Nod to 'digital economy' draft

The first of these draft laws determines the creation of a national committee to be chaired by the prime minister, with the deputy PM in charge of the economy acting as vice chairman. Its role is to coordinate the implementation of “digital economy” policies between the government and state agencies. 

The second determines the renaming and restructuring of the ICT Ministry as the Digital for Economy and Society Ministry, which will oversee five offices: the ministry’s office, the permanent secretary’s office, the digital-economy office, the Meteorology Office, and the Office of National Statistics.

The Cabinet also approved guidelines for the establishment of a venture-capital fund worth Bt25 billion for small and medium-sized enterprises, said Finance Minister Sommai Phasee. 

The government might in the initial phase need to provide Bt500 million to the fund, he said. The venture-capital fund will invest in qualifying SMEs in a ratio of between 5 and 50 per cent of their registered capital. 

Meanwhile, the State Enterprise Policy Commission – known as the superboard – will review rehabilitation plans for TOT, CAT Telecom, the Small and Medium Enterprise Development Bank of Thailand and the Islamic Bank of Thailand at its meeting today, while also considering two mega-projects.

The projects in question are the State Railway of Thailand (SRT) Red Line mass-transit system and the Provincial Electricity Authority’s Smart Grid Project in Pattaya.

According to a Finance Ministry source, the superboard meeting – chaired by Prime Minister Prayut Chan-o-cha – will consider the two state-run banks’ due diligence and rehabilitation plans that have been proposed to solve their bad debts and expand new lending.

“Both banks are required to have certain operational plans with scope of work in the next year. Their rehabilitation plans have to gain approval before going ahead with the planned capital-increase plans,” the source said.

TOT’s and CAT Telecom’s plans, meanwhile, focus on business restructuring and grouping as a way to lessen expenses by 10 per cent, the source added.

Thai Airways International, the SRT and the Bangkok Mass Transit Authority (BMTA) will not submit their proposals at today’s meeting, given adjustments of detail required after their monitoring meetings on Monday. The SRT plan focuses on management restructuring, increasing income, land management, cost reduction, and management of the agency’s Bt85-billion outstanding debts and Bt65-billion pension-fund debts.