AustCham Thailand appoints new executive director

The Executive Board of AustCham Thailand announced the appointment of Brett L Gannaway as executive director.

Brett L Gannaway

An Australian professional with some 13 years experience in a wide range of businesses including sales, marketing and project management in Thailand’s manufacturing and MICE industries, Gannaway brings with him multiple skills that can further develop AustCham Thailand on its day-to-day operation, as well as strengthen business relationships amongst existing members and organisations within Thailand.
Prior to his appointment, Gannaway, held the position of senior sales manager for corporate at Siam Ocean World Bangkok Co Ltd. Before that he was manager for special projects of AsiaCongress Events Co Ltd, marketing manager of Creative Product Enterprise Co Ltd and marketing manager of Austhai Sporting Goods Manufacturing Co Ltd.
Gannaway has been living in Thailand for 14 years. He is fluent in Thai communication. He is married and has one son. During his free time, he continues his studies and enjoys spending time with his family.

PM confident extra budget will boost economy

Prime Minister Abhisit Vejjajiva said he was confident that a Bt116.7 billion supplementary budget would help cushion impacts of the economic slump, and that the funds would be injected into the economy as early as March.
The premier made the remarks after the bill won parliamentary approval early last Thursday.
The government pins high hopes on the extra budget to help stimulate the country’s economy amid global economic downturn.
The bill won the backing of 238 members of parliament out of 455 MPs present in its first reading.
The passage of the bill came after more than 11 hours of intense debate during which the Puea Thai-led opposition and the government traded accusations.
A special 35-member committee has been set up to thoroughly scrutinize the bill which must successfully pass through two more readings before being promulgated.
Among key economic stimulus measures included are cash handouts for low-income employees and the elderly, tax cuts, government-funded free education for 15 years and free rides on public transport.
Prior to the vote, Prime Minister Abhisit Vejjajiva dismissed the opposition’s heavy criticism that the government’s economic stimulus package was tantamount to buying votes in advance, and that it would fail to spur economic growth.
The government responded that it had allocated the budget in response to immediate problems and priorities.
Long-term measures covering all sectors would be implemented with an aim to restore the economy, said the premier.
The Thai economy has slowed sharply in recent months, with the Bank of Thailand lately revising its 2009 growth forecast to just 0.5 - 2 percent, less than half the growth rate posted last year. (TNA)

Thai economy slows sharply in Q4 2008

The Thai economy slowed more rapidly in the fourth quarter last year with both domestic and overseas demand declining sharply, according to the Fiscal Policy Office (FPO).
FPO Director-General Somchai Sajjapong revealed on Thursday that private consumption in the fourth quarter slowed clearly as could be witnessed by a marginal increase in the value-added tax collection by only 0.1 percent compared 16.1 percent in the previous quarter.
The import of consumer products dropped by 2.5 percent and motorcycle sales increased by only 8 percent compared with 16.2 percent in the quarter before.
It reflected declined spending by people in provincial areas now that their incomes and purchasing power had declined since most farm products had decreased in parallel with product prices in the world market.
Private investment in the fourth quarter had also slowed, as witnessed by property tax shrinking by 5.6 percent against a growth of 22.2 percent in the previous quarter.
Many fiscal indicators showed net revenue collected by the government in the fourth quarter of 2008 totaled Bt272,800 billion, down 16.1 percent.
Exports totaled US$38.7 billion in value, a decrease for the first time in seven years, of 10.6 percent, while imports grew by 3.7 percent to $40.20 billion, resulting in a trade deficit of $1.4 billion.
He said the country’s economic stability had improved continuously as the general inflation rate dropped to 2.2 percent in the fourth quarter the previous year from 7.2 percent the quarter before.
Reduced inflation stemmed from lower energy and food prices.
The unemployment rate stayed as low as 1.3 percent and the international reserve as of the end of December 2008 totaled $111 billion. (TNA)
 

New sports superstore opens

Narat Wongpanich (left), managing director of BRC Sports Co. Ltd., and Bussba Jirathiwat (right), from Central Retail Corporation Co. Ltd. escort Mayor Itthipol Khunplome (center) around the new store.

Pramote Channgam
The biggest branch of Supersports in the eastern region opened on January 23 at Central Festival Pattaya Beach.
Mayor Itthipol Khunplome opened the new branch with Narat Wongpanich, managing director of BRC Sports Co. Ltd. and Bussba Jirathiwat, senior assistant managing director of Telecommunications, Central Retail Corporation Co. Ltd.
The chain company of sport clothes and shoes has invested over 50 million baht in the new Supersports store. This makes number 65 for the company.
Management expects the new shop by the beach to be as successful as the other five existing branches, two being at the Central Festival Center in North Pattaya and Royal Garden Plaza in Central Pattaya, and three more in the eastern region.
Narat Wongpanich said the new beach-themed store has 2,273 square meters of shop area with 70% sports clothes and shoes, with the remaining 30% being various items of popular brand names.

BoT chief defends policy, downplays criticism over wide interest spread

Bank of Thailand (BoT) Governor Tarisa Watanagase on Wednesday shrugged off mounting criticism over the wide spread between deposit rates and lending rates, saying the net interest-based incomes earned by commercial banks remain relatively low in the region.
At present, she said, the interest-based incomes gained by Thailand’s banks stood at 3.2 percent of total revenue, but the banks must bear the costs of loan-loss provisioning, personnel, and information technology (IT) as well as contributing to the Deposit Insurance Institute.
Altogether, they cost the banks around 2.2 percent, which means that their return on assets would drop to only 1 percent, which is the lowest among five Association of Southeast Asia Nations (ASEAN) members.
The rate of return showed that Thailand’s commercial banks must improve their efficiency and reduce costs even further to increase their rate of return on assets.
Mrs. Tarisa said the interest spread should not be calculated based only on deposit and lending rates, but that it must include other costs incurred by the banks as well.
“The efforts by the banks to keep the interest spread wide are not made because they have suffered losses from overseas investment. Instead, it is one of the approaches each bank has taken to manage its liquidity.
“Many banks must attempt to take care of debtors to the utmost of their ability,” she said.
Tarisa said she believed the Thai economy would continue to grow 0.2 percent this year, and that Thailand will not move into recession as many fear.
She affirmed that the central bank will adopt an easing of monetary policy as part of its efforts to boost the country’s economic growth.
The BoT chief asserted that liquidity in the Thai banking system remains sufficient and will improve as economic confidence is restored. (TNA)