 per cent year on year to 22,429 firms
The department claims that its measures to facilitate new enterprises have also resulted in the establishment of more new businesses. These include the Transaction Security Act and the one-person-company legislation.
The Commerce Ministry expects gross domestic product to grow by 3.2-3.5 per cent this year, which will encourage strong business expansion, with the department expecting about 60,000-65,000 new registrations this year. However, Bangjongjitt said some risks remained that could affect enterprises’ decisions to expand their businesses, including the sluggish export sector and fluctuating oil prices, as these factors could affect spending power.
The department also reported that 11,835 companies closed in the first nine months, down by 0.2 per cent year on year. A total of 639,907 companies are actively operating in the country, of which 1,149 are public companies.

The council said investment spending would be dominated (95 per cent) by five major destinations – Thailand, Singapore, Vietnam, Indonesia, and Malaysia – which together accounted for over 80 per cent of Asean’s international arrivals and tourism contribution to gross domestic product.
The study, “Travel & Tourism Investment in Asean”, looked at the years 2016 to 2026.
Travel and tourism investment in Asean over the next decade is forecast to total US$782 billion (Bt27.4 trillion), or 7.4 per cent of all investment in the region. This represents growth of 6.3 per cent per year, nearly 2 percentage points faster than the global average, WTTC said.

Some countries may fall short of investment in infrastructure
However it said that given the strong demand for travel to this region, some countries were still at risk of not investing enough to ensure infrastructure meets the needs of the forecast tourism |growth.
The report highlights the investment needed in Asean to support the region’s forecast travel and tourism growth over the next decade.
Asean is one of the world’s most tourism-dependent regions. The industry contributes 12.4 per cent of GDP, nearly 4 per cent above most other world regions. However, according to the report, Asean’s tourism infrastructure currently only ranks ahead of Latin America, the Caribbean and Africa.
As such the outlook across the 10 constituent countries of Asean is mixed. Myanmar, Cambodia and the Philippines are classified as “infrastructure-constrained”.
Forecast investment is not deemed to be sufficient to ensure that poor existing infrastructure can be improved to meet the needs of future tourism demand and to maintain competitiveness.
Vietnam and Laos are identified as having “improving infrastructure and growth prospects” although future investment will need to be channelled effectively and targeted at priority areas.

Thailand needs investment focus
Thailand is the only country classified as “future focus critical”, where relatively strong existing infrastructure and future demand growth need to be supported by a continued investment focus.
Malaysia and Brunei are expected to balance future infrastructure investment needs with forecast demand growth.
Singapore and Indonesia are classified as “having high levels of infrastructure spending and forecast growth that should allow them |to sustain projected levels of demand”.
David Scowsill, president and chief executive officer of the WTTC, said: “Our research shows that investment in infrastructure is critical to the future sustainability of travel and tourism. As one of the fastest-growing tourism markets, public and private sector leaders across Asean must prioritise tourism investment and channel it effectively to ensure the region’s infrastructure can meet this increasing demand.”
WTTV said Singapore and Indonesia were leading the way in terms of their infrastructure development but across Asean much more was required.
For some countries this might mean expanding capacity through increasing visitor accommodation, airport capacity and tourist facilities while others need to maintain and enhance their current infrastructure, it said.

The project would be funded by the watchdog’s universal service obligation (USO) fund, NBTC deputy secretary-general Korkij Danchaivichit said.
He added that the NBTC office draw up this project after meeting with ACM Prajin Juntong, deputy prime minister and acting Digital Economy and Society minister recently.
If approved, it would be a collaboration between the regulator and the Digital Economy and Society Ministry to promote broadband service access to remote areas.
The NBTC would install broadband Internet in 3,920 villages, including the establishment of Internet centres in schools with between five and 11 desktop computers per school.
The Internet connection speed would be 30/10 megabits per second.
Korkij said the NBTC planned to soon hire a consultant to study the project before the drafting of its terms of reference (ToR) the NBTC’s board approved the initiative.
If the telecom committee approves the proposal, the NBTC office would send the proposal to the Broadcasting and Telecommunica-tions Research and Development Fund (BTFP) panel for its consideration and then to the NBTC board for final approval.
The planned ToR would divide the broadband Internet network installation zones into four geographical areas, with telecom |operators invited to bid for the project.
Currently the USO fund, which is part of the BTFP fund, has Bt24 billion in cash.
According to the government plan, there are 74,987 villages, which can be divided into an A and B class and a C and C-plus class.
The zone A and B covers 30,635 villages, which already have access to broadband Internet, while the zone C and C plus consists of 44,352 villages that do not.
The NBTC would roll out broadband Internet in all 3,920 villages in the C-plus zone.
Earlier the government assigned the Digital Economy and Society Ministry to take care of zone C, which totals 40,342 villages.
The ministry invited telecom operators to join the bid for the roll out of broadband internet in the zone but only TOT did so. As a result, the ministry will scrap the bid and will draft a new ToR.
The ministry will spend Bt13 billion in covering 24,000 villages in zone C with broadband Internet in the first phase.
It is expected to assign the NBTC to install the broadband Internet network in the remaining 10,000 villages of zone C.
The National Council for Peace and Order recently allowed the NBTC to use the USO fund to develop telecom projects for the public. In 2014 the NCPO told the NBTC to suspend its plan to use the USO fund, pending its complete scrutiny of the NBTC’s overall budget spending.

She said she decided to join the enterprise when she saw the opportunity to generate more income from growing herbs on about 2 rai (3,200 square metres) of land. She supplies the herbs for the production of personal-care products.
Earlier, Wanwinee opened a street food outlet in Nam Kien, while also growing herbs on her 2 rai to supply her restaurant. Her business generated average income of Bt200 a day.
Chusin Senrattana founded Chewavitee Community Enterprise in 2007 with 20 members. The community started to produce herbal shampoo for the members and also sell to locals.
The community enterprise now has 675 members from 224 families, and now makes 30 personal-care products including shampoo, soap and lotion. They are all made from herbs grown locally.
“I started to sell my household herbs to the community to increase my income by Bt2,000-Bt3,000 a month. This allows my family to have enough cash to improve their quality of life,” Wanwidee said.
Chusin set he established the enterprise when he saw the opportunity to increase incomes for the people in the community.
He said the idea was to help people in the community generate sustainable income from local resources, as Nan province has more than 30 herbs suitable for personal-care products. Locals buying the products were able to save about Bt500-Bt1,000 per month as they no longer needed to purchase them from outside producers.
Once local demand was outstripped by production, the enterprise began selling the products to other communities in 2010. As a result, members of the enterprise were able to earn Bt2,000-Bt3,000 in sales revenue.
Nine years after establishing Chewavitee Community Enterprise, it generates a average of Bt3 million a year in revenue, and annual net profit of Bt400,000-Bt600,000. The profit is spent on community needs such as hospital equipment and scholarships.
Meanwhile, the community also established Chewavitee Herb Co with registered capital of Bt1 million last year. Chusin said the company was consulting with the Commerce Ministry on how to begin exporting its products, which it hopes to start doing after two or three years.
“This will be our next step to help our community have sustainable growth for the long term,” he said.
Chewavitee Community Enterprise is one of 10 finalists in Government Savings Bank’s “Pink Pracha Rath Community Award” campaign.
When it launched the project, GSB invited community enterprises nationwide to send in their business models. A committee will select the winner of a Bt500,000 award.
GSB president Chatchai Payuhanaveechai said this was the first year of the campaign, and 432 community enterprises had sent in business models since early this year. A winner will be chosen from the 10 finalists at the end of this month.
He said the bank hoped the project would encourage other community enterprises, for which GSB would provide loans with special interest rates.
Meanwhile, the bank also provides “Pracha Rath Loans” for low-income people wanting to run businesses, so they do not need to turn to loan sharks.
Jiraporn Nuping, 48, who owns the a dress shop in Nan’s Muang district, said: “Only one week after applying for the loan from the bank, I was able to borrow Bt50,000 for cash flow to expand our business for this high season.”
She said the loan would help her double the number of products for sale during the tourist high season, which in Nan runs from October until the end of the year. In the first week of this month, sales revenue jumped from the weekly average of Bt15,000 to Bt20,000 as she had more products to offer.
Uraiwan Kamna, 40, who produces and distributes local souvenirs at her gift shop in Nan, said a Pracha Rath Loan from GSB helped her expand her product range to serve to serve the strong demand from tourists.
“Our sales increased by more than 20 per cent from normal thanks to the loan,” she said.

ADB will provide the financing to Punjab National Bank – one of India’s largest commercial banks – which will use the ADB funds to make loans to various developers and end users throughout India to install rooftop solar systems.
“There is huge potential for India to expand its use of solar rooftop technology because of the sharp drop in the price of solar panels, meaning the cost of producing solar energy is at or close to that from fossil fuels,” said Anqian Huang, finance specialist in ADB’s South Asia Department. “Sourcing more solar energy will also help India meet the carbon emissions reduction target that it has committed to as part of the recent global climate change agreement.”
The financing comprises $330 million from ADB and $170 million from the multi-donor Clean Technology Fund administered by ADB. This funding should mean that 11 million fewer tonnes of greenhouse gases are emitted over the typical 25-year lifetime of solar rooftop systems.
Combined with an additional $300 million in subproject equity investment and $200 million in loans from commercial banks and other financiers, the cost of the Solar Rooftop Investment Program is $1 billion.
The government of India aims to increase the amount of energy sourced from solar rooftop systems to 40 gigawatts by 2022. This is part of a wider goal under the Jawaharlal Nehru National Solar Mission to increase its overall solar energy generation to 100 gigawatts by the same date.
India’s intended nationally determined Contribution, or carbon-emission reduction target under the 2015 Paris agreement, is to lower the emissions of the Indian economy by 33 per cent from 2005 levels and to increase the share of non-fossil-fuel-based power generation capacity to 40 per cent of installed power capacity by 2030. India formally ratified the Paris climate agreement yesterday.
To support efforts by India and other Asian developing member countries to meet their targets, ADB has also committed to doubling its annual financing for climate mitigation and adaptation to $6 billion by 2020.
The solar rooftop market is still at an early stage of development in India and awareness of the latest technologies and the financial benefits is low. Banks see lending to such projects as risky, in part because they have limited past experiences. In this context, an additional $5 million technical assistance from the multi-donor Clean Technology Fund, administered by ADB, will be used to provide training, promote market development, and raise market awareness.
ADB, based in Manila, is dedicated to reducing poverty in Asia and the Pacific through inclusive economic growth, environmentally sustainable growth, and regional integration. Established in 1966, ADB in December 2016 will mark 50 years of development partnership in the region. It is owned by 67 members from the region. In 2015, ADB assistance totalled $27.2 billion, including co-financing of $10.7 billion.