Thailand 20241101: Short, Sweet, Simple
Mekong Memo Thailand Weekly: Business, politics, finance, trade & legal news.
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Here is your Mekong Memo Thailand for this week.
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Headlines:
Thai Police Extortion Gang Arrested
Thailand Embraces AI Across Sectors
Citizenship for Hundreds of Thousands
Younger Thais Prioritize Experiences
Modest Growth Forecast for 2024-25
Double Airport Capacity, Record Arrivals
E-Commerce Booms with 14% Growth
BoT Sets Inflation Target Range
Finance Ministry Aims High on Growth
Heatwaves Could Dent Tourism Revenue
International Passenger Numbers Climb
Manufacturing Slips in September
Crypto Fraud Network Worth $620K Busted
High-Speed Rail Hits Snag
AI to Monitor Free Trade Areas
Casino Bill to Boost Economy
Hua Hin Becoming 'Special Tourist City'
Ambitious 1M Flights Target for 2024
Drone Rules Under Review
Surging September Exports Buoy Growth
BoT Chief Warned on Policy Stance
Vehicle Market Plummets 37% YoY
Thailand in Top 5 Nerve-Wracking Places to Drive
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Thai Police Extortion Gang Arrested
Seven suspects, including six rogue police officers, were arrested for staging a fake passport investigation and attempting to extort 10 million USDT from a Chinese-Vanuatu citizen. Two suspects who acted as interpreters remain at large.
Read more: Khaosod English (Arrest Details)
Thailand Embraces AI Across Sectors
Public and private organizations in Thailand are adopting AI technology and regulations in line with global trends. An AI-ready workforce is seen as key to preparing the country to join the race in the global AI-driven economy.
Read more: Bangkok Post (AI Adoption), Bangkok Post (Free Trade Monitoring)
Citizenship for Hundreds of Thousands
The government is cutting red tape to boost the economy by granting citizenship to nearly half a million indigenous people and migrants who have been waiting for their papers for years. New citizens will finally have access to several rights.
Read more: AsiaNews
Younger Thais Prioritize Experiences
Despite economic challenges, over 40% of Thai consumers are increasing spending on essentials, with younger Thais shifting towards experiential spending like travel. Thais are prioritizing experiences over luxury items.
Read more: Bangkok Post
Modest Growth Forecast for 2024-25
The Finance Ministry's Fiscal Policy Office forecasts Thai GDP growth of 2.7% in 2024 and 3% in 2025. Foreign arrivals are expected to reach 36 million this year, generating 1.69 trillion baht in revenue.
Read more: Bangkok Post, Bangkok Post (3.5% Growth Goal)
Double Airport Capacity, Record Arrivals
Thailand plans to spend at least 97 billion baht to double passenger capacity across six airports by 2032 in anticipation of tourism growth. The government has also set a target of handling 1 million flights nationwide in 2024. The government has set an ambitious target to welcome 40 million visitors in 2025 in a bid by the tourism industry to regain momentum lost during the COVID-19 pandemic.
Read more: Nikkei Asia (Expansion Plans), Bangkok Post (1M Flights Target), Deutsche Welle (Record Arrivals)
E-Commerce Booms with 14% Growth
Thailand's e-commerce market revenue has hit 1.1 trillion baht in 2024, a 14% year-on-year growth compared to 980 billion baht in 2023.
Read more: The Nation Thailand
BoT Sets Inflation Target Range
The Bank of Thailand has reiterated that an inflation rate between 1% and 3% is appropriate to support the country's economic growth potential. The Finance Minister cautioned the BoT governor for revealing policy stances to foreign media.
Read more: Bangkok Post (Target Range), Bangkok Post (Governor Cautioned)
Finance Ministry Aims High on Growth
The Finance Ministry has set a lofty economic growth target of 3.5% a year, hoping to drive the country towards high-income status.
Read more: Bangkok Post
Heatwaves Could Dent Tourism Revenue
Intense heatwaves resulting from 'global boiling' are expected to reduce the country's revenue from tourism, according to the Thailand Development Research Institute.
Read more: The Nation Thailand
International Passenger Numbers Climb
The six international airports run by Airports of Thailand recorded a 19.22% increase in passengers to 119.29 million in fiscal year 2024 compared to the previous year.
Read more: The Nation Thailand
Manufacturing Slips in September
Thailand's Manufacturing Production Index fell by 3.5% year-on-year to 92.4 points in September, mainly due to sluggish car and construction industries.
Read more: Bangkok Post
Crypto Fraud Network Worth $620K Busted
Authorities have dismantled a cross-border crypto scam that reportedly swindled a local woman out of $620,000 through crypto investments.
Read more: CCN
High-Speed Rail Hits Snag
Opposition from within the coalition government has stalled revisions to a contract to build the long-delayed high-speed rail line linking Suvarnabhumi, Don Mueang and U-tapao airports.
Read more: Bangkok Post
AI to Monitor Free Trade Areas
Commerce Minister Pichai Naripthaphan has vowed to push Thailand to gain an advantage in artificial intelligence and AI-based data centers to monitor free trade areas.
Read more: Bangkok Post
Casino Bill to Boost Economy
A new draft bill aiming to introduce entertainment complexes and casinos throughout the country is hoped to give Thailand's economy and tourism a much-needed boost, though risks remain.
Read more: Voice of America
Hua Hin Becoming 'Special Tourist City'
One of Thailand's most famous tourist destinations, Hua Hin, is being transformed from a 'municipality' to a 'township' in order to become a special tourist city.
Read more: Khaosod English
Ambitious 1M Flights Target for 2024
The government has set an ambitious target of handling a million flights nationwide in 2024 following the opening of Suvarnabhumi airport's third runway earlier this month.
Read more: Bangkok Post
Drone Rules Under Review
The government is ready to support efforts to boost farmers' access to drones to improve agricultural land management. A review of drone regulations is underway.
Read more: Bangkok Post
Surging September Exports Buoy Growth
Thai exports grew by 1.1% in September thanks to increased global demands, recovering US economy and reduced inflation in Europe, setting Thailand on course for 2% growth.
Read more: The Nation Thailand
BoT Chief Warned on Policy Stance
The Finance Minister has verbally spanked the Bank of Thailand governor for saying during an interview with foreign media that it is not Thailand's policy to make continuous interest rate cuts.
Read more: Bangkok Post
Vehicle Market Plummets 37% YoY
Thailand's new vehicle market continued to deteriorate in September 2024, with sales plunging by 37% to 39,048 units from 62,086 units a year earlier. A problem both for the industry, and a sign of general economic lethargy.
Read more: Just Auto
And now for something completely different.
While the focus of The Memo is on news for business, we often wrap up with a less business-focused article.
Thailand will finally reduce the beatings with new legislation, students at Khon Kaen University designed a cool structure based on fishing nets that has won an award, 35 High-End Cars Stolen in the UK have been found in Thailand after 8 Years (check if yours is one of them), and this report on the perils of driving in the Kingdom:
Thailand in Top 5 Nerve-Wracking Places to Drive
A recent survey by UK-based Scrap Car Comparison ranked Thailand as the fifth most nerve-racking country to drive in globally, with a "scare score" of 6.86 out of 10, reflecting holidaymakers' unease behind the wheel. The survey, which pulled insights from more than 2,000 motorists worldwide, placed India as the most anxiety-inducing country to drive in, followed by Venezuela, Zimbabwe, and Morocco. Factors contributing to driver anxiety in these countries include traffic congestion, road conditions, and the driving behavior of locals.
Read more: Nation Thailand
That’s it for this week, thanks for reading!
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