Digitalisation and sustainable funding key items on agenda of Apec finance ministers
WEDNESDAY, OCTOBER 05, 2022
Nongluck Ajanapanya
The two major items to be discussed at the upcoming Asia Pacific Economic Cooperation (Apec) Finance Ministers’ Meeting (FMM) 2022 would be digitalisation and sustainable financing, Finance Minister Arkhom Termpittayapaisith revealed on Wednesday.
He mentioned the Apec FMM agenda in a keynote address at the launch of an intensive training programme encouraging Thai businesses to export.
He described the current trade situation as “full of challenges and uncertainties”. The top three causes of concern are: rising energy prices, food shortages, and supply chain disruption.
Funding is one of the key requirements to address these challenges, said Arkhom. Hence, financial institutions must adapt by implementing digital systems to provide efficient service and policy.
Meanwhile, it is the responsibility of finance ministers to assist all people in obtaining funding with financial inclusion.
Thailand will host the Apec FMM on October 19-20. Finance ministers and central bank deputies from 21 member countries will attend to discuss how to best collaborate to drive economic growth in the Apec region.
Exim Thailand launches workshop to encourage more exports by Thai businesses
WEDNESDAY, OCTOBER 05, 2022
Nongluck Ajanapanya
Thailand’s Export-Import Bank of Thailand (Exim Thailand) is collaborating with four leading private organisations to launch “TOP X”, an intensive workshop programme, aimed at educating entrepreneurs on exports and developing enterprising businesses.
The programme is part of an effort to promote and assist Thai businesses, particularly small and medium-sized enterprises (SMEs), in exporting their goods and services.
The four partners are the Federation of Thai Industries (FTI), Thai National Shippers’ Council (TNSC), Thai Chamber of Commerce, and Mahidol University’s College of Management (CMMU).
Rak Vorkitpokatorn, president of Exim Thailand, stated at a press conference on Tuesday that the country currently has nearly six million entrepreneurs. However, even though they have the potential to compete in the international market, less than half of them export. The figure is even worse for SMEs, where only one per cent export.
“The problem is fear and lack of knowledge. TOP X will eliminate those difficulties and strengthen them with all essential information and tools,” Rak noted.
Thailand’s Finance Minister Arkhom Termpittayapaisith presided over the event and delivered a keynote speech, emphasising the importance of Thai businesses expanding abroad.
Speaking on the topic of “Export Opportunity for the Next Normal”, Arkhom stated that current scenarios and uncertainties have forced Thai businesses to expand their trade outside of the country. It is because the global market is larger and provides more opportunities for growth. Many supportive policies and measures have already been implemented by the government.
FTI chairman Kriengkrai Thiennukul praised the programme for helping the country create a new generation of entrepreneurs while equipping the old with updated knowledge.
“This is a proactive workshop designed to train our entrepreneurs to be skilled exporters. The majority of our top 50 exporters are now multinational corporations. As a result, we must assist our entrepreneurs in competing. Meanwhile, if you own a small business, the programme will act as a facilitator to help you go abroad safely “Kriengkrai stated.
Visit Limlurcha, vice chairman of the Thai Chamber of Commerce, added that the main objective of the programme was to adjust Thai entrepreneurs’ mindset about export.
“It is not difficult to export. They must overcome their apprehension. The programme will help them understand, expand their network, and provide experts to help them strengthen and sustain their business in the long run,” Visti said.
Chaichan Charoensuk, chairman of TNSC, added that doing business in the nation is not enough. The programme will show the way forward with new technology and innovation.
Wichitta Raktham, Dean of CMMU who is directly responsible for overseeing the course, said the programme will educate participants on how to seize opportunities, inspire them to take action, and provide some funding to help them achieve their goals.
“We will close every gap that prevents them from exporting,” Wichitta insisted.
The Top X Executive Programme Class 1 is a 10-week training and workshop course for business owners and executives of both large and small companies to develop and enhance export business knowledge throughout the export value chain.
The workshop includes on-site training with experienced experts as well as business trips both domestically and internationally.
The trainees will gain current and comprehensive knowledge, concepts, insights, and strategies on international business operation and management, as well as learn about relevant rules and regulations.
They will also broaden their experience through business trips, develop their business alliance networks, and expand their customer base through business matching deals.
Rak added that Exim Thailand will collaborate with Team Thailand to bring Thai entrepreneurs to the Next Normal global markets via both online and offline platforms, as well as the penetration of new frontiers, particularly the CLMV (Cambodia, Lao PDR, Myanmar and Vietnam).
“We have now established our representative offices there. The bank will contribute to the development of an international trade and investment ecosystem that connects Thailand’s economic, social, and environmental development and alliances, as well as add economic, social, and environmental value to the global community at large,” Exim’s president stated.
All 50 participants of this first class will be offered a credit facility from Exim Thailand, with the lowest interest rate of 4.5 per cent per annum in the first year, no asset collateral required, no front-end fee for an export insurance policy under Exim for Small Biz programme. The credit approval is within seven business days.
Rak concluded that in order to grow and thrive, Thai exporters, producers for exporters, and air-land-sea logistics service providers must step outside of their comfort zone. Exim and its partners will act as facilitators to ensure their survival and success.
Key business body banks on tourism for Thailand to maintain economic recovery momentum
WEDNESDAY, OCTOBER 05, 2022
THE NATION
The Joint Standing Committee on Commerce, Industry and Banking (JSCCIB) on Wednesday adjusted its 2022 gross domestic product estimate to 3 to 3.5 per cent, changing from the previous estimate in June of 2.5 to 4 per cent.
“Although Thailand is still being pressured by a declining global economy as a result of international conflict, the committee believes that the tourism industry, which is recovering at a faster than expected pace, will help us sail through this crisis,” said JSCCIB chairman Sanan Angubolkul.
The committee, which comprises representatives from the Thai Chamber of Commerce, the Federation of Thai Industries, and the Thai Bankers’ Association, estimated that total exports in 2022 would expand in the range of 7.0 to 8.0 per cent year on year, while headline inflation will be at 6.0 to 6.5 per cent.
“The recovery of the tourism industry is showing an upward trend above our expectation, with 1.17 million foreign visitors recorded in August. We believe that total foreign arrivals this year will be around 9-10 million people, whose spending will help create jobs and demand in tourist provinces,” said Sanan. “However, domestic consumption this year is likely to be affected by the rising inflation that diminishes people’s purchasing power.”
The JSCCIB also predicted that total damage from floods this year would be in the range of 5 to 10 billion baht. The committee estimated that rice output would be affected by the floods, but not to the level that could create a major impact on the overall economy. “We also believe that industrial entrepreneurs have been preparing their facilities to minimise the risk of floods affecting their operation,” said Sanan.
The committee said inflation would remain high throughout the year despite fuel price in the global market dropping to below US$100 per barrel. “Inflation, along with the weakening of the baht to 38 to the US dollar, would continue to raise import costs for industrial entrepreneurs,” said Sanan.
“Business operating cost will also go up as a result of rising electricity bills since September and increasing daily minimum wages from October. These could be the reason for entrepreneurs to consider further raising the prices of products and services in the rest of the year,” he said.
Cabinet approves three extra holidays for Bangkok during Apec Summit to ease traffic woes
WEDNESDAY, OCTOBER 05, 2022
THE NATION
The Cabinet on Wednesday declared three extra holidays for Bangkok and surrounding provinces in the middle of next month to reduce traffic congestion during the Apec Economic Leaders’ Meeting.
The Cabinet announced November 16-18 will be extra holidays for government agencies in Bangkok and suburban areas, to create a five-day long weekend with the hope that Bangkok residents would leave the capital during the summit of the Asia-Pacific Economic Cooperation (Apec) forum.
Thailand, the host of Apec Summit 2022, announced that the meeting of leaders will take place on November 18-19 in Bangkok.
Government spokespersons said that the Cabinet wanted to reduce traffic congestion in Bangkok during the Apec Summit to ensure that participants of the meeting could conveniently reach the venue. The move also was aimed at providing protection to the economic leaders.
However, the Cabinet ordered government agencies that have to provide public services, such as hospitals, courts and banks, to consider whether to remain open.
Sept headline inflation slows as energy, food prices stabilise
WEDNESDAY, OCTOBER 05, 2022
THE NATION
September’s headline inflation rose by 6.41 per cent, a slight decline from the previous month, in line with a slowdown in energy, housing and food-ingredient prices, the Commerce Ministry reported on Wednesday.
Ministry deputy permanent secretary Poonpong Naiyanapakorn said the headline inflation index in September was 107.70 points, an increase of 6.41 per cent.
But the inflation expansion rate was lower than that of August, which saw inflation rise by 7.86 per cent.
September’s core inflation rose by 3.12 per cent, compared to an increase of 3.15 per cent in August, Poonpong said.
He noted that the overall prices of goods and services in September were still higher than the same period last year mainly because prices were adjusted higher to reflect increased manufacturing costs.
The rising prices were also attributed to floods, farmland damage and rising demand, which has improved.
Poonpong said the key factors that caused headline inflation to rise were an increase in energy prices by 16.10 per cent. Although oil prices have come down compared to the previous month, the prices were still higher than September 2021.
Meanwhile, electricity fees, cooking gas, medical treatment, personal services such as haircut, necessities such as toothpaste and shampoo, public transportation, school fees, tobacco, alcoholic drinks and cigarettes cost more than in September last year, he reported.
Poonpong pointed out that some goods and services have seen prices go down, including face powder, parcel fees, TV sets, air-conditioners and washing machines.
However, fresh food prices rose by 10.97 per cent as meat and pork cost more, while instant food prices increased slightly but those of food ingredients dropped, though they were still higher than in September 2021.
Poonpong said farms and fields were inundated while demand rose, causing the prices of food and non-alcoholic drinks to rise by 9.82 per cent.
The Commerce Ministry expects fourth quarter inflation to slow down in line with stabilising costs in manufacturing and transportation.
Poonpong said the ministry also expects headline inflation throughout 2022 to be between 5.5 and 6.5 per cent, with a 6.0 per cent median rate.
Today, Thursday, marks the 46th anniversary of the killing of students by police and ultranationalist forces in a political clash on October 6, 1976, also known as the October 6 event.
Thais nationwide remember the event as one of the worst massacres in political history.
The massacre followed a riot in which thousands of students and concerned citizens gathered at Thammasat University and nearby Sanam Luang square to protest the return of former military dictator Field Marshall Thanom Kittikachorn to Thailand from Singapore.
Before that, an uprising on October 14, 1973, overthrew Thanom’s unpopular regime, forcing him to flee Thailand to the neighboring country.
On September 7, 1976, a group of political activists held a rally at Thammasat University to discuss the possibility of Thanom’s return and its impact on peace and order.
On September 24, Wichai Ketsriphongsorn and Chumphon Thummai, two labour activists from Nakhon Pathom, who put up anti-Thanom posters, were attacked and beaten to death. Their bodies were gruesomely hung from a gate in the province’s Muang district, which later became known as the “Red Gate”.
On September 28, more than 10,000 people gathered at Chulalongkorn University in Bangkok’s Pathum Wan district to protest against Thanom returning. The rallyists who comprised college students and the general public decided to move to Thammasat University in Phra Nakhon district on October 3, and later announced they would disperse on October 6 during the day.
However, at 5.30am on October 6, the police used war-grade weapons, including assault rifles, grenade launchers, anti-armour rounds and grenades, in a move to crack down on the protesters. The demonstrators frantically tried to defend themselves, but were quickly defeated.
Right-wing paramilitaries also lynched fleeing protesters, who were reportedly assaulted, robbed, sexually abused, shot, burned alive or beaten to death. Even some who had already surrendered were not spared.
Several sources claimed more than 100 died at the hands of the military, police and paramilitary forces, contradicting the government report which said 46 persons were killed. The report also said 167 protesters were injured and 3,094 arrested on that day.
Now, every year on October 6, relatives of the victims, representatives of political parties and various organisations make merit and lay wreaths and flowers at the Sculpture of 6 October 1976 Memorial near Thammasat University’s Tha Pra Chan campus.
Thailand-Laos railway project steams ahead, operations to start in mid-2023
THURSDAY, OCTOBER 06, 2022
THE NATION
The Thailand-Laos rail project linking the China-Laos railway is on track, with services expected to commence in mid-2023 and both countries agreeing that Thanaleng station in Vientiane’s Hadxayfong district will be an international one, the State Railway of Thailand (SRT) said on Wednesday.
During the latest meeting last month with representatives from the Lao National Railway Authority, the neighbouring nation agreed to send train operators, maintenance staff and related officials for training in Thailand, the SRT said.
The training is expected to be completed by December, after which both countries will discuss train operations and fees, as well as other related issues. The discussions are expected to wrap up before the scheduled opening date in mid-2023.
The project will see the railway linking Nong Khai province to the Laotian capital of Vientiane, where it will connect the China-Laos railway that runs to Kunming. This stretch went into operation in December last year.
The Thailand-Laos-China railway will be a boon for tourists and cross-border trade among the three countries.
Under the first phase, the Thailand-Laos rail line will sport four stations – Na Tha and Nong Khai in Thailand along with Thanaleng and Vientiane Khamsavath in Laos.
Train operations commence in mid-2023 with four return trips per day. The route will also run pass the Thanaleng Dry Port and a container yard.
In the second phase starting from 2024, the SRT will extend the route to Udon Thani and Nakhon Ratchasima stations, with two trains running daily from Nakhon Ratchasima to Vientiane Khamsavath and back.
The last phase, from 2025, will see the route further extended to Bang Sue Grand Station, with two return trips per day between Bangkok and Vientiane Khamsavath.
Treatment at home recommended for Covid patients with mild symptoms
WEDNESDAY, OCTOBER 05, 2022
THE NATION
Covid-19 patients with mild symptoms can treat themselves at home, but they have to undergo prevention measures while going outdoor, the Department of Medical Services said on Wednesday.
The department acting director-general, Thongchai Keeratihattayakorn, said Covid-19 infections and deaths in Thailand have dropped, thanks to a decline in the severity of the disease.
However, he urged vulnerable people, including the elderly and people with underlying diseases, to receive at least four Covid-19 jabs as most Covid-19 deaths were of seniors who were not vaccinated or not fully vaccinated.
He said people should take a rapid antigen test if they develop mild symptoms, such as sore throat and fever. He also recommended patients to stay five days in isolation to contain the spread of Covid-19.
“If patients have to go outdoors, they should undergo Covid-19 prevention measures, including wearing two face masks, washing hands regularly, and keeping a distance from others,” he said.
They should consult a doctor if they develop severe symptoms, such as fever of 39 degrees Celsius, oxygen saturation lower than 94 per cent or have underlying diseases, he added.
He also advised people to wear a face mask and wash hands regularly, depending on their risk of Covid-19 infection.
Thongchai said Covid-19 patients with mild symptoms will receive medicines based on their symptoms and can treat themselves at home.
“If patients develop severe symptoms, they will be treated as inpatient, while physicians will prescribe Remdesivir for them,” he said.
He said physicians would issue medical certification to allow outpatients to take five days leave, adding that inpatients will receive medical certificate depending on treatment duration.
Tanin transistor radios fly off the shelves after PM’s advice to locals in floodhit province
WEDNESDAY, OCTOBER 05, 2022
THE NATION
A popular model of the transistor radio has become a best-selling product in Nakhon Ratchasima province after Prime Minister Prayut Chan-o-cha suggested that people follow updates on the flood situation via radio.
On Wednesday, a visit to the old radio shop in Muang district showed a lot of retailers had come from other districts to buy “Tanin” transistor radios to sell at their stores.
One retailer had travelled from Kham Thale So district to buy them for sale to low-income farmers because it is cheap.
The 55-year-old owner, Jin Seng, said that the store has sold the “Tanin” transistor radio for 30 years on retail and wholesale basis before selling other brands.
The owner said that he was surprised that a lot of people were coming to buy transistor radios on Tuesday, before he knew about Prayut’s suggestion.
Prayut met with Interior Ministry executives and provincial governors via videoconference about the flood situation on Monday after resuming his duties as prime minister on Monday.
He said that government agencies will face difficulty if the communication system is down so people might have to listen to the broadcast via the transistor radio.
He mentioned the 2011 floods in which the power was out in several areas and people had to get updates via their transistor radio.
The idea went viral after it was shared widely on social media.
Jin Seng said the legendary Tanin transistor radio TF-268 is the most popular model, as it could receive both AM and FM frequency.
Since then, the radio has seen continuous sales and only 10 units were left on Tuesday, as the price per unit is only 290 baht.
He said that buyers usually listen to music and news while farming with convenience as it is light and durable.
He explained that the Tanin transistor radio has been a popular brand for a long time before other brands were in the market, especially Chinese products that invaded the Thai market. Moreover, people could listen to music and news with their phones.
The sales of transistor radios has reduced significantly in recent times, as only farmers in some districts use them.
After this event, Jin said that he would bring more Tanin transistor radios to sell as it is a well-known brand since the time he was a child.
BMA bolsters efforts to tackle flooding with 2 million sandbags amid forecast of heavy rains
WEDNESDAY, OCTOBER 05, 2022
THE NATION
The Bangkok Metropolitan Administration (BMA) is confident of coping with floods after it prepared 2 million sandbags to fill a hole in embankments.
The BMA held a press conference on Wednesday morning to update on the water situation.
Deputy Bangkok governor Thawida Kamolvej mentioned the recent advice asking office workers to work from home. He said the BMA could not order all of them to work from home but wanted to ask for cooperation to return home early.
He cited a warning from the Office of the National Water Resources (ONWR) as the reason. The ONWR has said that water flows from the North would push up the water level, while heavy rains are forecast for Bangkok and the Central region on Friday and Saturday.
Meanwhile, Bangkok Governor Chadchart Sittipunt ordered officials to report the footage from surveillance cameras before and after the rains and also told the BMA’s Public Relations Office to issue weather alerts at 5am and 3pm.
Jessada Chanprapa, deputy director of the Drainage and Sewerage Department, reported that the drainage level of the Chao Phraya River is at 2,697 cubic metres per second while 3,100 cubic metres per second of water is flowing through the Bang Sai water station. He also revealed that the Royal Irrigation Department (RID) is diverting more water to the West.
Meanwhile, four main dams — Bhumibol, Sirikit, Khwae Noi Bamrung Daen, and Pasak Chonlasit — could receive more water. However, the Pasak Chonlasit dam must release more water to Bangkok, as the current water level is at 106 per cent of capacity.
Jessada said that the BMA has prepared sandbags in 76 areas to prevent floods amid rains. It has also created a water diversion plan while installing more water pumps in several spots.
He explained the heavy rains in Bangkok on Monday to the monsoon trough lying in the middle of the city.
However, the weather forecast on Wednesday said that the trough had disappeared due to cold winds, but heavy rains were still likely, especially in southern Bangkok.
Jessada mentioned an incident last year when the water level had risen above the height of the sandbags. He said the office had made stronger and more dense sandbags.
Jessada also expected that the water flow would not be more than 3,500 cubic metres per second, as the RID would divert the water in another direction.
“The problem is fear and lack of knowledge. TOP X will eliminate those difficulties and strengthen them with all essential information and tools,” Rak noted.
The Top X Executive Programme Class 1 is a 10-week training and workshop course for business owners and executives of both large and small companies to develop and enhance export business knowledge throughout the export value chain.
The trainees will gain current and comprehensive knowledge, concepts, insights, and strategies on international business operation and management, as well as learn about relevant rules and regulations.
All 50 participants of this first class will be offered a credit facility from Exim Thailand, with the lowest interest rate of 4.5 per cent per annum in the first year, no asset collateral required, no front-end fee for an export insurance policy under Exim for Small Biz programme. The credit approval is within seven business days.
However, the Cabinet ordered government agencies that have to provide public services, such as hospitals, courts and banks, to consider whether to remain open.
