Amid the Red Sea, Internal Security Law, soon state of emergency… Abhisit praises the “recovery of the economy”

Thailand’s economy is steadily recovering as indicated by higher employment, Prime Minister Abhisit Vejjajiva said on Sunday.

The Thai economy is clearly in a sustainable recovery after the Board of Investment last week revealed that foreign firms in the country have hired more employees in comparison to last year,” Mr Abhisit said.

[…] “The current political uncertainty in the country will have a short-term effect on the economy.

“But if the government can manage the problem, the international community will be able to see progress in the country’s democratic system,” the prime minister said. (Bangkok Post)

Short term ? πŸ˜‰

Voluntarism ? At that point, it looks more like a pathetic black magic ritual… You know, after the Green Shoots Salad, we are experiencing the Voodoo Economy.

Amid a major anti government rallye, after imposing the Internal Security Act, after even talking about state of emergency, after taking refuge at the 11th infantery regiment… Abhisit continues, like a TV anchor, to read the teleprompter on which the magical word is screened : “recovery”.

The alleged Prime Minister should wake up a little bit and stop running amok like a headless chicken.

Or is It a ploy to appear zen ? Calm ? “My government is a puppet one, supported in parliament only by a group of MP who have betrayed Thaksin after being bought, and I’m in the middle of a sea of Red protesters… but I’m really cool. Life is sweet.”Β  πŸ˜‰

Beyond the classic thai arrogance (the frontier between arrogance and plain stupidity is usually very thin), there is a much more severe factor that Abhisit should take in account : the effects of bailouts and stimulus packages around the world are already losing steam.

Growth in China is on credit speed, and elsewhere the comedians are coming back after a pause (bought on credit too) : the tragedy of the recession starts again. It will be obvious in the second half of 2010.

Adding 1 (super deep politicial crisis in the country) to 2 (double dip recession worldwide)… that should lead Abhisit to remain cautious.

But no, never, it’s too much asked for a thai politician.

8 Responses to “Amid the Red Sea, Internal Security Law, soon state of emergency… Abhisit praises the “recovery of the economy””

  1. 1 Duke of Ban Phai 14 March 2010 at 4:33 pm

    The BP article went on to report Abhisit saying that less corruption in state agencies as shown in studies was another indication of a recovering economy.
    Well, that’s it then. The final proof for the international community. The logic is simply overwhelming.

  2. 2 ThaiCrisis 14 March 2010 at 5:10 pm

    As I wrote… “Voodoo”.

    We are in Voodoo times, an orwelian play mixed with political animism, supercharged with Hallucinogenic compounds and colored in pink.

    Close your eyes. Have a drink and a smile. Life is sweet.

  3. 3 fall 14 March 2010 at 5:15 pm

    All I see is that ginger bread man from Shrek sing and lost in his own world to avoid being torture.
    ~”Good ship, lollipop. It’s a sweet trip to the candy shop.”~

  4. 4 Pricilla 14 March 2010 at 5:17 pm

    TC, your views on the world economy seem to be similar to mine, there are quite a few countries at the moment that should be taking this respite in the eye of the hurricane to deleverage, clean up and reduce their public sectors and cut free money to those that make the most noise, yet none are.

    Maybe we are wrong, but I don’t think so. China is a very important key. Later they will talk of the completely unexpected second dip and probably blame the whole thing on aliens or more specifically in Thailand’s case Taksin.

  5. 5 ThaiCrisis 14 March 2010 at 5:38 pm

    In case of Thailand, the situation is very simple : foreign demand.

    The thai economy is holding ONLY with the foreign demand (exports and tourism).

    This demand is currently -for a large part- artifical. AKA borrowed. On what ? The future. Our children and grand children (and probably grand grand children, for instance France has just launched for the first time bonds on 50 years !).

    In France, the car market seems super healthy on a year on year basis (crash of end of 2008)… But it’s because, the government is GIVING money (borrowed) to people so they can buy new cars, so the car industry is able to postpone capacities reductions (AKA firing people).

    This very simple scheme is applied EVERYWHERE IN THE FREAKING WORLD. After, it’s just a matter of scale and technical variations.

    No need to go to Harward Business school to understand that this is not sustainable.

    The double dip recession is written on the walls. And when it will happen, yes, and as usual, it will be totally “unexpected”.

    And guess what ? Thailand will fall -again- into the hole.

    No escape.

  6. 6 Duke of Ban Phai 14 March 2010 at 6:35 pm

    AND there’s no escaping the threat of the results of peak oil production.
    PS I have long since come to the conclusion that Abhisit’s scripts were written by Terry Pratchett and that LOS really is Discworld.

  7. 7 E. Spitzer 14 March 2010 at 11:00 pm

    I was thinking Douglas Adam’s; but your probably right – discworld had more elephants.

  8. 8 Insanity 15 March 2010 at 6:33 pm

    Thaksin relaxes in Montenegro whilst directing his pawns in the political game

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Thailand Crisis

Coup, Economic slowdown, Terror In the South... The situation is worsening in Thailand. Bumpy road like often before.

But this time, it's different.

The key to understand the present turmoil is the inevitable... succession of King Bhumibol.

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