The Vongthip Letter Mar ‘10

Beyond reasonable doubts: Thaksin’s “Judgment Day” has become another unforgettable event in the Thai political history. After weeks of being second guessed by academics and political pundits, nine judges of the Supreme Court spent almost eight hours reading their historical verdict which was broadcasted nationwide.

Thaksin was found guilty on all five cases for hiding his family shareholdings behind onshore and offshore nominees during his premiership, for conflict of interest, for abusing his power as head of the government, and for becoming unusually rich as the result of ruthless changes in policies, laws and regulations to benefit his family businesses.

The court ruled that the excess amount of THB 46 billion (out of THB 76 billion that had been frozen since 2006) was to be confiscated by the state. The remaining THB 30 billion would be returned after deduction of related income taxes, fines and other charges due.

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March 5, 2010 | Filed Under Business & Economics, Politics, Property & Investment, The Vongthip Letters | 7 Comments 

The Vongthip Letter Feb ‘10

Holding on: Following the burst of corruption scandals and in anticipation of the impending no-confidence debate, PM Abhisit had to replace/reshuffle five cabinet members in 1/10. Since the new year, PM Abhisit seemed to have become remarkably bolder in his move against corruption and arm-twisting demands from his coalition partners. He has also become more willing to risk his neck politically in order to deliver what he believed to be the best for the country.

His popularity soared when he insisted that all cabinet members abide by his “9 codes of conduct” and that they take responsibility by resigning when involved in a corruption scandal. Through out 1/10, PM Abhisit continued to deliver e.g. launching the THB 10 billion second Village Fund, publicizing fresh government direction and support for education on Teachers Day and Children Day, visiting the deep south to ensure effective and transparent utilization of additional development fund, opening new medical center for pollution-affected patients in the Map Ta Phut area.

Fragile situation: Notwithstanding the highly distracting political incidents and a cabinet reshuffle, PM Abhisit was able to address, with different degrees of success, those difficult-to-resolve domestic problems e.g. the Map Ta Phut environmental dispute, the corruption plagued Thai Khem Kaeng projects, the ineffective GT200 bomb detectors and airship, the forest land encroachment scandals, the 4-month delay in police chief appointment, the teething problems of Asean FTAs that became effective on 1/1/10, the negative report on Thailand by Human Rights Watch.

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February 5, 2010 | Filed Under Business & Economics, Politics, Property & Investment, The Vongthip Letters | 4 Comments 

Dr. Saul: Thailand & The Desire Economy

Dr. Saul Kruggerand, the renowned Ph.D. economist and native of South Africa, whom we last heard from in his article titled Thailand to Tackle World’s Desire Deficit in which he outlined the present economic structure of Thailand’s Desire Sector (DS) along with an insightful and detailed estimate of the Desire Sector’s current contribution to Thailand’s overall GNP. In today’s post Dr. Saul analyzes Thailand’s plan to target and develop Thailand’s Desire Economy Sector in order to re-stimulate & maximize Thailand’s GNP.

“Dr. Saul,” as he is affectionately called by his students, having focused his highly-tuned analytical skills on the present structure and dimensions of the Thailand’s Desire Sector, now follows with a detailed analysis of the radical and heretofore overlooked proposal the Thailand government made at the recent G-20 and Apec meetings to further develop the Desire Sector of the Thai economy in order to help reduce the World’s Desire Deficit (WDD) as well as to make a surprisingly significant contribution to the re-stimulation of overall economic growth in Southeast Asia and the world.

Dr. Saul is himself a Yesbel Laureate with his Ph.D. from the prestigious London School of Economics LSE. Dr. Saul has worked with or along with the World Bank, IMF, Goldman Sachs, the Dubai Sovereign Fund, AIG Hedge Fund Division and George Soros. A generous grant from the Chuwit Foundation in Bangkok where Dr. Saul is the director of research and senior fellow has helped to fund Dr. Saul’s recent studies in this area. And now, without further introduction, here is

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January 26, 2010 | Filed Under Being Farang, Business & Economics, Culture Shock, Nightlife & Entertainment, Survey / Poll, Travel & Tourism | 27 Comments 

3G’s Here, Why The Rush

You got a shiny new iPhone or any other really smart phone and are pissed off, and rightfully so. The phone allows 3G or 3rd Generation mobile telecommunication for superfast data transfer on the 2100 MHz bandwidth. But as we all know there’s delay upon delay due to technicalities if you know what I mean – showing the whole nation that greed in powerful circles is stronger than any belief in progress, sense of duty, loyalty or moral value for that.

But wait, why bother! We have 3G already! Hey, I’m using it. After being a stubbornly loyal AIS customer since the mid-90s last week me bought my first TrueMove post-paid number. TrueMove’s a newcomer in comparison – and they offer Hi-Speed Mobile Internet. Including 3G at selected locations, such as in Bangkok’s central business district, Hua Hin, Cha Am and Phuket. Offering speeds of a whopping 4 Mbps. That’s what I got tethering the iPhone.

But still, this is a “2G 3G” so to say, or a 2.5G to be exact – clear? TrueMove is currently operating a 3G service on the 850 MHz frequency on a non-commercial trial basis waiting for approval to launch the service on a commercial basis. An auction will also be held by the government in the near future of 3G licenses on the 2.1 GHz frequency … Meaning, during the trial phase you’re charged 2G, EDGE and GPRS rates. I can live with that. This speed at this price. And now AIS jumps on the bandwagon:

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January 21, 2010 | Filed Under Business & Economics, Gadgets & Technology, Politics | 7 Comments 

Poll: Suvarnabhumi, Round Two

Argh the red devils are back. It’s a cunning game the red shirts are playing these days. They got all the media attention. Without much effort. First they increase the heat on previously untouchable privy councillors. They dare to hold the first rally ever in front of the office of the privy council. Unthinkable not too long ago. The common boundaries have been stretched enough to allow more space to roam.

The red shirts though know, no privy councillor will budge as demanded for the time being. That’s not the aim of their latest tactic anyway. The tactic is more of a “Little strokes fell big oaks.” That’s why they announced an airport protest. A symbolic protest. No road will be blocked, no passenger will be harmed. No law will be broken. Just up the ante. Every media network would be there. Would be because the rally seems to be cancelled.

Elements of the government and industry were panicking, the stock market diving. That’s all the red shirts want. To show the government quite plainly by means of inducing fear on what double standards, lies and flowery phrases its rule is built on. Why would the red shirts have to go for a repeat of the November to December 2008 mayhem. That’d be “national suicide,” as someone said. Nevertheless, why didn’t the government prevent a possible repeat in the first place? (Wanna head straight to the poll? Scroll down.)

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January 20, 2010 | Filed Under Business & Economics, Politics, Society, Survey / Poll | 2 Comments 

Faded Smiles

The Financial Times has a backgrounder analysis on the recent political events leading up to the current Thai mess. Most quotes and paragraphs will catch your eye, such as “Some of the vestiges of latent feudal society will have to give way,” or ”Thai leaders have consistently paid lip service to the creation of a stable liberal democracy. Few have given much shrift to talk of Asian-style democracies proffered by the likes of Singapore, dominated by one political party since independence. Nor do many Thais, in spite of the hyperactive role the military has played in politics, countenance the idea of authoritarianism.”

Further along we read this classic: Much of the Thai elite is fearful of the aspirations stirred by Mr. Thaksin. Even Anand Panyarachun, a former prime minister associated with more inclusive social policies, insists Thailand should shun the blind pursuit of economic growth. “We have ambitions, but we don’t have exaggerated ambitions,” he says. Playing down social needs, he adds: “Here we are lucky in the sense that we have such a temperate climate, and you don’t need much shelter, and you don’t need much clothing and everywhere you go you can always get people to give you food.”

It’s a good, it’s an important piece. Not too surprising, but take your time for a careful read. The essence of the analysis though is summarized in the text box on the right: “Foreign investment – After the airports paralysis, ground is fast lost to regional rivals.” The very fact our dear leaders try and try to sugarcoat. The laws of physics though do also apply to the kingdom of Thailand. An ambiguous rule of law has consequences. What price is a nation willing to pay? The once proud regional show case has become a political laughing stock. The airport seizures in 2008 changed it all – still, the “liberators,” causing no little harm to people and nation, walk free.

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January 14, 2010 | Filed Under Business & Economics, News & Media, Politics | 1 Comment 

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