Thailand’s Economic and Social Development: Current Agenda

1. NESDB Thailand’s Economic and Social Development: Current Agenda Office of the National Economic and Social Development Board January 2007

2. Outline of Presentation Economic Situation and Prospect in 2007 The 10th National Economic and Social Development Plan (2007-2011) Current Government’s Priorities

3. Economic Forecasts for 2007

4. Strong Economic Stability Domestic Extenal Exchange Rate % Bil. persons Avg 2005 = 40.3 baht/US$ Avg. Q3 / 2006 = 37.69 baht/US$ Dec. = 36.25 baht/US$ Unemployment rate Q3/2006 = 1.36% Nov. = 1.2% Foreign Reserves to Short-term Debts At end of Dec. 2006 Reserves = 67 Bil.US$ NPLQ3/2006 = 8.18% Ratio to ST debts (LHS) International reserves (RHS)

5. Presentation Economic Situation and Prospect in 2007 The 10th National Economic and Social Development Plan (2007-2011) Current Government’s Priorities

6. The Philosophy of Sufficiency Economy and the 10th National Economic and Social Development Plan Principle of the 10th Plan • Guiding Philosophy is the Philosophy of Sufficiency Economy Objectives • People-Centered Development • Balancing between the 3 capitals: economic, social , natural resources and environment • Leading to Green and Happiness Society

7. Moderation “Immune” System Reasonableness ชีวิต/เศรษฐกิจ/สังคม Leading to สมดุล/มั่นคง/ยั่งยืน Frameworks of the 10th Plan HM King’s Philosophy of "Sufficiency Economy” The Middle Path Wisdom Condition (an application of knowledge with due consideration and prudence ) Moral Condition(honesty, integrity, diligence, patience, perseverance) Life/Economic/Social Balance/Stable/Sustainable

8. Knowledge BasedEconomy Paradigm shifts Globalization Economic and social integration (Free Trades, Capital Flow, Regulation) Technology development(Innovation, Indigenous Knowledge, IPR) Social changes(Aging Society, Consumer Behaviors) Human capital mobility(Free flow of people) Environment and natural resource(Energy, Water, Climate, Natural Disasters, NTMs)

9. Develop Human Resource Quality and Prepare for Knowledge Society 5 Increase Good Governance for Peaceful and Orderly Society 5 10th Plan Strategies 2 Strengthen Local Communities for Better Income Distribution 4 Improve Natural Resource Base and Good Environment for the Country Development Based on Biodiversity 3 Restructuring Economy towards Balance and Competitiveness for the Asia Century

10. Presentation Economic Situation and Prospect in 2007 The 10th National Economic and Social Development Plan (2007-2011) Current Government’s Priorities

11. 4 Priorities • Political Reform • Peace and National Unity • Foundation for Sustainable Growth • and Better Income Distribution • Legal Reform

12. Progresses • Political Reform: The Constitution Drafting Assembly. • Peace and National Unity: Southern Border Provinces Administrative Center reinstated. • Foundation for Sustainable Growth • and Better Income Distribution: • -continue liberalization of trade in goods and services • -neighboring countries development cooperation • -new investment opportunities: ECO car, petroleum exploration and extraction, Independent Power Producers (IPP). • -alternative energies and Clean Development Mechanism • -infrastructure development: logistics system, mass transit system • -National Productivity Improvement Plan • -National Intellectual Infrastructure Plan

13. Progresses • Legal Reform: • - Competition Law • - Foreign Business Act • - Conflict of Interests for Politicians and Government Officials Act • - Financial Business Act • - Deposit Insurance Agency Act

14. Think Economicand Social Strategy,Think NESDB.... www.nesdb.go.th