Enhancing governance in Thailand

Abstract

This document, as well as any data and map included herein, are without prejudice to the status of or sovereignty over any territory, to the delimitation of international frontiers and boundaries and to the name of any territory, city or area.

Making growth more inclusive in Thailand

“…Other regions perform relatively better in terms of housing and living environment, reflecting the higher cost of accommodation and pollution in the megacity. Regional disparity partly reflects differences in access to quality health, education and employment, as well as a Bangkok-centric system of government in terms of both concentration of decision-making power and distribution of budgetary resources (Bogiatzis et al, 2018;Mohd Arif et al, 2018). Narrowing Thailand's regional gaps, as recognised in the 12th Plan, is likely to improve social cohesion.…”

Boosting productivity and living standards in Thailand

“…As such, it is vitally important that efforts to facilitate efficient and fair domestic market conditions remain at the centre of Thailand's demand-side innovation policy settings. In this regard, Thailand should enhance competition and consumer laws and crack down on corruption (Mohd Arif et al, 2018), ensure state-owned enterprises operate on a level playing field with private business and price/regulate externalities where appropriate.…”

“…The government has developed an SME Promotion Masterplan (2017-2021), with the objective to increase the SME share of GDP to at least 50% by 2021. To this end, it is prioritising regulatory reform by streamlining licensing procedures, initiating an experimental regulatory regime for FinTech firms, promoting skills training with an emphasis on ICT, and facilitating start-ups through the provision of entrepreneurship education and finance (Mohd Arif et al, 2018). To adequately address these cross-cutting issues, improved co-ordination is needed across existing agencies responsible for delivering both financial and non-financial support to SMEs.…”

Sustainable finance for inclusive growth in Thailand

“…The government has long sought to empower local municipalities through greater fiscal autonomy and decisionmaking powers (Mohd Arif et al, 2018). While LAOs levy local taxes and duties, they rely on central government transfers for around 90% of their income.…”

“…For instance, a review of the distribution of general (non-earmarked) grants in Khon Kaen province revealed that grants were made available to local governments with higher revenuegenerating capacity and higher per capita income, contrary to the intended purpose of the grant scheme. Instead of promoting horizontal fiscal equalisation, this practice risks fuelling imbalances in fiscal capacity, hampering inclusiveness and government effectiveness across municipalities (Mohd Arif et al, 2018).…”