BANGKOK, Dec 28 – The move by the People’s Bank of China to raise interest rates frequently will have little impact on capital movements affecting Thailand and the value of the baht, according to the Bank of Thailand (BoT).
BoT Assistant Governor Pongpen Ruengvirayudh said the Chinese central bank’s announcement of interest rate hikes on both lending and deposit by 25 basis points, which is the second time in two months, was aimed to rein in rising inflation.
“Now, Beijing is trying by all means to slow the inflation rate. It raised the interest rate once two months ago and issued a measure to maintain the liquid assets of commercial banks fortnightly before announcing the latest interest hike. It is expected the Chinese government will raise the interest rate further,” she said.
However, she believed that the interest hike by the Chinese central bank would not adversely affect the capital movement and currencies in Asia, including the Thai baht, because many countries, like China, looked to raise interest rates to contain rising inflation.
Thailand is considering the policy interest rate increase as part of its effort to control inflation, which is expected to rise at an accelerating rate next year.
At present, it is widely expected in the market that the BoT’s Monetary Policy Committee would further raise the policy interest rate next year.
The assistant governor said she believed all countries had already prepared measures to cope with capital inflows in a higher-than-usual amount. The measures are different, depending on the situation in each country.
Still, the BoT would closely supervise capital movements and the baht value and prepare tools to deal properly with the situation.
She emphasised that the interest rate is just one of the magnets attracting foreign capital. The major attraction for the capital influx is the economic growth potential of the country. (MCOT online news)
Tuesday, 28 December 2010
Interest hike by Chinese central bank has little impact on baht: BoT
Criminal Court to decide on key Red Shirt leader's bail Tuesday
BANGKOK, Dec 28 -- The Criminal Court would decide today whether to revoke bail for United Front for Democracy against Dictatorship (UDD) co-leader Jatuporn Prompan as requested by the Department of Special Investigation (DSI).
DSI director-general Tharit Pengdit Monday submitted the petition to the court to revoke the bail for the Red Shirt leader, an opposition Puea Thai party list MP charged with terrorism.
The petition stated that Mr Jatuporn had broken the bail conditions set by the court. The Red Shirt leader also posed a threat to the safety of witnesses and tampered with evidence and witnesses. In addition, the Red Shirt leader also allegedly threatened state investigators and obstructed their work, said the DSI chief.
The court started considering the DSI request at 2pm Monday. During the session, Mr Tharit presented testimony to justify the request.
The court later said it would rule on the DSI request Tuesday at 11am.
According to the DSI chief, Mr Jatuporn had confused the public by wrongly claiming its investigators of preparing an investigation report of the killing of six people sheltering at Wat Pathumwanaram near Ratchaprasong on May 19 and the death of Reuters news agency cameraman Hiroyuki Muramoto on April 10, the petition said. The Japanese embassy has shown much concern regarding the slain journalist, who was Japanese.
Mr Tharit said whether the document leaked by Mr Jatuporn was genuine or not, the DSI viewed his move as violating the law. He said the DSI has not concluded the cases that soldiers were responsible for the deaths.
The DSI chief said he filed the bail revocation request in his capacity of head of the investigation team without any political interference.
Mr Tharit earlier this month submitted a petition to revoke bail for Mr Jatuporn but the court rejected the request, saying there were insufficient grounds to revoke the bail. (MCOT online news)
NSC: Situation in troubled South can improve if emergency decree lifted
BANGKOK, Dec 28 – The overall situation in Thailand's violence-plagued southern border provinces will improve if the currently imposed emergency decree is revoked in the areas, National Security Council (NSC) secretary-general Tawin Pleansri said.
If the emergency decree is to be first lifted in Pattani’s Mae Lan district before Jan 1 as demanded by Prime Minister Abhisit Vejjajiva, the issue should be raised in today's Cabinet meeting, Mr Tawin said.
Martial law and the emergency decree have been in force in 33 districts in Pattani, Yala and Narathiwat. If evoked, martial law must be lifted first, followed by the lifting of the emergency decree and then the Internal Security Law then will be enforced to replace them, he added.
If the Cabinet approves, the prime minister will announce it, Mr Tawin said.
He said the emergency decree had been enforced in the southernmost provinces for more than five years and it was inevitable to have an impact on the rights of the people in the affected areas.
The premier believed that the situation at Mae Lan has improved and the emergency decree should be revoked, he said, adding that the early next year two more districts -- Yala's Kabang and Narathiwat's Sukhirin would be evaluate to lift the emergency decree.
Meanwhile, Deputy Prime Minister Suthep Thaugsuban said that the during his visit to Pattani and Songkhla on Monday, he travelled to boost the morale of officials in remote areas and discuss operations of local officials if a new law is to be applied to the southern border provinces in January.
He also followed up government projects to assist flood victims and suppress illegal drugs. (MCOT online news)
Poll: Thai public sees government's performance ratings as rising
BANGKOK, Dec 28 - A new countrywide opinion survey indicates that the Thai public are more satisfied with the government's performance following the Abhisit administration's two years in office.
The Suan Dusit Poll was conducted Dec 10 through 27 by Suan Dusit Rajabhat University's Suan Dusit Poll by interviewing 6,546 Thai residents nationwide about the government's performance this year.
Out of a possible rating of ten, on a scale of 1 to 10, the overall score was at 6.36 for this administration, a rise of 0.35 points compared to its performance on the same period last year.
Prime Minister Abhisit Vejjajiva registered 7.43 points, a 0.24 point increase from last year. His personal performance also scored an extra 0.47 points to rise to 6.80.
The Cabinet's assessment rose to 6.38, gaining 0.23 points over that of last year, for its determination of its work.
Meanwhile, the five ministries achieving the highest scores were Education receiving 7.33, a rise of 0.59 points, Social Development and Human Security 7.14, earning 0.63 more, while Public Health received 7.02, up 0.64 points, Tourism and Sports 6.57, or an extra 0.15 points, and Agriculture and Cooperatives 6.54, or 0.29 more points.
The government's best five projects in the past two years respectively were a 15-year free education programme, state welfare for the elderly, underprivileged people and the handicapped, economic stimulation measures and the solution to informal debts (debts obtained outside the financial system), including crop price guarantee and agriculture promotion, as well as health services.
Vice versa, the respondents were dissatisfied with the government's performance in tackling corruption, solving economic problems such as the rising cost of consumer products and high cost of living. In addition, other issues fared worst among government performance in 2010 are the meddling in judicial system, handling foreign policy with Cambodia in particular over the Preah Vihear border dispute, and pay rise for senators, Members of Parliament, and Sub-District Administration Organisation officials. (MCOT online news)
Saturday, 18 December 2010
Red Shirts affirm Sunday's rally to be staged peacefully
BANGKOK, Dec 18 -- Thailand's anti-government movement, the United Front for Democracy against Dictatorship (UDD), on Saturday reaffirmed that it's rally planned for Sunday at Ratchaprasong intersection will be conducted peacefully, according to Metropolitan Police Division 1 chief Pol Maj-Gen Wichai Sangprapai.
Gen Wichai, assigned by Metropolitan Police Commissioner Pol Lt-Gen Chakthip Chaijinda to head the negotiation team to liaise with the demonstrators on Sunday, met acting UDD chairperson Thida Thavornseth who said the group's demonstration tomorrow will be held peacefully. From now on, Mrs Thida said, the UDD will rally on the 10th and 19th of every month.
Disruption of traffic as Ratchaprasong is worrisome, said Gen Wichai, as Ratchaprasong is main economic centre, He said also that the use of loudspeakers and amplifiers was banned under the emergency decree.
Police have prepared cars equipped with loudspeakers and amplifiers at three locations to use for crowd control, Gen Wichai said, noting that the UDD would be allowed to use them for crowd control only.
The authorities are also concerned regarding actions or provocations that may be considered lese majeste and vandalisation of public property with rude graffiti. Gen Wichai has asked the UDD leaders to help prevent both actions.
He also asked the Red Shirt demonstrators to refrain from floating paper lanterns into the sky as they may cause fires, particularly at high rise buildings surrounding the Ratchaprasong area.
Mrs Thida affirmed that the rally would be run peacefully, but asserted the UDD would continue twice monthly rallies until justice is returned and its core leaders detained for terrorism-related charges are released.
She said there would be no paper lantern floating as the demonstrators have opted to use red balloons instead.
The Red Shirts will begin their activities at 5pm Sunday by performing a religious rite for those who died in the May 19 military and protesters confrontation in front of Wat Pathumwanaram before reading a statement. The rally will end at 8pm.
The Red Sunday Group, a UDD affiliate led by Sombat Boonngamanong will hold a separate activity at 1.30pm.
About 1,600 police will be deployed to maintain law and order, said Gen Wichai. (MCOT online news)
Sunday, 12 December 2010
Car sales during Motor Expo 2010 surpassed 2009’s record
BANGKOK, Dec 12 -- Consumer confidence in Thailand has gained significantly as seen by advance bookings for new car purchases during the ongoing 27th Thailand International Motor Expo 2010, beating last year’s record, said Kwanchai Papatpong, organising chairman of the Expo, on Sunday.
Mr Kwanchai said advance booking for car purchases during the first 11 days of Expo 2010 stood at 27,058 units, surpassing last year’s record which stood at 25,220 units.
Advance booking for cars during the final day today will be known at about 10.30pm but is expected to reach 30,000 units with more than Bt23 billion changing hands, he said.
By Saturday or the first 11 days of the Expo, booking for Toyota cars came first with 6,806 units, followed by Honda with 3,268 units and Isuzu with 2,398 units.
Buying cars has received much popular attention as the public pays more confidence in the Thai economy on belief that both the economic and political problems have returned to normal. (MCOT online news)
CSCE postpones meeting; Thaksin continues to gather information on human rights violations
BANGKOK, Dec 12 – Thailand’s ousted and fugitive ex-prime minister Thaksin Shinawatra has postponed his visit to the United States to testify to the Commission on Security and Cooperation in Europe (CSCE), earlier scheduled in Washington this Thursday, on alleged human rights violations in Thailand after the agency postponed its session until next month, Noppadon Pattama, Thaksin’s legal advisor, said Sunday.
Mr Noppadon told a press conference that he spoke with Mr Thaksin by telephone last night that the CSCE, also known as the US Helsinki Commission, had postponed its meeting for a few weeks as the US Congress had elected new members which might cause changes of some commission members.
Mr Thaksin is said to have said that postponement of the hearing would allow him ample time to seek a visa to the US and gather more evidence on human rights violations during Thailand’s political turbulence in April and May.
As many as 91 people were killed and more than 1,900 wounded during the confrontation between security personnel and the ‘Red Shirt’ protesters of the United Front for Democracy against Dictatorship (UDD).
Mr Noppadon quoted Mr Thaksin as saying he was confident that once the truth is revealed to the public, social divisiveness in Thailand could be healed and national reconciliation restored.
In 2008, Mr Thaksin was sentenced in absentia to two years imprisonment for abusing power to facilitate a land purchase deal in Bangkok by his then wife from the Thai state.
Meanwhile, ‘Yellow Shirt’ politician Suriyasai Katasila, said he did not understand why the CSCE invited Mr Thaksin to brief its commissioners on the March-May Bangkok confrontations when the US agency’s mandate is limited to European affairs.
As secretary-general of the New Politics Party, the party which sprang from the ‘Yellow Shirt’ People’s Alliance for Democracy (PAD), the UDD Red Shirts’ arch rival, and comprised of veteran Yellow Shirt activists, Mr Suriyasai said thousands of people were killed in human rights abuses such as Mr Thaksin’s so-called war on drugs when he was in power.
“The US must answer why Mr Thaksin has been invited and on what capacity,” Mr Suriyasai said. “The US knows fully well that Thaksin was behind the demonstrations of the Red Shirt people.”
He urged the Thai government urgently strip the police rank of Mr Thaksin, a retired police lieutenant-colonel, as demanded by the public a long time ago. Although ousted in a bloodless coup in September 2006, Mr Thaksin has not had his police rank removed. (MCOT online news)
Tuesday, 7 December 2010
DSI seeks court order to detain Red Shirt leader
BANGKOK, Dec 7 - Thailand's Department of Special Investigation (DSI) on Tuesday petitioned the country's court in opposing the temporary release of key Red Shirt leader and Puea Thai MP Jatuporn Prompan, saying his moves have tampered with the investigation underway since May and with court procedures.
DSI Director-General Tharit Pengdit appeared at the Criminal Court Tuesday morning to lodge his agency's petition to the court regarding Mr Jatuporn's parliamentary immunity which has ended now that the lower house of Parliament session closed Nov 29.
Mr Jatuporn was among leaders of the United Front for Democracy against Dictatorship (UDD) who led the anti-government protests in downtown Bangkok during March until mid-May and was charged with terrorism.
The protest ended May 19 after the Red Shirt leaders announced the end of their protest and surrendered to police after bloody clashes with the government forces. Most key protest leaders
remain in detention and bail was rejected for them for fear of their possible flight.
Mr Jatuporn was granted bail as he has parliamentary immunity, but only while Parliament is in session. Another UDD leader, Veera Musikapong, was also released with conditions.
Mr Tharit said that since Mr Jatuporn was granted a temporary release he has intentionally violated the bail rules, obstructed and caused damage to the official investigation, as well as court procedure.
The DSI chief stated that Mr Jatuporn told the media accusing DSI officials and prosecutors of treating him unfairly. The Red Shirt leader also incited the public to rally to pressure the investigators and mobilise crowds in Bangkok and its surrounding provinces where a state of emergency remains in place in order to pressure the government.
Mr Tharit explained that he petitioned the court by himself as the terrorism case is considered important and the public needs clarification.
Mr Tharit reemphasised that Mr Jatuporn should follow the bail conditions as others do, referring to UDD chair Veera who was banned from travelling outside the capital, prohibited from media interviews on politics and from participating in any demonstrations.
The DSI chief said, however, that it depends on the court consideration and the order will be issued this afternoon.
Meanwhile, Mr Jatuporn reportedly filed a complaint to the Supreme Court Tuesday morning, asking for fair treatment following the DSI move to withdraw his bail. (MCOT online news)
Monday, 6 December 2010
Thaksin to attend human rights violation hearing in US
BANGKOK, Dec 6 - Thailand's ousted ex-premier Thaksin Shinawatra will visit the United States next week to testify on alleged human rights violations during Bangkok's deadly April-May political demonstrations after having been invited by the Commission on Security and Cooperation in Europe (CSCE), according to his legal advisor Noppadon Pattama.
Mr Noppadon said Monday that the ex-premier is scheduled to arrive Washington Dec 16 after receiving an invitation letter from the CSCE a few days ago to give information regarding reported human rights violations in Thailand to the commission's hearing to be held mid-December.
The Thaksin legal adviser said the hearing focuses on human rights violations during the political disorder in April and May which led to a number of deaths and injuries as well as following up on the insurgency situation in Thailand's three restive southern provinces, and the violation of freedom of expression of the media and public opinion which have been caused by the enforcement of a state of emergency.
Mr Noppadon, who was foreign minister during the Samak Sundaravej administration, said that the deposed premier believes the hearing will be a good opportunity for him to give another version of facts on the matter, apart from the information of the Thai government given via diplomatic channels.
"Mr Thaksin has accepted the invitation to go to Washington so that the commission will get to know the truth about the matter," according to his close aide.
The former prime minister, removed by coup d'stat in Sept 2006, was not in Thailand during the period in question.
Eighty-nine people, including both security personnel and Red Shirt protesters, were killed and more than 1,400 were wounded during the ten-week demonstration of the United Front for Democracy Against Dictatorship (UDD) against the Abhisit Vejjajiva government, with both sides blaming each other as the cause of violence.
The military operations to retake the protest site at Ratchaprasong intersection on May 19 prompted the Red Shirt leaders to call off the rally, followed by arson at a number of locations in Bangkok.
Key Red Shirt leaders remain jailed for having had key roles in the protest. The Thai capital and its three adjacent remain under a state of emergency.
The CSCE, also known as the Helsinki Commission, is an independent US Government agency created in 1976 to monitor and encourage compliance with the Helsinki Final Act and other OSCE commitments.
The Commission consists of nine members from the United States Senate, nine members from the US House of Representatives, and one member each from the Departments of State, Defense, and Commerce.
The Commission convenes public hearings and briefings with expert witnesses on OSCE-concerned issues, organises official delegations to participating States and OSCE meetings to address and assess democratic, economic, security and human rights developments firsthand.
Meanwhile, Chavanond Intarakomalyasut, secretary to the Thai Foreign Minister, said on Monday that he does not believe the convicted premier will be allowed to enter the US, while conceding that the foriegn ministry has some information about Mr Thaksin's possible visit to the US but details cannot be disclosed.
Mr Chavanond also declined to comment on whether Mr Thaksin's entry to the US will affect the image of the Thai government.
When asked if the CSCE invitation would give Mr Thaksin the privilege to enter the US, the secretary said this should be irrelevant.
Deposed by a military coup in September 2006, Mr Thaksin is now living in exile abroad after evading a two-year jail term for violating a law on conflict of interest regarding a controversial Bangkok purchase of prime land.
In May this year Thailand's Criminal Court issued an arrest warrant for the ousted prime minister on terrorism charges for being behind and funding the violent actions of the Red Shirts which led to grenade attacks and arson in the Thai capital and provinces in the North and Northeast during the March-May demonstrations.(MCOT online news)
Friday, 3 December 2010
Finance Ministry reducing equity holding in THAI
BANGKOK, Dec 3 – Thailand's Ministry of Finance will reduce its equity holding in Thai Airways International (THAI) to less than 50 per cent next year to relieve the national flag carrier of state enterprise status and achieve more efficient management.
Permanent Secretary for Finance Areepong Bhoocha-oom said it is likely the ministry will reduce its stake in THAI to less than 50 per cent from its current holding of 51.03 per cent so that the company is able to conduct its business more efficiently.
At present, the national flag carrier is negotiating with its creditors to revise loan conditions requiring the ministry to hold a more than 50 per cent stake in THAI.
“THAI wants to streamline its management to operate like a private company. We think it is not difficult if we need to reduce our equity holding in the company by 1 to 2 per cent.
“Still, we have not yet discussed how much stake will be reduced. We must wait until the company finishes negotiating with its creditors,” said Mr Areepong. (MCOT online news)
Yellow Shirts postpone Dec 11 rally to next month
BANGKOK, Dec 3 - Thailand's yellow-clad movement, the People's Alliance for Democracy (PAD), on Friday postponed its protest planned for next week against the Thai Constitution amendment regarding the requirement of Parliamentary approval for international treaties to next month, citing it's close the king's birthday celebrations.
The PAD earlier announced the group's rally on December to oppose the charter amendment on Article 190 regarding the requirement for parliamentary approval on any treaty made with other countries, saying the move may favour Parliament's endorsement of the Thai-Cambodian Joint Boundary Committee (JBC) meeting reports, which they claim will make Thailand lose territory to the neighbouring country.
Yellow Shirt leader retired Gen Chamlong Srimuang however said on Friday that movement resolved that they will postpone their Dec 11 rally to Jan 25, starting from 10am on Ratchadamnoen Avenue.
As the celebrations to mark His Majesty the King's 84th birthday on Dec 5 will take place between Dec 1-9, Gen Chamlong said the planned rally on Dec 11 is quite close to the festive events. The PAD wants December to be the month of happiness, at the same time, the southern region is also facing flood situation, so the group's mass protest will be delayed until Jan 25.
Gen Chamlong added the group will travel across the country to give correct information on the protest to the public.
The protest leader however raised their demands that the government must withdraw Thailand from the World Heritage Convention, and revoke the Memorandum of Understanding signed with Cambodia in 2000 as well as its supporting documents.
"If the government fails to respond our demands, we need to stage a mass protest, as in our lifetime, nothing is worse than Thailand losing its territory to Cambodia." said Gen Chamlong.
The PAD leader also pledged to prolong the Jan 25 demonstration to pressure the government to respond their requests.
Informed of the PAD demand, Prime Minister Abhisit Vejjajiva asserted on Friday that the government cannot withdraw from the World Heritage Convention.
He reasoned that the World Heritage committee has listened to Thailand’s stance during the past wo years, while the kingdom needs to use this forum to communicate with the world community.
As he earlier said he was seeking to talk with the PAD leaders before next week's rally, Mr Abhisit said he still wants to discuss with the protest leaders but the talk is yet set, as concerned officials of both sides are still discussing whether it will be held or not, with who and how. (MCOT online news)
Democrat Party lawyers ask court to dispose Bt258 mln donation case
BANGKOK, Dec 3 - Lawyers of the Democrat Party on Thursday submitted a petition to the Constitution Court to dismiss the case involving the alleged secret donation of 258 million baht to the party, the other lawsuit the Democrat Party is facing.
Chaivat Trisunan, representative of the Democrat Party legal team, submitted the document to the Constitution Court on Dec 2 and the court accepted it for consideration.
The Democrat Party has also been accused of violating the Constitution and faces dissolution by receiving a Bt258 million donation, exceeding the legal limit, from TPI Polene Plc, one of the country's leading cement manufacturers, founded by former Matchimatipatai Party leader Prachai Leophairatana.
In the petition, the party argued that Election Commission (EC) chairman, as the political party registrar, has yet made a decision whether the ruling party was guilty but a majority of the election commissioners resolved to bring the case to court.
As a result, the lawsuit, filed by public prosecutors to the court, deemed to be incomplete as required by law and could involve a problem about legality similar to the previous one involving the party.
The ruling party on Monday survived a verdict on the alleged misuse of Bt29 million ($960,000) in political campaign funding fund case.
The six Constitution Court judges voted 4:2 to dismiss the case against the country's oldest political party, saying the filing complaint process lodged by the EC was unlawful, sparking criticism among some groups including the opposition Puea Thai Party over what they claim is a double standard.
On Monday, the Constitution Court rejected the first dissolution case against the Democrat Party on grounds the case was filed with the court after the 15-day legal deadline of learning about the alleged offence. (MCOT online news)
US slams Wikileaks for distributing classified information
BANGKOK, Dec 3 -- The United States slammed WikiLeaks for distribute classified information via its website as it could directly affect the security and safety of the people in the leaked document, according to Walter M Braunohler, information officer of the US Embassy in Bangkok.
WikiLeaks revealed a secret US diplomatic cable saying that US ambassador to Bangkok Eric G John warned Thai Prime Minister Abhisit Vejjajiva last year that the alleged Russian arms dealer Viktor Bout's associates tried to bribe concerned people to prevent extradition of the Russian businessman to the United States.
Asked whether the US government intentionally leaked the information to distract public attention on its failed performance, Mr Braunohler only said that the US government would like to strongly denounce the WikiLeaks for illegally publicising classified information that could directly affect the security and safety of the people in the leaked document.
Mr Braunohler's comments came after he accompanied Mr John to meet Mr Abhisit at Government House to bid farewell from his post as he officially working as US ambassador to Thailand last day on Friday.
The US Information Officer said that the WikiLeaks issues was not on agenda for talking and the Mr John departure was not related to the WikiLeaks as he has completed his three year term in Thailand.
The new ambassador is Kristie A Kenney, a career member of the US foreign service. She most recently served as the US ambassador to the Philippines.
According to WikiLeaks, Mr John also told Thai prime minister that "bribery had infected the Bout proceedings'' and warned that false testimony could lead the Thai court to "possibly deny extradition." He also advised US President Barack Obama to telephone the Thai premier directly on the matter.
Mr Braunohler also said that the goverment and the embassy could not comment on the leaked document but the diplomats have done their jobs and it is a normal practice for them to meet the government officials or other officials and report to Washington.
He said the US and Thailand's relations are stronger and stronger during the past 177 years and good ties would remain unchanged. (MCOT online news)
Thursday, 2 December 2010
S. Korean economy grows 0.7 pct in Q3
SEOUL, Dec. 2 (Yonhap) -- South Korea's economic growth cooled down in the third quarter from three months earlier on eased growth in exports, but the economy is forecast to pull off a 6 percent expansion this year, the central bank said Thursday.
The country's gross domestic product (GDP), the broadest measure of economic performance, grew 0.7 percent in the July-September period, in line with an earlier estimate, according to the Bank of Korea (BOK).
But Asia's fourth-largest economy rose 4.4 percent from a year earlier in the cited period, less than an earlier estimate of a 4.5 percent on-year expansion.
The third-quarter quarterly growth decelerated from a 1.4 percent on-quarter expansion in the second quarter, indicating that the growth of the local economy slowed down following a fast recovery.
"The quarterly growth rate has been slowing since the first quarter, but this mainly resulted from a sharp expansion in the first half. The economic growth was led by private spending and investment, and the self-sustaining recovery by the private sector remains firm," Jung Yung-taek, head of the BOK's national accounts office, said at a press conference.
"In the fourth quarter, the Korean economy is expected to log positive quarterly growth, and for the full year, it could pull off 6 percent growth."
But Jung said in terms of real income, people did not feel the impact of the improving economy as the country's gross national income (GNI), reflecting the actual purchasing power of the population, grew at the slowest pace in 18 months in the third quarter.
The Korean economy expanded for the seventh straight quarter in the third quarter, aided by brisk exports and improved domestic demand, but the growth momentum has cooled down amid the flagging global economy.
The global economy is recovering at an uneven pace as emerging countries are concerned about risks of looming higher inflation while major advanced economies are cautious about still-high unemployment and risks of deflation.
The U.S. Federal Reserve pledged to pump an additional US$600 billion into the financial system in a bid to boost an anemic U.S. economy. But China is poised to take further steps, including a rate hike to curb inflationary pressures.
The data came as the BOK hiked the key interest rate by a quarter percentage point to 2.5 percent in November, following a three-month freeze, in a bid to curb mounting inflationary pressure. The central bank said the Korean economy is on a solid recovery track and the country's consumer inflation is expected to grow at about a 3 percent pace down the road.
Exports of goods, which account for about 50 percent of the local economy, grew 1.9 percent on-quarter in the third quarter, matching previous estimates. Private spending, one of the main growth engines of the Korean economy, expanded 1.3 percent, the same pace as earlier expected.
"The volume of private spending last quarter hovered above the pre-crisis level for the first time," Jung said.
Facility investment grew 5.5 percent, less than an earlier 6.3 percent advance, while construction investment gained 1.3 percent, lower than an estimate of a 1.5 percent expansion.
The central bank said the country's GNI, reflecting the actual purchasing power of the population, expanded 0.2 percent on-quarter in the third quarter, slowing from a 0.5 percent gain in the preceding quarter, due mainly to worsened terms of trade.
The third-quarter figure marked the slowest growth since a 0.7 percent contraction seen in the first quarter of 2009.
BOK Gov. Kim Choong-soo earlier said the Korean economy is likely to grow 6 percent this year thanks to resilient exports, slightly higher than the bank's earlier prediction of 5.9 percent. (Yonhap)
RI sees trade deficit of $5.3 bln with China
Jakarta, Dec 2 (ANTARA) - Indonesia saw a trade deficit of US$5.3 billion with China in the first ten months of 2010, the Central Statistics Agency (BPS) said.
In October 2010 alone, the deficit reached US$415.7 million, BPS Chief Rusman Heriawan said on Wednesday.
Separately, on Wednesday, Trade Minister Mari Elka Pangestu said the deficit was mainly caused by a decline in the oil and gas trade surplus.
"Our export of oil and gas commodities to China declined while at the same our import of oil and gas products such as lubricant increased," she said.
The oil and gas trade surplus in the January-September 2010 period plunged 85 percent from the same period last year, she said.
Compared to 2008 before the global financial crisis, the non-oil/non-gas trade deficit with China fell US$4.9 billion in the first nine months of 2010, she said.
Almost 90 percent of the trade deficit in the January-October 2010 period was caused by an increase in the import of raw materials and capital goods which reached US$2.9 billion and US$1.2 billion respectively compared to the same period last year, she said.
The BPS said Indonesia also still suffered trade deficit with a number of countries including Singapore, Thailand and Australia.
"And also this month (October 2010) we for the first time recorded a trade deficit of US$19.5 million with South Korea. We do not know exactly the cause of the deficit," Rusman said. (ANTARA)
Strong earthquake strikes off Papua New Guinea
PORT MORESBY, Dec. 2 (Xinhua) -- A 6.9-magnitude earthquake rocked New Britain island of Papua New Guinea on Thursday, the US Geological Survey said.
The strong quake took place at 1:12 p.m. local time (3:12 GMT) and there was no reports of casualties and damages nor immediate tsunami warning for the quake, which hit 470 km northeast of the capital Port Moresby at a depth of 32 km.
The Pacific Tsunami Warning Center issued a statement saying there was no threat of a widespread, destructive tsunami. (Xinhua)
Thailand to host 3rd Asia-Middle East Dialogue
BANGKOK, Dec 2 -- Thailand will host the 3rd Asia-Middle East Ministerial Meeting (AMEDIII) to be convened under the theme “Strengthening Cooperation towards Common Prosperity” Dec 15 and 16 at the Queen Sirikit National Convention Center in Bangkok, according to a senior Thai official.
Thai Prime Minister Abhisit Vejjajiva will preside over the opening ceremony on Dec 15.
Thai Foreign Ministry Department of South Asian, Middle East and African Affairs Director-General Pravit Chaimongkol said over 500 participants from AMED member countries including ministerial-level delegates, business people and non-governmental sectors will attend the meeting, one of the largest ever gatherings of ministers from Asia and the Middle East. AMED is regarded as an important platform to forge, foster and reinforce ties and mutually-beneficial cooperation between Asia and the Middle East.
Crucial issues to be discussed at the plenary and panel discussions will cover a wide range of political, economic, and social matters.
The discussions aim to find ways to strengthen and expand cooperation between member countries in order to resolve pressing concerns and challenges Asia and the Middle East face, ranging from terrorism, piracy and maritime security, economic crisis and business opportunities in the two regions, to climate change.
As for Thailand, he said, other than being a good opportunity to consolidate its ties with countries in Asia and the Middle East, hosting the meeting will expose the public and private sectors, as well as civil society not only to Islam and the Islamic world, but also allow the Thai public, which is mostly Buddhist, to learn about and gain a better understanding of the cultures, traditions, and peoples of the Middle East as a whole.
Besides, organising such an important meeting in Thailand has several significant benefits. In addition to being a boon to the local economy, Thailand will have a good opportunity to showcase its potential and assets to the world as Thailand’s position as Asia’s breadbasket, a hub for medical and health tourism, and as a prime tourist destination which in turn is expected to boost investor confidence and investment in Thailand, and increase the volume of trade.
AMED consists of members from 50 participant countries in Asia and the Middle East. The ministerial meeting is held biennially in venues alternating between Asia and the Middle East. Its inaugural session was in Singapore in 2005, while AMED II was in Egypt in 2008. Voluntary, informal and flexible, its participants include not only government officials but also the private sector, academics and non-governmental organisations.
Outcome documents of AMED are in the form of non-binding policy recommendations to be submitted to participating governments for their consideration. (MCOT online news)
Tuesday, 30 November 2010
All parties urged to accept court ruling on Democrat Party dissolution case
BANGKOK, Nov 30 - Thailand's National Security Council (NSC) chief on Tuesday conceded that not all groups of people felt that the Constitution Court ruling to dismiss the Democrat Party dissolution case was acceptable, but urged all parties to accept the court decision and observe the rule of law.
NSC Secretary-General Tawin Pleansri made his remarks following criticism of a so-called double standard regarding the sitting government and its political opponents after the court on Monday dismissed the nearly one year old dissolution case against Thailand's oldest political party over its alleged misuse of Bt29 million ($960,000) in political campaign funding, saying the filing complaint process lodged by the Election Commission (EC) was unlawful.
Mr Tawin said few groups of people rejected the Monday court ruling and that there is no report of possible protest against the matter.
"The case has two sides. No matter the result is, if the court ruling is satisfying [to them], people say it's fair. When they are not satisfied with the ruling, they say it's unfair," said Mr Tawin. "If it is so, the story will never end."
Asked whether he's worried about underground movements, the NSC chief said the country has had problems during the past three years and that he believes both the Red Shirt "United Front for Democracy against Dictatorship (UDD) and the yellow-clad People's Alliance for Democracy (PAD) do not want the situation to be like that again.
Mr Tawin added there is a possibility that a state of emergency may be lifted before the New Year depending on the assessment of the situation, which has been regularly conducted. He re-emphasised that there is no reason to maintain imposition of the security law if the situation is orderly.
The Emergency Decree remains in effect in Bangkok and its three adjacent provinces of Nonthaburi, Samut Prakarn and Pathum Thani.
Meanwhile, Deputy Prime Minister Suthep Thaugsuban on Tuesday reaffirmed that no double standard practice has been applied to the Democrat dissolution case.
Mr Suthep, who is also the Democrat MP for Surat Thani, asserted that the Constitution Court dismissed the party dissolution case because the process of filing the complaint by the EC was unlawful.
"Accusations of double standards is simply a matter of satisfaction and dissatisfaction over the case of a person." said Mr Suthep. "I consider such an accusation on the Thai government as destroying the country's system [of governance]. The Thai government and courts have no double standards."
The deputy premier added he is confident that the court's consideration process is correct and independent.
Following rumours of a possible House dissolution to end the country's political conflict, Ongart Klampaiboon, Minister attached to the Prime Minister's Office and the Democrat MP for Bangkok, on Tuesday said there is no sign leading to the dissolution of Parliament.
Mr Ongart said he believes the government can still do its job as there is one year left in its administrative term.
"The prime minister has always stated that he is ready to dissolve Parliament anytime, but it depends on the circumstances and I can't foresee the situation", said the minister. "There must be sufficient cause and other elements when the House is dissolved." (MCOT online news)
PM orders tightened security for Constitution Court judges
BANGKOK, Nov 30 - Thai Prime Minister Abhisit Vejjajiva on Tuesday instructed security concerned agencies to step up security measures for the country's Constitution Court judges following their ruling to dismiss the high-profile Democrat Party dissolution case, while a group allied to the 'Red Shirt' movement staged a symbolic protest outside the court compound amid tight security.
The so-called "People who love justice and democracy", ally to the United Front for Democracy against Dictatorship (UDD) led by Palot Chalermsaen, turned up outside the Constitution Court offices in the Government Complex in the Chaeng Wattana area Tuesday morning. They wore black clothing and performed a religious rite as if it was a funeral as a symbolic expression in response to Monday's court decision.
The protesters called on the judges to clarify their verdict to the public and then walked to the Election Commission (EC) headquarters in the next building, urging the poll agency to bring the Democrat dissolution case back for a new round of prosecution.
Security measures have been tightened at the Constitution Court and the Election Commission offices with a number of police officers deployed to maintain order, but the protest ended without violence.
Six Constitution Court judges voted 4:2 Monday afternoon to dismiss the case against the country's oldest political party over its alleged misuse of Bt29 million ($960,000) in political campaign funding, saying the filing complaint process lodged by EC was unlawful, sparking criticism among some groups including the opposition Puea Thai Party over what they claim is a double standard.
Acting government spokesman Panitan Wattanayagorn said after Tuesday's Cabinet meeting that Prime Minister Abhisit has instructed Deputy Prime Minister Suthep Thaugsuban who oversees national security to tighten security measures for the Constitution Court judges.
The premier also asked Minister Attached to the Prime Minister's Office Ongart Klampaiboon to distribute and publicise the details of court ruling to the public in order to avoid any misunderstanding on the case, said Dr Panitan.
As this week is considered important with many royal ceremonies and government events to be held, the spokesman added, the prime minister has instructed Defence Minister Gen Prawit Wongsuwan, in his capacity as director of the Centre for the Resolution of the Emergency Situation (CRES), to maintain order during this period.
The premier told ministries and agencies holding celebrations marking His Majesty the King's birthday on Dec 5 should coordinate with CRES so that the events run smoothly. (MCOT online news)
Monday, 29 November 2010
Ruling Democrat Party's judgement day
BANGKOK, Nov 29 -- The ruling Democrat Party and its executives face a possible court decision today on their future--a judgement that could order the party to be disbanded and its leaders banned from politics.
The Constitution Court on Monday will hear closing remarks of the prosecution and the defence and will then decide whether or not to deliver a verdict on that day, as was done with three previous party dissolution cases.
High court president Chat Chonlaworn is scheduled to preside over the session when the Constitution Court judges meet to decide whether the Democrat Party misused Bt29 million in political campaign funding allocated by the Election Commission (EC) prior to the April 2005 election.
For the defence, Democrat chief adviser Chuan Leekpai is to deliver a closing statement, while for the prosecution, lead prosecutor Kitinan Thatpramuk will present the final argument on seeking to disband the Democrats.
The six presiding judges have reportedly drafted their individual opinions, paving the way for a vote on their collective decision in the case.
The Democrat Party, contesting the charges, will say they are unlawful and that spending restrictions affecting the party depend on which Political Act – either the now defunct 1998 or the present 2007 act.
The party had spent the funds on projects which had been approved and the party had reported its spending accurately.
Under the current constitution, senior leaders, including party leader Prime Minister Abhisit Vejjajiva, could be banned from politics for five years if the party is found guilty. Mr Abhisit was a deputy leader of the party at that time.
Mr Abhisit earlier said this case differed in its essential nature from the electoral fraud charges brought at other times against the Thai Rak Thai, People Power and Chart Thai parties.
He admitted that if the court disqualifies him it will cost him the prime minister's seat and his post will be filled by a caretaker who is most senior among the cabinet ministers.
Deputy prime ministers Suthep Thaugsuban, Trairong Suwannakhiri and Maj Gen Sanan Kachornprasart have all been mooted as possible caretaker prime ministers.
Mr Suthep is the most senior deputy followed by Mr Trairong.
Mr Suthep and Mr Trairong are both Democrats. Gen Sanan, once the Democrat secretary-general, is a member of the Chart Thai Pattana Party.
Mr Suthep, Mr Trairong and Maj Gen Sanan do not face the threat of a political ban as they were not Democrat executives at the time of the alleged misuse of the election campaign subsidy.
The Democrat Party has also been accused of violating the Constitution and faced dissolution by receiving a Bt258 million donation, exceeding the legal limit, from TPI Polene Plc, one of the country's leading cement manufacturers, founded by former Matchimatipatai Party leader Prachai Leophairatana. (MCOT online news)