China’s Xi takes APEC by storm after stealing the show with hardline statements

China’s President Xi Jinping is taking APEC by storm after making hardline statements about the region. His recent statements have set off tidal waves as worldwide leaders became sidelined in the chaos after Xi reportedly told off Canada’s PM Justin Trudeau and noted what APEC’s goals should encompass.

According to the Thai Enquirer, Xi called on the APEC region to focus on economic development first and save the power struggle between nations as an afterthought.

“The Asia Pacific is no one’s backyard and should not become an arena for big power contests. No attempt to wage a Cold War will ever be allowed by the people or by our times.”

He furthered that the 21st century has been taken by the region as it accounts for 1/3 of the world’s population and more than 60% of the world’s economy. Then, he went on to say that the region accounts for almost 50% of global trade and has the most dynamic growth potential in the world.

“Currently, the Asia Pacific enjoys overall stability. Cooperation in our region has been steadily advanced, and peace, development and win-win cooperation remain the underlying trend in this region.”

He then laid a heavy hand towards what he calls a “Cold War” mentality, unilateralism, hegemonism, and instability, saying such acts are hampering economic ties. Xi says that such a mentality distorts international norms, impedes development cooperation, and ignites conflicts in the region. Then, he blamed such issues as burdening the region’s peace and development.

Xi’s statements were outlined in a six-page document, in which he promoted the Chinese way of modernisation over the current Westernised route. He called out the US influence that is currently seen in the region and proposed a counter alternative that would help “create conditions for ensuring economic development and durable peace and stability in the Asia-Pacific.”

The Chinese president’s statements have grabbed headlines worldwide, leaving Thailand’s PM in the dust. His statements were largely unprecedented with other global leaders in awe of his bold speech. Traditionally, such statements have been reserved for the host country of such global meetings so as to not steal the limelight from the host.

Some observers say Prayut will forever be indebted to China with Xi’s recent turf grabbing just another example of how Prayut’s administration serves as only another puppet to China.

Source - The Thaiger

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New Border Crossing for Laos and Cambodia Proposed

Authorities in Laos’ Attapeu Province and their counterparts in Cambodia’s Ratanakiri Province have conducted a survey on the feasibility of opening a new bilateral border gate.

According to the Khmer Times, the possibility of the new border checkpoint was raised at a press conference held yesterday at the Council of Ministers on the results and achievements of the Ratanakiri Provincial Administration.

Provincial governor Thang Savon stated the province currently has no road connecting it with Laos, and an interconnecting route could help meet the needs of the two nations’ populations.

Provincial offices on both sides are planning to request their respective government’s approval for the opening of a bilateral border checkpoint.

If the border project were to happen, it would strengthen trade and attract tourism for both sides.

The Cambodians hope to export agricultural produce to Laos from Ratanakiri Province, which currently exports 87,000 tonnes of agricultural produce to China via its border with Vietnam. With a new border, Laos could serve as another avenue for the facilitation of Cambodian exports.

Tensions rose at the border between Laos and Cambodia last year over an area where border demarcation had not yet been implemented. The tension between the two countries began to simmer on 11 August when Lao and Cambodian troops confronted each other in an area along the border.

However, the situation was quickly stabilized after leaders from the two nations spoke to each other on 24 August, and Lao Prime Minister Thongloun Sisoulith flew to Cambodia to resolve the issue.

Since then, Laos has stepped up trade and cooperation with Cambodia, inking a deal on the transmission of electricity to Cambodia earlier this year.

Source - Laotian Times

The world after Covid

The second quarter of 2020 has seen a divergence between the investment world and real economic conditions. Despite a recent uptick, the global economy is still contracting: the IMF has just downgraded its global GDP forecast to -4.9% from -3.0%.

Yet the picture for the investment world is quite good. Stock markets have regained their feet and surged after plunging 30-40% in March. Two factors have led risky asset prices to recover:

1. Continued stimulus: Since February, the balance sheets of the four major central banks (the US, Europe, Japan and England) have swelled by US$4.5 trillion. As well, a flurry of stimulus measures by the US Federal Reserve, including the purchase of corporate bonds, has meaningfully improved liquidity in the credit market.

Notably, on June 15 the Fed said it would begin buying corporate bonds directly. We see this as a signal that it intends to do whatever it takes to support the market whenever signs of trouble emerge.

2. Rebounding economies: Many countries have begun the cautious process of reopening their economies, leading to a revival in economic indicators. The global composite purchasing managers’ index, as well as other important gauges such as US jobs and retail sales data, plus Chinese economic indicators, rebounded in May. Preliminary figures for June also look promising.

US economic growth momentum appears better than either the market or we had expected. This reflects the resilience and flexibility of the US economy and effective stimulus measures by both the government and the Fed.

On the other hand, China’s recovery, though gradual, is slower than we expected. The primary cause may be the half-hearted stimulus measures, as Chinese authorities want to see a more organic and gradual recovery.

Looking forward, we forecast that the global and Thai economy will bottom out in the second quarter, economic revival will continue in the third quarter, and the fourth quarter may bring positive year-on-year growth.

Nevertheless, we see the world economy contracting by 2.3% and Thai GDP down 5.8% this year. We may see some rebound in 2021-22, after a vaccine is found and distributed. Nevertheless, the “new normal” economic growth rate will be lower than before.

Our projection is materially different than that of the IMF. The latter’s main assumption is that there will be persistent social distancing and/or lengthier lockdowns in several economies, which will lead to a lengthier slowdown.

However, given the better knowledge health authorities now have, governments may choose to partially shut down activity in areas where they see the virus returning, while rigorously testing, tracing, isolating and treating infected patients. This will allow partial opening of the economy while actively managing and controlling the spread of the virus.

Although we see most economies bottoming out in the second quarter, looking forward, there may be some downside risks:

1. Less economic stimulus, especially in the US. Although gigantic compared with the 2008-09 crisis era, the Fed’s purchases fell to $441 billion in May from $1 trillion in March and April. Reduced bond purchases mean liquidity injected into the market and the economy may shrink. Nevertheless, we believe that whenever it sees factors that could sap market confidence, the Fed will step in to reassure investors.

2. Rising numbers of newly infected patients. Surges in Texas, Florida, California and Arizona this month have raised concerns about US economic reopening. However, we believe there is no reason to panic. In some areas, such as California, the rising figure reflects increased testing. Some states that have overcome devastating outbreaks, such as New York, are starting to restrict travel from other infected states, along with other measures such as mandatory mask wearing, to reduce risk.

3. The risk of a cold war between the US and China. As we mentioned last month, an election-year cold war could be used to boost President Trump’s popularity by stirring up nationalism. If the US economy is staggering or the president’s chances of re-election seem slimmer, he may resort to a cold war. That would hurt the economies of the US and China, as well as the rest of the world.

Against the backdrop of a gradual recovery even as economic risks linger, investors need to remain extremely cautious. The focus should be on sectors that have a long-term future, such as technology, healthcare and sectors that benefit from a low-interest-rate environment, such as real estate.

Source - Pattaya One News

#Thailand - Tourism minister says pandemic provides “opportunity to reset tourism sector”

Needless to say, Thailand’s tourism sector, considered a lifeline to an already battered economy, has been ravaged by the Covid-19 pandemic. Now the government is rethinking its strategy for the Covid era… The new tourism revival strategy is “quality over quantity”, target big spenders seeking privacy and social distancing, rather than try to attract large numbers of visitors.

In an interview with Bloomberg News, Thailand’s tourism minister said the pandemic provides an opportunity to reset the sector, which had become reliant on Chinese group tours and backpackers. Once the nation’s borders are reopened and so-called “travel bubbles” are agreed upon, marketing efforts will target wealthier individuals who want holidays with minimal risks.

The minister says the government will initially allow small numbers of arrivals, such as some business-people and medical tourists. It’s also working with the travel industry to identify and invite individuals in target demographics, which will most likely include previous visitors to luxury resorts in the islands of Phuket, Samui, Phangan and Phi Phi.

Phuket is “a prototype” because it has all the needed facilities and infrastructure in place. Visitors may have to pass a Covid-19 screenings before traveling and upon arriving, choose a single resort or island and remain for a minimum period of time, presumably 14 days.

The “high-end visitors” will be able to travel freely while they’re on the island and be allowed to leave for home or other destinations in Thailand once the minimum number of days has passed. According to the minister, Thailand plans to court such visitors, possibly during the winter months, when European and American travelers seek out warmer climates.

“One person can easily spend as much as five by staying at the finest hotels. Full and free travel should become a thing of the past.”

Thailand is not the only country grappling with the question of how and when to reopen for visitors. Across south east Asia, one of the most tourism-reliant regions in the world, hotels and travel businesses are slowly reopening as countries that have succeeded in flattening their virus curves ease lockdown restrictions.

The minister says Thailand’s first few travel bubble pacts, probably with nations like as Japan and Australia, probably will not be ready until at least August, and that Thailand also is mulling a program to allow visitors from specific low-risk Chinese cities and provinces.

Thailand’s borders are currently locked to all but repatriation flights and the most essential travel through June 30. Most restrictions on domestic travel were lifted this month. The goal is for Thailand to have 10 million foreign arrivals this year – a quarter of the 2019 tally.

The tourism sector will account for about 6% of GDP in 2020, down from 18% last year, says the minister. The lack of travelers is one reason Thailand’s economy is forecast to contract as much as 6% this year (some estimates are as high as 8.9%).

Source: Bloomberg

#Indonesia - Govt seeks to create ‘travel bubbles’ to help tourism recover

The government is seeking to create “travel bubbles” with China, South Korea, Japan and Australia, which are known for their achievements in handling the COVID-19 outbreak, as the nation enters its so-called new normal period.

The term “travel bubble”, or “travel corridor”, refers to an agreement in which countries succeeding in containing the outbreak open their borders to each other to allow free movement within the bubble.

The Office of the Coordinating Maritime Affairs and Investment Minister’s undersecretary for tourism and the creative economy, Oto Manuhutu, said his office was discussing the matter with the Foreign Ministry as well as the Tourism and Creative Economy Ministry.

“The four countries were chosen because many tourists and foreign investors in Indonesia come from those countries,” Oto said on Friday, as quoted by Antara.

Despite the plan, he added that business-people would probably be the first and only ones to travel to and from those countries in the near future. “Hopefully, tourists will gradually follow to visit [Indonesia] after the investors.”

Oto went on to say that the Foreign Ministry was discussing the requirements for travel bubbles before signing agreements with the four countries.

“The travel bubbles would open two to four weeks after the agreements are signed while taking into consideration health, security and technical aspects,” said Oto.

Experts have said that the government’s move to ease COVID-19 restrictions might worsen conditions, as the country has yet to reach its peak in the epidemiological curve.

Source - TheJakartaPost

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#Thailand - Seven more airports opened for domestic flights

The Civil Aviation Authority of Thailand (CAAT) has added seven airports to the list of airports that are allowed to reopen for domestic flights, effective from Saturday (June 6).

CAAT director-general Chula Sukmanop announced on Friday (June 5) that the seven airports include Tak, Trad, Nakhon Ratchasima, Narathiwat, Pai, Phetchabun and Sukhothai.

“The CAAT decided to open these airports in compliance with the government’s easing of lockdown measures to tackle Covid-19,” he said. “The opening hours of these airports will be restricted to between 6am and 8pm.”

According to CAAT list, airports that are open for domestic flights are: Khon Kaen, Chumphon, Tak, Trad, Trang, Nakhon Phanom, Nakhon Ratchasima, Nakhon Si Thammarat, Nan Nakhon, Narathiwat, Buri Ram, Pai, Phitsanulok, Phetchabun, Phrae, Mae Sot, Mae Hong Son, Ranong, Roi Et, Loei, Lampang, Sakon Nakhon, Sukhothai, Udon Thani and Ubon Ratchathani.

The following airports are open for domestic and international flights: Krabi, Chiang Mai, Don Mueang, Mae Fah Luang Chiang Rai, Samui, Suvarnabhumi, Surat Thani, Hat Yai, Hua Hin and U-Tapao.

Source - The Nation

#THAILAND REOPENING TO TOURISTS: EVERYTHING YOU NEED TO KNOW

The Thailand Tourism Authority has said that tourists will have to wait a few more months before visiting.

The Governor of the Tourism Authority of Thailand said that tourism could return in the fourth quarter of this year.

Here is everything you need to know about Thailand reopening to tourists and what to expect when one of the most popular tourist destinations in the world opens their border.

Even then, there will likely be restrictions on who can visit and where they can go said Yuthasak.

“We are not going to open all at once,” he adds. “We are still on high alert, we just can’t let our guards down yet. We have to look at the country of origin [of the travelers] to see if their situation has truly improved. And lastly, we have to see whether our own business operators are ready to receive tourists under the ‘new normal’.”

Similar versions of this strategy are already being looked at in the region — referred to as “tourism bubbles.” Basically, a country will open borders reciprocally with destinations that also have their coronavirus situation under control.

Once Thailand does open to international tourists, they’ll likely only be able to visit certain spots, says Yuthasak.

“We have studied a possibility of offering special long-stay packages in isolated and closed areas where health monitoring can be easily controlled — for example, Koh Pha Ngan and Koh Samui. This will be beneficial for both tourists and local residents, since this is almost a kind of quarantine.”

Yuthasak says they’re finishing up a framework to restart tourism, but much of the decision-making lies in the hands of the CCSA — the Center for Covid-19 Situation Administration — which will decide when is the best time to open the border.

Phuket-based Bill Barnett, managing director of Asia-focused consulting firm C9 Hotelworks, says “baby steps are needed” to reignite international tourism.

“The next step is bilateral agreements between countries,” Yuthasak told CNN.

“Thailand’s good standing in the face of the crisis with China, along with strong pent-up demand, make it a logical short-term solution for overseas tourism to return to the Kingdom.”

For now, Thailand isn’t taking any chances and the country’s borders are firmly shut.

The Civil Aviation Authority of Thailand (CAAT) has issued a temporary ban on all international commercial flights into the country until June 30, excluding repatriation flights. The Thais who do return on these flights are put into quarantine facilities for 14 days.

Meanwhile, on May 26, the Thai Cabinet agreed to extend the nationwide state of emergency until June 30.

Thailand has seemingly managed to avoid the ravages of the virus experienced by many other nations around the world.

When this story was published, the country had recorded 3,042 Covid-19 cases and 57 deaths. It’s reporting only a handful of new Covid-19 cases each day — occasionally even zero. Instances of local transmissions are low, with most recent Covid-19 infections discovered in quarantined returnees.

Thailand is now focused on reopening to domestic tourism in June, says Yuthasak. Resorts and hotels in some tourism destinations throughout the country have already been given the green light to reopen, including in Hua Hin, a popular beach resort about 200 kilometers (124 miles) south of Bangkok.

Nationwide lockdown measures put in place in late March have been easing in stages throughout May.

Malls, markets, museums and some tourist attractions have already reopened and more are slated to follow. Bangkok’s Grand Palace, for instance, will reopen June 4.

National parks, theme parks, stadiums, spas, massage shops and cinemas remain closed, but local media reports some will likely be given the go-ahead reopen in June.

Restaurants — limited to offering only delivery and take-out services in late March — can now allow customers to dine in but are banned from serving alcohol and must adhere to strict social distancing measures. Pubs and night clubs remain closed, and a curfew is in place from 11 p.m. to 4 a.m.

Local transport networks are increasing services, including rail and bus lines, while airlines are upping the number of domestic flights.

Phuket International Airport, however, remains closed until further notice.

Thailand’s most popular tourism island emerged as a coronavirus hotspot in March, facing the highest infection rate per capita out of all of Thailand’s 77 provinces.

As a result, Phuket officials imposed strict lockdown measures and embarked on an intensive drive to test residents.

But with cases slowing to a trickle in recent days, embattled travel industry players question the continued closure of the island’s airport when the rest of the country is opening to domestic flights.

“The Phuket tourism sector at the moment is sad, stunned, annoyed and dismayed at the lack of a defined plan to reopen the airport,” says Barnett.

“The recent 24-hour notice by CAAT of a sustained closure was a hard pill to swallow for a damaged industry. There is no point to open hotels, while the airport is the trigger for reopening. The vague notice and lack of a clarity on when the airport [will reopen] makes it impossible for businesses to plan forward actions.”

Even with domestic tourism starting to kick off in some provinces, it’s only a drop in the bucket.

In 2019, nearly 40 million tourists visited Thailand, according to government data. The TAT estimates only 14 to 16 million will visit this year.

Financially stressed hotels in need of cash flow have already started aggressively selling hotel rooms and vouchers, says Barnett, while also looking to the local market to provide some relief.
“Staycations and road trips are being touted but in a country where tourism represents 12 to 14 percent of the GDP, these small bites are not going to bridge the road to recovery,” he says. “Broader ASEAN bilateral agreements and getting airports open and airlines back in the air is what’s needed.”

Bangkok’s Chatuchak Weekend Market, one of the city’s most popular shopping destinations, reopened on May 9. But though Thais and expats have returned, it’s simply not enough foot traffic for vendors to make a sustainable living, says shop owner Tassanee Larlitparpaipune.

“International tourists make up about 50 percent of my customer base,” she says. “Most are from Singapore, Hong Kong and Malaysia.”

Before the Lunar New Year holiday in January, Tassanee owned four clothing shops at the market. She has since closed two and is now considering shuttering a third and shifting her focus to online orders.

But the Covid-19 pandemic hasn’t had completely negative consequences. As seen in other once busy global destinations, Thailand’s wildlife has benefited from the global shutdown — particularly marine animals.

Marine biologist Dr. Thon Thammawongsawat says the changes he’s witnessed have been remarkable, with animals returning to destinations once crowded with humans.

“For example, pink dugongs were spotted around Ban Pe, in Koh Samet and green turtles laid eggs for the first time in six years at Koh Samui beaches,” he says.

More than 200 of these turtles were born on the secluded beach of the Banyan Tree Samui resort, with three nests hatching between April 4 and 24, according to hotel staff.

Other species of turtles have returned to Thailand’s shores to lay eggs, too.

“The most crucial indicator of positive side effects from this crisis is that we’ve seen leatherback turtles lay eggs in the highest amount since we began recording statistics eight years ago,” says Thon.

“Last year, we recorded that there were about 100 leatherbacks hatched. This year, up until now, there are more than 300 hatched and returned to the sea.”

The country’s national parks officials say they hope to preserve some of these gains.

“The department has decided to close national parks — both land and marine parks — every year between two to three months a year,” Sompoch Maneerat, director of information for Thailand’s Department of National Parks, tells CNN Travel.

“Durations and dates will be varied depending on the nature of each location. The purpose is to achieve sustainable tourism, where nature can rest during the low season.”

As for popular Maya Bay, where the 2000 movie “The Beach” starring Leonardo DiCaprio was filmed, Sompoch says it will remain closed until at least 2021, as the ecosystem has not yet fully recovered to an acceptable level.

The bay has been closed since June 2018 part of a rejuvenation program aimed at reviving the area’s decimated corals.

Source - Pattaya One News

#Thailand - Tourism sector will only start recovering next year, say experts

Businesses that have been severely affected by the Covid-19 outbreak, especially those that rely mainly on tourism in the Eastern Economic Corridor (EEC), are in dire need of support.

Pratya Samalapa, vice chairman of the Thai Chamber of Commerce (TCC), however, said it is still too early to predict when the tourism industry will recover as it relies mainly on arrivals from China.

He said there may be fewer tourists even after the government lifts travel restrictions as many countries are still struggling with the pandemic and blocking overseas travel to curb the contagion.

“After the tourism business is unlocked, there will only be some stranded Thais returning and maybe some groups arriving to hold seminars. This may help some businesses, but will not be able to stimulate recovery, especially since this region fully relies on foreign tourists,” Pratya said.

The private sector is working on tourism stimulus measures to propose to the government. The proposal will focus on domestic travel to help tourism businesses survive, before preparations can be made to take in foreign tourists once the outbreak ends.

Meanwhile, Teerin Tanyawattanakul, chair of the Chonburi Chamber of Commerce, said the agency has discussed the Phase 2 of the relaxation of measures with the provincial authorities, and is considering lifting restrictions on golf courses, parks, hotels, resorts, restaurants and tourist attractions in the province.

Tourism has been hit the hardest by the Covid-19 outbreak, with most tourists having disappeared and operators losing 80 to 90 per cent of their income.

The Chonburi and EEC Tourism Development Plan, which does not cover Pattaya City and Bangsaen, was created to promote other attractions in the province, such as the Hundred Pillar House or Ban Roi Sao.

“We expect the Covid-19 outbreak to end by the beginning of 2021 and travel should once again begin once the vaccine is found. The tourism sector in Chonburi should return to normal by the second quarter of next year,” Teerin said.

Thanate Vorasaran, vice president of the Tourism Council of Thailand (TCT), said the eastern region is suffering the most and not much can be done because it relies mainly on foreign arrivals.

All borders to Thailand are still closed and no tourists are allowed to land. It is believed that Thai nationals may be allowed to travel overseas by the beginning of July, and the government may allow interprovincial travel soon if the number of new Covid-19 cases remains low.

Most foreign nationals will not be allowed to enter Thailand for most of this year, though it is believed that Chinese tourists may be allowed into the country by July as the number of infections in the country is under control. Operators believe there will be a large influx of Chinese tourists because they are not able to travel anywhere else.

“TCT predicts that the number of tourists in 2021 will match the number in 2019. Hence, it is important for operators in the tourism sector to start preparing for the influx,” Thanate said.

Source - The Nation

Tropical Bali looking to reopen to tourists in October

Indonesia's tropical holiday island of Bali could reopen to tourists in October, thanks to its success in controlling the coronavirus outbreak, the government said on Friday.

As of Friday, Bali had reported 343 coronavirus cases and four deaths, a much lower fatality rate compared with 16,496 cases and 1,076 deaths in the whole archipelago.

If the infection curve continued to improve, the tourism ministry is looking to revitalize destinations and do promotional work for some parts of the country, including Bali, between June and October, Ni Wayan Giri Adnyani, secretary of the ministry, said in the statement.

Partial reopening of those areas, which also include the city of Yogyakarta and Riau islands province, may begin in October, she said.

Bali's economy depends largely on visitors. Its gross domestic product (GDP) contracted 1.14 percent on-year in January-March, compared with a 2.97 percent GDP expansion nationally.

Foreign tourist arrivals into Indonesia plunged more than 60 percent in March, compared to the year-earlier month, with Chinese arrivals sliding more than 97 percent  

Source - TheJakartaPost

Europe's countries seeking to relaunch tourism

Northern Europeans may not be able to decamp to the beaches of the Mediterranean this summer because of the coronavirus, but will their governments support the devastated tourism sector?

Beach destinations like Italy, Greece, Spain and Portugal are already among the European Union (EU) members facing a daunting struggle with debt – and now their vital travel and leisure industries are on the line.

Together with five more southern allies – France, Malta, Cyprus, Bulgaria and Romania – has urged the 27-member EU to help save this "strategic" economic resource.

The EU is seeking to put together a trillion-euro economic stimulus package, to kickstart the economy as a whole when the coronavirus lockdowns come to an end.

But, already rebuffed once, when they asked to share debt with their northern neighbors, southern countries are now sounding the alarm about the lost summer season.

The European Commission has been tasked with agreeing the rules of the relaunch, and on April 27, tourism ministers from member states held a video conference.

Afterwards, the nine southern members released a statement.

In our countries, tourism constitutes a strategic industry," they said.

"We would like the EU Recovery Plan to include strong support for tourism and to recognize the existence of certain territories with specificities that must be met."

The southern friends also urged "homogenous" travel rules, fearing that a piecemeal withdrawal of lockdown measures will distort the tourism market and isolate needy areas.

Read also: 'Don't cancel, postpone': Portugal urges tourists in voucher scheme

Brussels attempted in vain to coordinate the lockdown and keep the EU's internal borders open, but many national capitals imposed unilateral restrictions on unnecessary visits.

EU member states have now begun setting a variety of target dates and criteria for a return to normal, and some expect to urge or require their citizens to stay at home this year.

"Public health makes the law these days," said French minister Jean-Baptiste Lemoyne, in an AFP interview.

"As soon as we get word on the opening of the borders, we'll let you know. It's important that areas that have not been affected are not exposed to the virus.

"We should promote Europe as a destination in and of itself, and avoid competition within the bloc," he said, while admitting domestic tourism will probably recover before trips abroad.

At the meeting, Croatia's tourism minister Gari Cappelli and EU single market commissioner Thierry Breton suggested members work on a harmonized strategy on hygiene rules.

In Breton's office, a source said they were aiming to have advice ready by mid-May so hoteliers, restaurateurs, tour operators and transport firms were working with the same tool kit.

This reflects the concern expressed by German foreign minister Heiko Maas in the Bild newspaper, that a dangerous free-for-all race between rival resorts to re-open could revive the epidemic.

Experts trace many of the cases of coronavirus in northern Europe to the Austrian ski station of Ischgl, popular with winter partygoers, and do not want beach hotspots like Majorca to play the same role in summer. 

Source - TheJakartaPost

Thailand’s Tourism Likely Won’t Improve Until Vaccine Found

The Tourism Authority of Thai land (TAT) has said a vaccine for covid-19 is needed to help reverse the plunge in Thailand’s tourism. Tourism numbers are set to tumble 60% to only 16 million tourists this year. Almost halving foreign tourism income.

Furthermore those numbers could go even lower as the world waits for an inoculation or if a second wave of infections materializes, according to Bloomberg.

“Everyone is waiting on a vaccine,” TAT Governor Yuthasak Supasorn said in an interview April 24. “People are expecting that it will take at least 18 months. Which also means we’ll have to remain in a state of fear and worry.”

Thailand has been particularly reliant on tourism spending, especially by Chinese visitors. The lack of Tourism leaves Thailand with one of Asia’s  bleakest economic outlooks.

Yuthasak said the tourism industry needs to restore confidence in the safety of leisure travel. Predicting that October is the earliest he expects holidaymakers from China to return.

“We must all enter into a new normal after Covid-19,” he said. Also estimating foreign-visitor receipts this year may amount to only 1 trillion baht. Down by almost half from the 1.9 trillion baht in 2019.
Tourism will look again to Chinese Visitors

Yuthasak said “There could also be an opportunity within the crisis for us to improve. So in the future revenue will be more sustainable and wealth can spread to smaller communities.”

Meanwhile, The Thaiger reports Thailand’s tourism recovery trajectory is expected to be initially centered on domestic and local corporate travel. Before radiating back into into international and regional travel.

When borders open and international travel bans are lifted, China will almost certainly resume its dominant role in Thailand’s inbound tourism sector. How this major feeder market for Thailand is expected to begin travelling again will offer strategies for those suffering through today’s crisis.

Findings by Chinese travel giant Trip.com have long ranked Thailand among the first outbound destinations Chinese travelers want to visit post-coronavirus.

Source - Chiang Rai Times

China is Now Thailand’s Top Source of Foreign Investment

For more than five decades, Japan was the largest investor in the southeast Asian nation, but a number of factors conspired to knock it off the top spot

China topped the list of economies looking to invest in Thailand for the first time last year. Overtaking Japan as the southeast Asian nation’s main source of foreign direct investment. Above all thanks to belt and road-linked projects, over spill from the US-China trade war and Thai government incentives.

Applications from China – valued at 262 billion baht (US$8.5 billion).  They accounted for more than half of all foreign direct investment applications, according to Thailand’s Board of Investment. Japan’s applications, meanwhile, were valued at 73.1 billion baht. Followed by 36.3 billion baht of applications from Hong Kong.

High-Speed Rail Project in Thailand

However, the vast majority of Chinese investment agreed upon last year was linked to a 224 billion baht high-speed rail project. It will connect the airports at Suvarnabhumi, Don Muang and U-tapao. Contracts for the project were signed in October, between the Thai government and a consortium. Whose members also include the Chinese state-owned China Railway Construction Corporation.

Siwat Luangsomboon, an analyst at Kasikorn Research Centre, noted that such major infrastructure projects would “not happen every year” and that before the deal was signed, Japanese investment had actually exceeded that from China in the first nine months of 2019.

Japan has been the largest investor in Thailand for more than five decades. Its investments have subsequently “matured”, according to Pavida Pananond, a lecturer at Thammasat Business School in Bangkok. Chinese investment, meanwhile, is at a relatively “early stage of development.” So there “likely to record a faster growth rate and larger initial flows”, she said.

“While annual flows of Chinese investment may exceed that of Japan this year. Thanks partly to the relocation of Chinese firms hit by the trade war with the US.  Also incoming Chinese investment related to the high-speed train projects. It will take a while for accumulated Chinese investment to exceed that from Japan,” she added.

Thailand handing out big tax incentives

China has sought to invest in a number of sectors promoted by the Thai government. Such as cars, smart electronics, biotechnology, logistics and aviation. Attracted by tax rebates and deductions, preferential visa policies and “a lot of deregulation”, Kobsak Pootrakul, secretary to Thailand’s Council of Economic Ministers, told a press briefing earlier this month.

These revised investment incentives were rolled out following a year of currency appreciation, weaker exports, fewer tourist arrivals and lower agricultural prices, which have conspired to send Thailand’s growth forecasts tumbling to among the lowest in the region, at less than 3 per cent.

Thailand also struggles to stay competitive when compared to other regional players such as Vietnam
, despite its “better infrastructure, ecosystem for foreign investment, and depth of supply chain networks in key industries like electronics and automotive”, Pavida, the business professor, said.

Kriangkrai Tiannukul, vice-chairman of the Federation of Thai Industries, predicted a slow recovery for Thailand’s economy given the current global economic slowdown, ongoing geopolitical and trade tensions and a recent severe drought that has affected agricultural productivity and farmers’ incomes.

Increased China investment in the years ahead

“I think we will see the Chinese coming ahead as Thailand’s biggest investors in the future,” he said. “Ultimately the value of their investments will surpass that of the Japanese.”

In addition to the high-speed railway linking three airports, infrastructure projects being rolled out by the Thai government that could attract further Chinese investment include some 2,000km of single-track railway that is set to be doubled, planned increases to airport capacity and an expansion of Bangkok’s mass transit network.

The so-called Eastern Economic Corridor, a 1.7-trillion baht mega project heavily reliant on Chinese backing that seeks to replicate a similarly name investment programme from the 1980s, is also expected to continue attracting investment.

These opportunities, when combined with the policies being implemented to strengthen the country’s economy. Small and medium-sized enterprise segment, agricultural sector, export competitiveness and tourism industry. Will make “this is the best time for companies to invest in Thailand,” said Kobsak, the government secretary.

Source: SCMP

Bank of Thailand to Take Further Steps to Reign in Thai Baht

Thailand’s central bank has reported that is ready to take additional steps to rein in the skyrocketing Thai baht.

The Bank of Thailand and the government remain concerned about the baht’s appreciation and continue to discuss the issue, Deputy Governor Mathee Supapongse said told reporters in Bangkok Tuesday.

The bank’s foreign-exchange intervention has helped to boost reserves and curb the baht, Bloomberg reports.

The Bank of Thailand has taken several steps in recent months to limit gains in the baht. Especially after it surged almost 9% against the dollar in 2019, the best performer among Asian currencies. The strong currency has hurt the nation’s exports, prompting calls for further action from the government.

Mathee said it’s not the central bank’s job alone to manage the baht
“The central bank is like the last door to defend the baht,” he said. “The first door is the private sector and the second door is the government. We all need to help out.”

If the central bank is left to solve the baht problem on its own, “they will need to use strong medicine to handle it,” said Mathee. “And it may not benefit much. If all parties help, they can use milder measures which will benefit all parties.”

He added the central bank will take action if it sees currency speculation. Separately, the bank published a foreign-exchange code of conduct on its website, outlining ethical and governance practices for market participants.

BOT Governor Veerathai Says Thailand To Ease Capital Outflow Rules Again
Governor Veerathai Santiprabhob said last week the central bank will relax restrictions on capital outflows again, in an effort to ease upward pressure on the baht. Those steps includes boosting the amount of proceeds exporters can hold overseas to $1 million.

Finance Minister Uttama Savanayana said Monday any steps authorities take to curb gains in the currency won’t disrupt the “market mechanism” of the baht.

Some of the steps already taken by the central bank include:

Interest rates cut twice last year to match a record-low 1.25%
In July, measures were imposed to counter short-term inflows
In November, rules on capital outflows relaxed

The government also plans to issue measures to boost imports on capital goods and machinery for investment to help reduce pressure on the baht.

Source - Chiang Rai Times

Thailand’s Prime Minister Orders Quick Action on Thai Baht

Thailand’s Prime Minister Prayut Chan-o-cha has ordered authorities to immediately stabilize the baht value and control its rise. He also ordered the Finance Ministry to form a new committee for the task.

Finance Minister Uttama Savanayana said Gen Prayut made the order as baht appreciation was affecting exporters. Many groups of operators in exports and tourism has pressured the PM over the soaring baht.

There will not be any order for a particular direction of the baht value, Mr Uttama said. That is the responsibility of the Bank of Thailand. The new committee idea will be proposed to a meeting of economic ministers. It will be a forum for organizations to exchange information,” he said.

The Finance Ministry will form the baht stabilization committee together with the Bank of Thailand; the National Economic and Social Development Council; the Office of the Insurance Commission; and the Stock Exchange of Thailand.

The Finance Ministry also plans to set up another committee to implement national strategies. Concerning small and medium-sized enterprises, start-ups and the grassroots economy. Furthermore so that the strategies would significantly boost the economy.
Central Bank Trying to Curb Baht

Thailand is trying to coax the baht down from six-year high territory as the currency’s strength threatens local manufacturing and tourism.

The central bank has cut interest rates and eased capital controls to rein in emerging Asia’s best-performing currency this year.

It is an ironic twist for a country that became the epicenter of the 1997 Asian financial crisis after its currency collapsed. Thailand now finds that its relatively sound fundamentals have made it a safe haven for capital in Southeast Asia.

The bank cut its benchmark one-day repurchase rate to 1.25%, tying an all-time low, while also making it easier to take funds out of the country.

Source - Chiang Rai Times
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#Sydney to ease drinking rules to boost nightlife

Sydney's lackluster nightlife received a long-awaited boost when officials announced an end to rules severely limiting where and when people can drink alcohol.

New South Wales premier Gladys Berejiklian announced pubs' trading hours would be extended and laws curbing after-midnight drinking would be eased in most of central Sydney.

"We need to ensure we have a strong and vibrant night-time economy that reflects our position as Australia's only truly global city," said Berejiklian.

For a city famed for its New Year's Eve parties and weaned on alcohol -- rum was the currency of choice among early settlers -- Sydney is surprisingly dead at night.

Under famed "lock-out laws", bar doors close at 1:30 am, there are restrictions on serving cocktails, shots or "drinks in glass" after midnight, and bouncers and police hover over proceedings.

The measures were introduced in early 2014 to limit alcohol-related violence.

The laws have thrown up some tragicomic results -- with Madonna and Justin Bieber famously unable to attend their own after-parties because they arrived too late from gigs.

A TimeOut.com survey placed Sydney the 39th best city in the world in 2019, largely because residents ranked "our city worst in the world for nightlife".

The new laws take effect on 14 January

Source - TheJakartaPost

Somkid urges BOT (Bank of Thailand) action on baht

THE government’s economics chief has voiced his concerns over a strong baht with his central bank counterpart, citing the impact on farmers and calling on him to be ready to put the brakes on further gains in the currency.

Deputy Prime Minister Somkid Jatusripitak yesterday said the government was worried that a chain reaction would set in as farmers across the country struggled with burden of an appreciating currency.

Somkid said he had aired these concerns with Bank of Thailand (BOT) governor Veerathai Santiprabhob and asked him to ensure that the baht won’t be allowed to rise too rapidly.

 “The governor understands the issue but the central bank cannot quickly bring the value of the baht down due to the many influencing factors,” Somkid said of his talks with Veerathai. Somkid said the central bank’s stance is understandable and that the government cannot intervene in the policymaking of the BOT.

Somkid’s comments follow a meeting he held with senior officials from the many ministries that are formulating economic policies aimed at helping low-income earners. Officials raised the issue of the impact of the appreciating baht on farmers, which makes their commodities less competitive on the global markets.

Somkid said the government plans to set aside Bt12 billion for fiscal 2020 on economic policies that benefit the poor.

 In a separate news conference, Veerathai vowed he would take action on the baht’s strength and has called for other parties to coordinate in actions to remedy its impacts.

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He defended the central bank’s actions in raising the policy rate in December, to 1.75 per cent. Veerathai said the move did not cause to the baht to rise against the US dollar, not did it encourage capital inflows.

This year, capital outflows from the bond market are at US$400million, while inflows into the stock market are just US$100 million, resulting in net outflows of $300 million, he said.

The weaker dollar, combined with the high current account surplus, has contributed to the baht’s rise, he said.

He expressed his concern that a less resilient economy would encounter difficulties with exchange rate volatility.

The currencies of some countries have experienced higher volatility than the baht but their economies are coping with it better than the Thai economy, Veerathai said.

He said that some experts may want the baht fixed at 31,32 or 33 to the dollar but the exchange rate cannot be fixed due to the many external factors that are beyond Thailand’s control.

“The most important is how to make sure the economy can absorb the exchange rate volatility,” he said.

This means that the competitiveness of Thai firms largely depends on pricing, he said in respond to exporters who have complained about the impact of the baht appreciation. 

Importers have been prudent as they have use financial tools to hedge against the risk stemming from exchange rate volatility, but exporters have not yet hedged against such risks on regular basis, Veerathai said.

He promised to make the forwards market more transparent and competitive in order to help businesses to cut hedging costs. Banks‘ clients do not understand how banks run the forwards market and are unclear on the competitiveness of this market, he said.

Veerathai encouraged exporters and importers to rely more on local currencies rather the US dollar.

Thailand’s exports to the US represent 10 per cent of the total, but they quote prices in US dollar on up to 70 per cent of total exports, he said.

He advises businesses to quote their product prices in yuan , yen, ringgit and other currencies of the country’s trading partners.

Thailand should also take advantage of the stronger baht to import capital goods for domestic investments, he said, referring to the relatively weak investment as the major cause of the current account surplus.

Thailand had a relatively high current account surplus of US$37 billion last year, due to surpluses in goods exports and income from tourism.

According to the central bank, the baht has risen 3.93 per cent against the US dollar, hovering above Bt31 since the beginning of the year.

“The rise of the baht is in the middle of the group among currencies of emerging economies. For example, the Russian rouble and the Indonesian rupiah have risen much more rapidly,” Veerathai said,

Source - TheNation

 

Thailand - Learning from the economic giant next door

Most Thai students tend to pursue studies abroad either in the United States or Europe, which are regarded as open societies and champions of freedom. But some Thai students are walking a different path.

They are choosing China as their educational destination to learn how this developing country has transformed itself in four decades from a poor country to an economic powerhouse and the world’s second-largest economy.

[Related story: Why so many foreign students are flocking to China]

“I’m impressed by how fast China is growing. I want to learn how to do business with Chinese people,” said Patcharamai Sawanaporn, 25, a postgraduate student at the Faculty of WTO, Law and Economics at the University of International Business and Economics (UIBE) in Beijing.

When China kicked-off its Belt and Road Initiative (BRI) in 2013, the UIBE launched a BRI scholarship programme last year. Patcharamai is one of 17 international scholarship students benefiting from the BRI scholarships sponsored by the Chinese government.

Patcharamai likes the Chinese language because she is familiar with it. Her family traces its roots to China hence she studied the Chinese language since her childhood. 

After graduating in international relations on China’s foreign policy from the Faculty of Political Science at Chulalongkorn University, she worked for two years before applying for the BRI scholarship last year.

Unlike Patcharamai, Nalin Phongpuksa, 26, a postgraduate MBA student, Chinese programme, at the UIBE, was forced to learn Chinese. But it has all been worth it for she has now fallen in love with the country and its language. 

Nalin said she was not interested in studying the Chinese language but 10 years ago, her mother – a Thai diplomat – forced her daughter to learn the language before her diplomatic posting for four years, as she wanted Nalin to prepare for life in Beijing. Nalin did her high school in China’s capital and later returned to Thailand with her mother.
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 After she graduated from Mahamakut Buddhist University and worked for two years in the field of logistics she came back to Beijing.

“China is growing rapidly as an economy and I think I could learn more from them. So last year I applied for a scholarship to come back to study here,” she said.

Both students found life in China was not very difficult, although in the beginning the language barrier was a problem as well as restrictions on accessing social media. But the Thai students have finally settled down and are enjoying the conveniences the country allows foreign students. 

They have no problem with their host country’s restricted access to certain websites and social media such as Facebook and Twitter. They have managed to find a way to bypass the restrictions and access online information and social media.

They rely on a VPN or Virtual Private Network, a secure tunnel between two or more devices, which enables them to keep in touch with the world outside China, as well as their families and friends in Thailand.

 READ CONTINUE

PS.
Another point is, almost the whole Thai youth is addicted on playing games, and prefer to sit in the to many Internet-cafes.
Almost the can not write there own name in a common language. 
''SHAME''
Who want employ these addicted youth  

#Cambodia - Deal for yuan trade with China in works

China’s currency, the renminbi, or yuan, being counted in stacks next to US dollars. 

Officials in Cambodia and China’s Guangdong province are cooperating to establish trade using yuan instead of US dollars, part of the two countries’ increasingly close economic relationship. 

The suggestion to use yuan directly, instead of using US dollars as an intermediary currency, was made by deputy-director of Guangdong province Ouyang Weimin during a visit to the province by Cambodian Minister of Commerce Pan Sorasak on Friday.

Seang Thay, a spokesman at the Ministry of Commerce, said yesterday that as trade between the two countries continued to grow, Chinese currency should also increasinglly be used in bilateral trade.

“The fluctuation of exchange rate is risky for businesses, because sometimes the US dollar could be appreciate or depreciate compare with the Chinese yuan,” he said.

“We are trading with China more and more, so accepting Chinese yuan for trade deals is also good for businesses.” 

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While the two countries appear in-sync on promoting trade in yuan, there is not yet an official agreement to establish such a system in Guangdong, according to Thay.

Last September, the National Bank of Cambodia (NBC) and the People’s Bank of China in the autonomous Guangxi region in southern China launched an official yuan-riel exchange rate, which allowed banks in Guangxi to exchange the two currencies directly. That marked the first time riel could be exchanged in China and eliminated the need to use US dollars as an intermediary currency.

According to NBC data, there were 17 banks in Cambodia that could handle yuan transactions last year, up from 11 in 2014. Only four – ICBC, the Bank of China, Canadia Bank and First Commercial Bank – allow deposits to be made in yuan.

 In 2016, cross-border trade in yuan amounted to about $377 million, accounting for about seven percent of the two countries’ total trade and investment, according to the NBC. The remaining 93 percent was done using US dollars.

Source - PhnomPenhPost