Thaksin denies political deal on return from exile

Thaksin Shinawatra firmly stated yesterday that no political arrangement was crafted with his conservative adversaries to facilitate his return from a 15-year exile last year.

The former Thai premier made the statement during an on-stage interview at a forum organised by a local media group.

“There is no deal, no one dare do a deal with me.”

The 75 year old politician faced an eight-year prison sentence, which was later reduced to one year by a royal pardon, upon his return to Thailand in August last year. Notably, he did not spend a single night in prison, as he served his time at the Police General Hospital before being granted parole in February. A recent royal pardon freed him a few days ahead of schedule.

At the forum, Thaksin expressed confidence that Thailand’s economic woes would not worsen and assured that the Pheu Thai government was up to reversing the decline.

He underscored the importance of the party’s 450-billion-baht digital wallet handout plan to rejuvenate the sluggish economy.

“We need to stimulate the economy as our country has grown slowly for a long time, the handout will be an immediate economic boost in September.”

There has been speculation that the handout could be significantly scaled back and targeted only at those in genuine need. Nonetheless, Pheu Thai maintains it will proceed in some form, potentially even as cash instead of digital currency.

During his extensive speech, Thaksin advocated for measures to shield Thailand’s economy from an influx of low-cost Chinese products, suggesting small steps of protectionism.

“We don’t dislike Chinese products but we have to find equality in competition.”

Household debt

Regarding interest rates, Thaksin suggested that the government and the Bank of Thailand should maintain open communication without compromising the institution’s independence.

He stressed the urgency of addressing the country’s high levels of household and public debt, advocating for policies that could enhance Thailand’s growth rate to match some of its Southeast Asian neighbours.

Proposing a debt restructuring initiative for households and businesses, Thaksin noted that Thailand and its people are trapped in debt, during his talk, titled Vision for Thailand.

Thaksin urged the finance minister and other ministries to lead efforts in tackling the persistent debt burden. His address was delivered to an audience of more than 1,400 bankers, business executives, and politicians in Bangkok.

The event coincided with the first anniversary of Thaksin’s dramatic return to Thailand after fleeing corruption charges in 2008.

Although Thaksin is not expected to hold any official or political position in the new government, he is anticipated to have significant influence over the policies of Paetongtarn’s administration.

Paetongtarn, who is currently finalising her Cabinet, is faced with the daunting task of revitalising an economy burdened by near-record household debt, sluggish exports, and a high cost of living, reported Bangkok Post.