There are ways to help farmers: TDRI
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There are still possible options to deal with the unpaid debt to rice farmers but it needs cooperation from all parties, said an expert at the Thailand Development Research Institute.
Nipon Poapongsakorn, director for TDRI's Sectoral Economic Programme on Industrial and Rural Development Policy, suggested the securitisation of pledging certificates issued before December 9, the day that the House of Representatives was dissolved. Under this option, farmers should be able to use the certificates in borrowing from financial institutions. The government has to guarantee the loans and take responsibility for the interest incurred.
For the certificates issued after December 9, the government needs to consult related parties.
"There is a way but it needs cooperation from all. It's not the time to point fingers at anybody. The government will need to leave, so that the new authorised government can take care of the problem. The caretaker government has no authorisation to do anything, either to issue bonds or force the Bank for Agriculture and Agricultural Cooperatives to do so. This is against the laws," he said.
