1 9 February 2012 www.nesdb.go.th

9 February 2012, 10.00-10.30 hr. Ballroom, 2Nd Floor The Davis Hotel, Sukhumvit 24

Features of a Responsible Market Economy and the 11th NESDP

Mr Thanin Pa-Em Deputy Secretary General of NESDB

2 9 February 2012 www.nesdb.go.th

Agenda

Wrapping up of Development Results (until 2011)

Vision and Objectives of the 11th Plan

Happiness Equation

Green Policy and the 11th Plan

Driving for Success

3 9 February 2012 www.nesdb.go.th

Evolution of Development Plans

Focused on utilizing workforce and natural

resources

An imbalanced economic growth

1st – 7th

8th – 10th

Moved Towards Sufficiency Economy

Stressed on Human Capital development

11th Use Human Capital +

Technology and Innovation + Creativity

Stresses on Sufficiency Economy and Sustainability

4 9 February 2012 www.nesdb.go.th

2 Achievements under the 10th Plan

• Indicator for strong and inclusive economy increased to 77.12

• Communities are stronger and more connected with indicator increased to 66.07

• Indicator for democratic society with good governance decreased to 55.70

• Indicator for environment and biodiversity decreased

• Health condition of Thai people worsened to the development level of 70.86

Contributing factors for the improvement in wellbeing are stronger and more inclusive economy and a more secured and connected society. Yet problems remain in terms of ongoing violent conflict in society, worsened environment and ecosystem, drug problems, and deteriorating health standards.

The wellbeing of Thai people has improved.

2006 2010 66.33 66.80

5 9 February 2012 www.nesdb.go.th

30 32 33

28 28

34 36 38 39

28 26 25

32 33

27 26 26 27

10

15

20

25

30

35

40

45

50

2546 2547 2548 2549 2550 2551 2552 2553 2554

WEF (GCI) IMD

Overview of Thailand’s Country Competitiveness

Thailand’s competitiveness performance has been in the middle tier. In term of economic development, Thailand is considered to be in the group of the middle–income countries.

Over the past 10 years Thailand’s competitiveness ranking remained unchanged or was dropped slightly.

Thailand ’08 ’09 ’10 ’11

Overall Ranking 27 26 26 27

1. Economic Performance 12 14 6 10

2. Government Efficiency 22 17 18 23

3. Business Efficiency 25 25 20 19

4. Infrastructure 39 42 46 47

Strength Economic Performance Thailand’s Competitiveness Subindex Published by IMD*

Thailand’s Competitiveness Ranking in 2003-2011

Weakness Infrastructure esp. S&T

infrastructure

Strong Improvement Business Efficiency

* The number of countries in comparison run around 55-58 countries in each year.

Status Quo Government Efficiency

6 9 February 2012 www.nesdb.go.th

Public Sector: Government policy,investment plans

Strong financial sector,

development of alternative

energies, long-term savings,

efficient management of mega-

projects

Resiliency Sufficiency Economy Philosophy

Achievements under Sufficiency Economy Philosophy

Private Sector: Just and rational management under principle of sufficiency economy/CSR

Farmers: New theory farming, Organic farming

Civil Society: Awareness, understanding & moderate lifestyle

Academic Institution: Curriculum development

CSR in business sector

Strong financial sector, Reduced

expenses of farmers, self-reliance

and sustainability

Network of local enterprise

7 9 February 2012 www.nesdb.go.th

Vision and Objectives of 11th Plan

To promote a happy and harmonious society under good governance. To prepare communities and society for changes and to be able to adjust

ways of life accordingly. To ensure economic, social and political security, and to protect natural

resources and the environment to ensure sustainable development.

Vision: “Happy and harmonious society

through equitability, justice, and resilience towards

changes” Objectives

1. Sufficiency Economy as Guiding Principle 2. People at Center, with Participation as Priority 3. Comprehensive and Coordinated Development

Framework

8 9 February 2012 www.nesdb.go.th

Happiness =

Equity

Beyond Gross Domestic Product…

…Living peacefully among people, between people, nature and environment sustainably

Suff

icie

ncy

Econ

omy

Phi

loso

phy

Green

Creativity

National well-being

f Happy and harmonious society

9 9 February 2012 www.nesdb.go.th

To address climate change more rigorously

To move towards low-carbon economy and society

To control and reduce pollutions

To create resilience towards environment-related trade barriers (NTBs)

To achieve holistic management

To enhance Thailand’s role in international arenas

To improve preparedness for natural disasters

To strengthen security of natural resources and environment

10 9 February 2012 www.nesdb.go.th

At least 2

Eco-Towns

Map Ta Phut I.E.

Amata Nakorn I.E.

Northern

Region I.E. Eastern Sea

Board I.E.

Bang Poo I.E.

Industrial Estate Authority of Thailand is preparing the draft of criteria and regulations for promoting the Eco-Industrial Town Development

Adapt 5 industrial estates and establish new Eco Towns

Ministry of Industry has established a committee to promote the development of eco-industrial town. To develop strategies and promote the eco-industrial town in practice.

2010-2011 2012

Promote Saraburi, Ayutthaya, Rayong to be Eco-Towns

2015

Target 15

Eco-Towns

Eco towns in All

industrial estates

2016

11 9 February 2012 www.nesdb.go.th

“Focusing on the Formulation of Creative Economy”

1. Support development of creative business through cluster development approach

2. Promote development of creative cities

3. Support creative entrepreneurs and personnel in applying creativity for creating values of products and services

4. Develop financial system to support investment and development of creative industries

Creative Ecology

What’s New: Creative Economy, a New Tool to Restructure the Economy

12 9 February 2012 www.nesdb.go.th

Reform laws, rules and regulations on business, trade and investment • Alleviating difficulties and diminishing bureaucratic steps in business conducting and investment

• Facilitating knowledge-based investment and investment in research and development in science and technology

Reform laws, rules, regulations and incentives on production and service • Promoting the development of eco-towns, eco-zones and eco-industrial estates

• Improving accessibility to loans for SMEs and local enterprises

• Providing insurance against risks to trade and investment, market access and product research and development based on knowledge and creativity

Reform monetary and fiscal policies to facilitate • Development of capital market • Encouragement of competition among financial service providers • Supervision of financial institutions • Protection of investors

Revise rules and regulations on communications and telecommunications • Complying with international agreements that Thailand has taken part in, such as establishment of

organizations and technical regulations relating to telecommunications

13 9 February 2012 www.nesdb.go.th

• Government strategic plan • Ministry’s strategic/action plans • Dept strategic/action plans • Province/Provincial Cluster

Development Plans • Local development plans

Development Tools

Understanding the objective

Participation of implementing personnel

Methods/tools of plan

implementation

Acceptance as priority

Creation of monitoring/

evaluating system

Implementation steps

Management of Plan Implementation

11th Plan Implementation direction

•Understanding the plan’s objective to ensure acceptance and integration into action/operational plans

•Developing methods and tools for practical implementation of plans

•Creating monitoring and development indicators which are practical for evaluating effectiveness of plan implementation

Govt/NESDB

Central agencies

Ministries/Depts

Provinces/Local

authorities

• Private Sector’s Plans • Business Plans (by sector) • Organization’s Strategic Plan

Thai Banker’s Association

Federation of Thai Industry

Chamber of Commerce

Entrepreneur Association

• Strategic/Action Plans • Projects/Plans • Local activities

Development Partner

NGOs

Foundations

Volunteers

Community Councils

Village Commitees

Communities • Community Plans

14 9 February 2012 www.nesdb.go.th

Regional/Provincial/Local Plan

Overall National Development

Direction

Synchronize Top-Down & Bottom Up

Top-Down

Bottom Up

Sub district Plan

District Plan

Provincial Plan

Provincial Cluster Plan

Regional Development Framework

National Development Plan

Provincial Plan Provincial Plan

District Plan

District Plan

District Plan

District Plan

District Plan

Sub district Plan Sub district Plan

Community Plan

Community Plan

Community Plan

Community Plan

Community Plan

Knowledge Information Technology

Local/Community Requirement

15 9 February 2012 www.nesdb.go.th