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GOVERNMENT POLICIES - Thaksin's populist wave returns

13. Februar 2008 - Source: The Nation

Village fund, people's bank, micro loans and cheap houses - A comprehensive range of Thaksin-style populist policies will be rejuvenated on Monday when Prime Minister Samak Sundaravej delivers his government's policy statement before Parliament.

Even though the government is required by the Constitution to adhere to the principles of sufficiency economy and national reconciliation, the policy statement, more or less, reflects the return of political populism.

For instance, the income-contingent loan (ICL) programme for poor students, a brainchild of ousted premier Thaksin Shinawatra, would be revived after being suspended by the military-installed Surayud government due to budget constraints.

Or the low-cost housing project for first-time home buyers, also suspended by the previous government, would be re-instated to reward voters, even though there were reports of inflated demand and alleged widespread corruption in related Baan Ua Arthorn housing schemes.

Another example of renewed populism is the re-introduction of the so-called SML budget allocation programme in which all the 70,000 heads of small, medium, and large-sized villages nation-wide would be directly granted an annual budget of Bt300,000 to Bt700,000 per village, bypassing the normal procedures.

Other populist and related measures include the hand-out of free or heavily-subsidised buffaloes, notebook computers and loans for people who want to apply for jobs overseas.

According to an official document, urgent measures in the first year of office include attempts to reconcile national differences, resolve the southern unrest, and tackle the increase in drug abuse.

Economically, there are 10 urgent measures to boost the people's income such as revival and expansion of the Bt70-billion village fund; the people's bank (micro-loans for poor people); debt restructuring for farmers and the poor; the SME Bank, and the Otop (One Tambon, One Product) programme.

The government will boost the economy and investment by implementing nine rail mass transit projects for Bangkok as well as double railroads and related schemes in the provinces.

In addition, it will execute large-scale irrigation and water management schemes as well as tourism promotion projects to boost the economy and investment sector.

Energy-wise, it will promote development and use of E20 gasoline and bio-diesel in response to problems caused by high oil prices.

For long-range policies, the government will highlight education, labour, healthcare, art and culture policies over the next four years.

In addition, it will adhere to prudent fiscal and monetary policies while restructuring the agricultural, industrial and investment sectors.

On information, communications and technology (ICT) management, it will further develop e-government, e-logistics, and the Government Information System.

The government will also spell out selected measures on security, natural resources management, science and tech management, and good governance.




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