3 major Japanese insurers promise support to Thailand

 He added that the companies are ready to recapitalise their Thai units, to ensure sufficient damage claim payments to affected industries.
 
The three companies insured 60 per cent of assets in 7 inundated industrial estates, worth a total of Bt260 billion.

 Areepong attended the Nov 29 meeting between top executives of the three companies, Virabongsa Ramangkura - chairman of the government's committee on economic rebuilding, and representatives from the Office of Insurance Commission and the National Economic and Social Development Board.
 According to Areepong, while saying that the insurance premiums next year should rise, the insurance companies said that the increase would be reasonably adjusted as they are committed to help support the Thai government's rehabilitation efforts. They also see an opportunity in the crisis, as the worst floods should raise awareness on insurance among property owners.
 Thai officials were in London and Tokyo to convince foreign insurance companies of the government's efforts to rebuild the country and prevent another disaster. Aside from the massive investment in new infrastructure and a master plan for water management, the government is extending financial measures to help affected industries to get back on their feet.
 

In a separate press conference, Virabongsa said today that Japan promises supports to Thailand which is the biggest manufacturing site of Japanese companies. He also vowed to revive the electronics industry in Ayutthaya as Japanese companies are determined not to move out of the province thanks to the unique quality of water.
 During his meeting with Japan's trade bodies, Virabongsa unveiled the short and long-term water management solutions. For the question on Thailand's financial capacity to finance the investment, he said Thailand has run trade surplus and current account surplus for 12 years. With public debts at 40 per cent of gross domestic product, Thailand's investment should not hurt the fiscal discipline.
"They were concerned on the knowledge and financial ability. I told them we have both. What is lacking is the determination and coordination. Floods are not a prominent problem in Thailand, but government agencies tend to store water for agricultural use without expertise in water diversion. Due to the climate change, the attitude must change. We can't just store water," he said.
 In the afternoon today, Virabongsa welcomed the Netherlands' ambassador to Thailand to his office. The ambassador promised the full technical support and supported Japan International Cooperation Agency's water management study.
 The former deputy prime minister added that it is a priority to draw back tourists to Bangkok and Ayutthay, not for tourism income but the restoration of foreign community confidence through words of mouth.