Thailand's New PM Vows Swift Economic Action, Continuing Predecessor's Policies
Thailand's Prime Minister Paetongtarn Shinawatra pledges immediate economic stimulation, following her predecessor's policies with adjustments. She faces challenges in reviving the economy and potential legal hurdles.
In a recent development in Thailand's political landscape, newly appointed Prime Minister Paetongtarn Shinawatra has announced her government's intention to promptly address economic concerns. Speaking at her inaugural press conference on September 7, 2024, Paetongtarn emphasized the continuity of policies from the previous administration, led by Srettha Thavisin, with some modifications.
The Prime Minister, who is the youngest daughter of former premier Thaksin Shinawatra, convened a special cabinet meeting to finalize policies for presentation at the upcoming parliamentary session. This two-day meeting, scheduled for September 12-13, 2024, will mark the official commencement of her administration.
Paetongtarn outlined key focus areas for her government, including:
- Debt restructuring
- Support for small and medium-sized enterprises
- Boosting the agricultural sector
- Enhancing the tourism industry
These priorities align with Thailand's economic structure, where tourism contributes significantly to the GDP, accounting for approximately 12% of the country's economic output.
The new administration's approach to the digital wallet scheme, a flagship policy proposing to distribute 10,000 baht (approximately $295) to 50 million Thais via a smartphone application, remains under scrutiny. Paetongtarn indicated that a portion of the 450 billion baht ($13.4 billion) handout plan might be distributed in cash, suggesting potential adjustments to the original scheme.
As Thailand's fourth Shinawatra family member to hold the premiership, Paetongtarn faces numerous challenges. The country's economy, heavily reliant on exports and tourism, requires careful management. Additionally, she must navigate potential legal obstacles similar to those that led to her predecessor's dismissal.
"Our work will continue from Srettha's government, particularly in stimulating the economy."
It's worth noting that Thailand, known as the "Land of Smiles," has a rich cultural heritage and a complex political history. The country has never been colonized by a European power, unlike many of its Southeast Asian neighbors. However, it has experienced political instability, including multiple coups in recent decades.
As Paetongtarn embarks on her tenure as Prime Minister, she will need to balance economic revival efforts with the country's unique challenges. With a population of approximately 70 million and a diverse economy encompassing electronics, automotive parts, and agricultural exports, Thailand's path forward under its new leadership will be closely watched by both domestic and international observers.
