|
ECONOMY / STIMULUS PACKAGE `Mini-Miyazawa` to be discussed today B5.5bn injection seen as likely soon Chatrudee Theparat A local, much smaller version of the Miyazawa plan, designed to boost consumer spending, is likely to be implemented soon. The government hopes that a short-term cash injection, along the lines of the Japanese-funded package, will counter the effects of the anticipated slowdown in the world economy. Under the Miyazawa plan, the previous government injected 54 billion baht into rural areas, employing local people on a wide variety of projects, including construction. The main objective was to boost household earnings, thereby encouraging consumer spending to revive industrial output. However, the new government would make the package the launch-pad for its longer-term plan to establish revolving funds of one million baht for each of the country`s villages, which number more than 70,000, said a source at the National Economic and Social Development Board. The economic policy supervision committee, chaired by Prime Minister Thaksin Shinawatra, is scheduled to discuss details of the package today. Sources say it could be worth 5.5 billion baht. The government hopes to cushion any fall-out from the economic slowdown in the United States and Japan`s financial crisis, as well as the general weakening of worldwide economic growth. All these problems are likely to depress export earnings, in particular. Mr Thaksin expressed confidence last week that Thailand would not enter a new economic crisis, but said the government would have to prevent the economy from weakening. Today`s meeting will include top officials from the NESDB, the Bank of Thailand, the Tourism Authority of Thailand, and the ministries of Finance, Commerce, Agriculture and Industry. Besides the stimulus package, plans would be drafted to lift export and tourism earnings, said Sansern Wongcha-um, the NESDB`s secretary-general. Although some key members of Thai Rak Thai had branded the previous government`s handling of the Miyazawa programme as a waste of money, Mr Sansern said a similar short-term stimulus package was necessary now. "At present, the only positive factor for the country`s economy is politics. If the government wants to stimulate the economy, such a short-term package is a must," he said. The other source said the NESDB and the Budget Bureau would jointly work out a list of projects eligible for help from the new package. The final selection would be made by screening proposals by 1,200 villages seeking finance under the NESDB`s Social Investment Project. To qualify for consideration, the projects must create jobs, have low import content, be business-oriented, improve quality of life and strengthen community capabilities and competitiveness. About 5.5 billion baht would be available for the new package, the source said, with 1.5 billion baht drawn from the unused portion of the 2001 fiscal budget and four billion baht from low-priority projects shelved by the NESDB. - The Post 19.3.01 - |
|
| aus der Diskussion: | Waste or make money in Thailand |
| Autor (Datum des Eintrages): | BodyG (19.03.01 09:29:54) |
| Beitrag: | 562 von 611 (ID:3126992) |
| Alle Angaben ohne Gewähr © wallstreetONLINE | |