Finance Ministry plans measures to stimulate economy
The Finance Ministry is issuing measures to stimulate Thailand’s economy,
focusing on small and medium-sized enterprises (SMEs), according to the
permanent secretary for finance.
Rungson
Sriworasat, permanent secretary
for finance.
Rungson Sriworasat said SMEs, which have been hardest hit by the economic
downturn, could be granted debt payment reprieve while the central bank has
been asked to seek commercial banks’ cooperation in granting low-interest
loans to SME operators.
He said the Commerce Ministry has already paid Bt10 billion from the Bt20
billion borrowing it sought from the Finance Ministry’s reserves.
The remaining amount should be returned without any trouble, he said.
Parichatara L. Sirivong, SME Bank acting president, said delayed debts with
the potential of becoming non-performing loans was about Bt2-3 billion,
mostly from customers in the South who were badly hit by floods and the
political turmoil.
SME Bank has extended their interest payment period by six months, she said.
The SME Bank’s current non-performing loans are at Bt32 billion while the
bank is in the process of selling off Bt2 billion in non-performing loans to
the government. (MCOT)
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Global factors, declining
dollar push up Thai baht
The Thai baht has strengthened against the US dollar
given below-projected employment in the US agricultural sector and the
Federal Reserve’s decision not to accelerate an increase in interest rates,
according to the Bank of Thailand (BoT).
BoT
spokesperson Rung Mallikamas.
BoT spokesperson Rung Mallikamas said the baht movement was normal, at
mid-level, compared to other regional currencies.
She said foreign capital continued to flow into the Thai stock and bond
markets in light of the unstable political situation, adding that only
global factors have an impact on the baht.
Foreign capital has been flowing out of Thailand since early this year, she
said.
“It’s normal that the baht is volatile but there are no abnormal signs. The
strengthened baht will not affect Thailand’s export capability,” said Rung.
(MCOT)
Pattaya blue-collar workers rue low Songkran season
Traiphum Janaum, a motorbike
taxi driver says, “What has happened to our country this year really hurts
me at heart.”
Nutsara Duangsri
Long-running political turmoil in Bangkok dampened prospects for big
business during Songkran this year. While the final tab has yet to be
tallied, street vendors and taxi drivers were preparing for the worst.
Motorbike-taxi driver Traiphum Janaum said he is sick of all the political
rallies, as they hit him hard in the wallet as the number of tourists to
Thailand dropped.
Siem Sukjaroen, a baht bus
driver, believes that this year the low season has come earlier than last
year.
“I want to tell all Thai people, no matter who they are,
please stop getting involved in the politics and let the country go forward.
Many people have to work daily to make a living, but if the economy is slow
like this we may not survive.”
The 25-year-old said he planned to stage his own protest over the protests
by not participating in any Songkran water play this year. “What has
happened to our country this year really hurts me at heart,” he said.
Manop Sakorn, beach chair
vendor at Dongtan Beach says, “I really don’t know what to do … I guess I
just have to somehow bear with it.”
Baht bus driver Siem Sukjaroen also blames the Bangkok
turmoil for his troubles, saying he thinks the low season hit much earlier
this year with a significant drop in tourism.
Manop Sakorn, a Dongtan Beach umbrella vendor, said his business hardly gets
any customers this year. “I really don’t know what to do. I guess I just
have to somehow bear with it,” he said.
Salon owner Rattaporn Sarnsuwan said her beauty shop has not been making
enough money this year. Because of the economic and political situation in
Bangkok, everything is getting worse in Pattaya, she said. “I probably will
not join Songkran festivities this year,” she said.
Beautician Rattaporn Sarnsuwan
says this year things are getting worse.
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Investment privileges projected to reach Bt900 billion this year
Foreign applications for investment privileges in
Thailand reached Bt234 billion in the first quarter of the year, according
to the Board of Investment (BoI).
Udom
Wongviwatchai, BoI secretary general.
Udom Wongviwatchai, BoI secretary general, said investors applied for 291
investment projects, a 48 percent decline compared to the first quarter of
last year, which involved 564 projects.
While the Bt234 billion investment value by foreign investors was 28 percent
higher, total investment value saw a 10 percent decline from last year’s
total value of Bt261.6 billion.
The majority of applicants were involved in automobiles and auto parts,
petrochemical and power generation.
He said expansion potential was high in several industries, including auto &
parts and machinery, of which investment value was Bt157 billion, 265
percent higher than the same period last year thanks to the investors’
interest in producing eco cars in the second phase.
Other highly-invested industries were service and public utilities at Bt31.4
billion, petrochemical, pulp and plastic at Bt23.2 billion, and electronics
and electrical appliances at Bt11.9 billion.
He said the projection of Bt900 billion in investment privileges this year
will be achievable.
Besides eco cars, other major projects involved manufacturing of electrical
appliances, power generating plants, petrochemical plants and steel
industrial plants.
Investors from several countries invested more in Thailand this year
including the US at Bt41.065 billion, China at Bt9.403 billion and Korea at
Bt9.368 billion. (MCOT)
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Microchips for ATM,
debit cards to tackle fraud
Commercial banks in Thailand will use microchips instead
of a magnetic system on ATM and debit cards to prevent fraud, starting next
year, according to the Bank of Thailand (BoT).
BoT spokesperson Rung Mallikamas said the central bank and commercial banks
have been trying to find measures to prevent skimming - a fraud method in
which a device is affixed to the mouth of an ATM and secretly swipes credit
or debit card information when bank customers slip their cards into the
machines to withdraw money.
She said commercial banks have installed anti-skimming devices at cash
machines, warned people on the risks of ATM fraud, and told customers to be
more cautious in using their cards.
“It’s right that commercial banks hold responsibility in case of ATM fraud,
but they will have to change to a microchip system for cards to prevent
skimming,” she said. (MCOT)
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