Thread: Thailand : Cash Flow or lack of ..........

EGAT Labor Union threatens to cut electricity at two ministries
03 September 2008

Chairman of the Labor Union of the Electricity Generating Authority of Thailand (EGAT), Phien Yongnu (เพียร ยงหนู), says he has not yet received any response from both the Ministry of Defence and the Ministry of Interior which have refused to pay electricity bills of 11 million baht and 167 million baht respectively.

This morning (September, 3rd), the EGAT labor union chairman submitted a letter to the governor of the Metropolitan Electricity Authority, requesting him to urge the two ministries to pay the electricity bills.

Mr Phien says he hopes that the governor will respond to the labor union’s request by tomorrow, adding that the two ministries need to pay the bills within three working days otherwise EGAT will cut electricity at the two places and file lawsuits against them.

thainews.prd.go.th


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Political turmoil affects loan payment in govt. sector
03 September 2008

Director of the Public Debt Management Office Phongphanu Sawetrun says the political turmoil has affected the government sector’s loan payment but affirms the Japan’s Bank for International Cooperation (JBIC) will still provide financial assistance for Thailand for the construction of electric train routes.

The director says the London Inter Bank Offered Rate (LIBOR) has increased from 1% to 1.4% during the previous month, making more difficult for the Thai government to ask for loans from foreign financial institutions. In addition, he says credit of small enterprises has also significantly decreased.

Apart from JBIC, the World Bank and the Asian Development Bank have confirmed that they will provide loans for Thailand for the implementation of mega-projects, including the electric train route extension, the construction of highways, the development of 3G network, and other public health projects. Thailand’s request for a 80-billion-baht loan for the Blue Line electric train route will be finalized at the end of this year while a 85-billiob-baht loan the Red Line will be approved within these 2-3 weeks, the director says.

thainews.prd.go.th

Mid, do all of these current puzzle pieces (news) that you post seem to fit the profile of the financial crash that Thailand had in 1997?

^ From what I can gather chitown Thailand has still not recovered from 1997 and is still technically bankrupt.

listening to the boffins the fundamentals are still sound .

current gov business should be the budget session , obviously they have more than that on their plate currently .

i think the cash flow / liquidity problems are directly related to the political unrest .

so in answer to your question , not imho .

thai 'face' may be more important than survival, but even against the current political backdrop cant see anything likely to provoke a repeat of '97...the real test for the country will be when the unthinkable happens, which el bladder says won't be long now, the clue being that it becomes safer to poke the lion with impunity under certain conditions, and at that time the intl community will be frantically shovelling cash into the void as a soothing sweetener.