Virabongsa: We must cut public debt

Published: 20/01/2012 at 05:57 PM
Online news:

Reducing public debt by offering for sale a suitable portion of the state holdings in state enterprises is necessary to enable the government acquire new loans to rebuild the country, prominent economis Virabongsa Ramangkura said on Friday.

During a press conference broadcast live nationwide on NBT, Mr Virabongsa, chairman of the Strategic Committee for Reconstruction and Future Development, assured the public that the total amount of loans to be acquired will be limited to the need for infrastructure construction projects.

There should be no worries. The funds would be used efficiently and transparently, he said.

This article is older than 60 days, which we reserve for our premium members only.You can subscribe to our premium member subscription, here.

About the author

: Writer: Online Reporters; Position: Online Reporters

Keep this article in your social bookmark:

Your comments

johninbkk
Post : 2,472
Send message

Discussion 18 : 21/01/2012 at 03:11 PM18
Post this to my Facebook
drake D15 - "not by creating a sustainable revenue stream and reducing expenditures but by selling off State Assets."
TRT implemented pro-business policies that resulted in Thailand having the 2nd highest GDP growth in Asia - bringing in massive amounts of tax revenue. Expenditures were reduced in line with the strict requirements as set by the World Bank in exchange for loans.
Like dislike 0 people liked / 0 people disliked this comment
johninbkk
Post : 2,472
Send message

Discussion 17 : 21/01/2012 at 03:09 PM17
Post this to my Facebook
I agree with ron1947 D1. This is just hiding the debt, and doesn't actually tackle it. Privatization might also trigger protests like what happened during the TRT administration.

TRT had halved the debt during their administration, but I'm sure the Dem Party - who doubled the national debt during their term with expensive populist policies - will take the opportunity to blame the debt issue entirely on PTP.
Like dislike 0 people liked / 0 people disliked this comment
nui
Post : 170
Send message

Discussion 16 : 21/01/2012 at 04:50 AM16
Post this to my Facebook
You can put debt from left pocket to right pocket but debt is still in your pockets. Before the 1997 crisis, public and businesses ran from one bank to another to get new loans to pay off the old loans and so on. A total debt of 58 percent was finally written off by the government, but the debt is still there. The same is happening again; Thai businesses take huge loans from banks and spent 40 percent in company and 60 percent in their private pockets and then declare bankruptcy. Private people have up to 10 credit cards in their wallets and many are in debts up to their necks. The percentage of public debt to gross domestic product in your left pocket does not reflect the real debt in both of your pockets.
Like dislike 0 people liked / 0 people disliked this comment
drake
Post : 766
Send message

Discussion 15 : 21/01/2012 at 02:42 AM15
Post this to my Facebook
D11:
"Thaksin paid off 50% of Thailands national debt." - not by creating a sustainable revenue stream and reducing expenditures but by selling off State Assets.

EVRYBODY in govt. continue to spend the money that didn't belong to them.

At the end, it's all about Net Worth.
What happen then after all the hard assets are sold off and the expenditures continue to outpaced the revenue ?
That's the real problem.
Like dislike 0 people liked / 0 people disliked this comment
drake
Post : 766
Send message

Discussion 14 : 21/01/2012 at 02:27 AM14
Post this to my Facebook
D10:
Here's the charts.
http://www.bloomberg.com/apps/quote?ticker=THAI:TB
http://www.bloomberg.com/apps/quote?ticker=PTT:TB#chart

The shares are available but I wouldn't buy them at these prices.
It's 'middle of the road' and prone to get run over by a truck.
Like dislike 0 people liked / 0 people disliked this comment
bonzo
Post : 504
Send message

Discussion 13 : 21/01/2012 at 12:00 AM13
Post this to my Facebook
Probably a good time to count the spoons in the family silver drawer as well...
Like dislike 0 people liked / 0 people disliked this comment
aussie
Post : 260
Send message

Discussion 12 : 20/01/2012 at 10:43 PM12
Post this to my Facebook
"There should be no worries. The funds would be used efficiently and transparently, he said."

Yep , Business As Usual ?

TRUST US ?
Like dislike 0 people liked / 0 people disliked this comment
rayko
Post : 20
Send message

Discussion 11 : 20/01/2012 at 09:59 PM11
Post this to my Facebook
Thaksin paid off 50% of Thailands national debt. Millitary/democrat government made the debt go up to the same level as before. Who are the corrupted people here?
Like dislike 0 people liked / 0 people disliked this comment
bluebottle
Post : 109
Send message

Discussion 10 : 20/01/2012 at 09:35 PM10
Post this to my Facebook
Are Thai Airways actually making a profit? Would you buy some if available?.I agree they are just proposing to push paper round.You cannot keep doing this kind of accounting in the end you go bust. Greece Spain Portugal Italy have all cooked the books and are now bankrupt in reality.
Like dislike 0 people liked / 0 people disliked this comment
yik
Post : 300
Send message

Discussion 9 : 20/01/2012 at 08:38 PM9
Post this to my Facebook
Wyle D6: THAT IS IT ... but why stop at 50%?
Like dislike 0 people liked / 0 people disliked this comment