BANGKOK, Jan 7 (TNA) - Falling economic growth and rising unemployment in Thailand's private sector due to the global economic recession have led Thai economic ministers Wednesday to give a green light on allocating about Bt5.2 billion to help over 500,000 jobless people expected to officially register with the government, said Labour Minister Phaithoon Kaeothong.
The approval was made during the first meeting of economic ministers under Prime Minister Abhisit Vejjajiva whose government gained power on December 22.
The government has estimated that three groups of workers will soon become jobless, Mr. Phaithoon said. Between 800,000-900,000 people are expected to be laid-off as their employers decided to close their businesses and some 600,000-700,000 people are from farming sector plus small operators in rural area and newly graduates.
However, over half a million of the projected unemployed are expected to register with the Labour Ministry and will receive training on new professions or provided with skills needed by the market, he said.
In order to cushion the impact from mushrooming unemployment problem, about Bt10 billion in the form of government-sponsored Social Security Fund deposited at several banks will be withdrawn.
Of the total, Bt6 billion will be loaned to factory owners with an interest rate of five per cent annually on the condition that workers must not be laid off and the remainder of the of the Bt4 billion will be loaned to employees who are members of the Social Security Fund at the interest rate of six per cent.
The Labour Ministry will also organise a labour fair on January 17 which will be attended by private companies and some 130,000 jobs are expected to be available.
Overall expenses on assisting jobless people will be more than Bt20 billion for the time being.
In an attempt to boost tourism industry in Thailand, Minister of Tourism and Sports Chumpol Silpa-archa said that in addition to the Association of Southeast Asian Nations summit to be held in Bangkok late February, his ministry will sponsor a martial arts fair in which about 4,000 participants from 45 countries are expected to attend and an international energy conference to be sponsored by the Ministry of Energy.
About Bt6.8 billion from the tourism budget for the current fiscal 2009 will be spent on these activities.
Meanwhile, Prime Minister Abhisit, according to a deputy government spokesman, has instructed the state-run Board of Investment to see whether its investment measures could become more lenient as investors seeking promotional privileges with combined investment of over Bt100 billion had sought the privileges but only a small amount of investment capital was granted. (TNA)
