Business
Prayut warns Thai Airways that the latest government bailout will be the last

Last week the Finance Ministry agreed to guarantee a 54 billion baht bailout loan for the ailing airline and a further 80 billion baht recovery loan – both massive amounts of money being given to an airline that has been in debt for the last decade.
PM Prayut Chan-o-cha says the State Enterprise Policy Office was responsible for caveats on the loans and the restructuring required. Thai Airways is 51% owned by the Thai government. He didn’t mince his words and made it clear that the current raft of bailouts will be the last.
“This is the last time that Thai Airways will receive support from the government. If the situation worsens, there will be a complete structural overhaul of the airline.”
Prayut warned that the airline “must achieve 10 goals and not waste the government-backed loan”. Thai Airways posted a loss of 12 billion baht last year, according to the Stock Exchange of Thailand.
Thai Airways grounded its fleet in early April and is planning to take to the skies at the end of the month when the Thai Civil Aviation Authority lifts its ban on flights at the end of the month, pending opportunities and destinations that ,ay open up for the airline.
Unsurprisingly, eight other airlines based in Thailand have lined up for a 25 billion baht bailout, which is being classed as a ‘soft loan’. This means there will be interest applied, at a low rate of 2%, and the airlines will have five years from the start of 2021 to pay it back. The eight airlines in question are Bangkok Airways, Thai AirAsia, Thai AirAsia X, Thai Lion Air, Thai VietJet, Thai Smile, NokScoot and Nok Airlines.
Meanwhile Thai Airways’ staff have been on a charm offensive promising they’ll be back in the skies soon and even put a music video together showing off some of their dancing skills (below).
Get more from The Thaiger
Join the conversation and have your say on Thailand news published on The Thaiger.
Thaiger Talk is our new Thaiger Community where you can join the discussion on everything happening in Thailand right now.
Please note that articles are not posted to the forum instantly and can take up to 20 min before being visible. Click for more information and the Thaiger Talk Guidelines.

- Pattaya4 days ago
Foreign sex pest caught assaulting Thai beauty contestant
- Business3 days ago
Thai Airways has sold 11 of its old aircraft, 26 to go
- Patong18 hours ago
UPDATE: 19 year old Australian falls to his death at a Phuket hotel
- Patong2 days ago
19 year old Australian falls to his death at a Phuket hotel
- Crime3 days ago
More than 100 foreigners in Phuket swindled by visa agency
- Expats2 days ago
Norwegian man stabs himself in Pattaya hotel
- Crime4 days ago
Thai man jailed for rape in London massage parlour
- Coronavirus (Covid-19)3 days ago
Thai health chief received special drug due to obesity, not privilege
You must be logged in to post a comment Login