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"There is no clear map. This is not the same as the 1930s, things are different." These were the words of Gordon Brown last week when asked how Britain would see its way out of the current crisis that has seen the British Pound drop to its lowest rate against the bhat for over twenty five years. They are words that Abhisit Vejajiva - who has so many ties with the UK - and his government may be wise to heed, especially since Gordon Brown has often been credited with being the most responsive to the credit crunch crisis. The UK PM was one of the first global leaders to inject billions into his own nation's banking system. The move was initially praised in many circles until last month's shocking slump in banking sector shares swiped his self-appointed glory. So how will Thailand steer its way through the storm? One thing seems certain - it cannot rely on past strengths. Tourism in Thailand has already been in decline due to last year's political turmoil and many potential visitors have yet to be convinced that the problems are truly resolved. The decline in visitors may well be exacerbated this year as families around the world cut back on life's luxuries. Thailand's traditional trade lines look shaky too. With the British pound joined in its slump by a weak dollar and volatile Euro, Thai economists must surely fear the same appreciation of the bhat that raised nerves under the junta a couple of years ago. Rice - of which Thailand is the largest exporter in the world - is no longer in shortage thanks to the fallout of oil price spikes last year. Good news for most of the world, but less so for home. So what is the answer? Well, if the man credited (no pun intended) of being one of the most competent handlers of this mess cannot offer a technical solution, then neither can I. But what I do know is that during times of hardship, people have far less patience. With tensions already running high in Thailand, Abhisit needs to steer a steady course. There is never a good time for revelations of embezzlement, gross incompetence or injustice to be broken to the people, but whilst such stories may have created rough waves for past governments, for this administration they could indeed topple an already vulnerable ship. The Democrat led coalition have gone out of their way to portray themselves as a unit that is just, capable, confident and against corruption. In these times of stormy economics and uncertainty, they may just be the qualities that see Thailand through. The alternative is not nice to think about. |
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