What is happening to Abhisit ? Jet lag after his small trip in the UK ? Anyway, something is seriously wrong, because the Prime Minister is going totally orbital.
Thailand plans to borrow Bt1.4 trillion to finance investment in infrastructure during fiscal years 2010-12, when foreign direct investment and exports will remain subdued, says Prime Minister. (Nation)
Paf ! Like the cork of a Champagne bottle. Like a Scud missile. Like a north-korean “satellite”. Like a supersonic fart.
Why 1,4 trillions THB (39 billions USD) ? Why not 5 trillions ? Or even 10 trillions ? I mean at this point of insanity… why should we put some limits ?
-Thailand does not have this money. Period.The government is broke. They must already borrow 2 billions USD to pay for the CURRENT “stimulus” plan… so who is going to give Abhisit 39 billions USD ? Where ?
It’s vaporware. Like the mega-projects that Thaksin and then all his followers endorsed. Where are the HUNDREDS of kilometers of new train lines all those clowns did promise to the people ? On the paper.
-Abhisit does not learn. He doesn’t learn from the mistakes of other people. The japanese spent mountains of money during the 90s crisis to build… everything… bridges to nowhere, roads to nowhere… Did it stop deflation ? Of course not.
The US are doing the same… stimulus with money that doesn’t exist. Bush, Paulson and now Obama and Geitner… they all follow the same pattern. It’s a failure. But the USA have a BIG ADVANTAGE. They can print… money. Thailand could not do that (at least not on a large scale).
-Abhisit looks -once again- like an amateurish fool. In january, his “stimulus” plan was 180 billions THB (or 200, or 300 no one really knew).
3 months later… he presents another one… of 1,4 trillions ? What happened in 3 months ? Ah yes I forgot : he visited my blog and he eventually understood that the thai economy was in deep trouble…
I remind you that the Bank Of Thailand saw “signs of recovery” in january… Another bunch of clowns.
Abhisit himself announced last week a recovery... during the fourth quarter. So why a new stimulus plan ?
You think I’m harsh when I use the words “amateurish fool” ? I give you the gran finale :
“The projects are small, but collectively they are large. Even though schools and hospitals are small, when a large number of them emerge, totally they will require a huge sum of investment,” Abhisit told reporters yesterday.
He said it was not yet clear how many jobs would be created.
I didn’t make up. Maybe Nation did.
So to summarize : Abhisit wants to spend 1,4 trillions THB he doesn’t have and will not have, on projects he doesn’t know (“small but collectively large“), and he doesn’t even know how many jobs would be created…
So what’s the point of such plan ? I should even ask : what is the purpose of the thai Prime Minister on this earth, excepted flying to Davos, to the UK, making ridiculous comments and launching crazy ideas like stones in the water, exactly like all his glorious predecessors did (Thaksin, Surayud, Samak…) ?
Change with Abhisit ? Yes we can’t.
And good luck.
[to understand how the thai debt market is seen and why Thailand won't be able to borrow big, on the long term... Lack of confidence... click here. More on that later]