The news that Moody's Investors Service has warned that Thailand might not be able to achieve a balanced budget by 2017 is bad for the country's credit and reputation.
It shows the Yingluck Shinawatra government’s credibility is being watched more and more warily by the international community.
The government’s rice-buying scheme is the main issue here. The manner in which PM Yingluck and her government are handling the situation is also very secretive and arousing suspicion.
Exactly how much was the loss in the harvest season of 2011-2012? And how much more is this year’s loss projection going to be?
Unless the government comes up with the true numbers, these suspicions will not go away.