Thaksin worried about political stability, confident in PM’s position

In a keynote speech at the Unlocking Thailand’s Future: Fighting Global Crises event, organised by the Thai state-owned public broadcaster, MCOT, at the Queen Sirikit National Convention Centre on Thursday (July 17), former Prime Minister Thaksin Shinawatra addressed the country’s current economic challenges and the need for political unity.

Thaksin also participated in a live interview for the programme "Listen Up," hosted by Veera Theerapat and Chutima Pungkhwamsook.

During his speech, Thaksin emphasised that the government has the legitimacy to swiftly pass laws addressing the country's most pressing issues.

"If we don't act quickly, nothing will change. No one is thinking that the government will change the prime minister. We must continue working," he said. "Paetongtarn Shinawatra as prime minister would also mean I continue to serve as a clerk for the country," he added.

Thaksin expressed his willingness to support the government in gathering all necessary issues and solutions, underlining his role in coordinating and presenting these matters to the prime minister and ministers.

He shared a personal story, mentioning that a friend from Singapore had congratulated him on his return to Thailand, but also expressed concern over the increased competition between the two nations.

"But now, after seeing the current political turmoil and the suspension of the prime minister over bad matters, my friend says there's no longer any need to worry about competing with Thailand. This is something we must avoid — fighting over meaningless issues. We should unite and work towards making our country prosperous," Thaksin explained.

Reflecting on the past, he noted that despite political rivalries, mutual respect and collaboration were once common in Thailand.

"When I first entered politics, after heated debates in Parliament, we would sit down for coffee or wine together without issue. However, as the Thai Rak Thai Party grew too powerful, communication became difficult. It turned into a winner-takes-all situation, which should not be the case," he said. "In the end, whoever wins should perform their duties, and the losers should hold the government to account in a constructive opposition role."

Thaksin also stressed the importance of safety and the future development of Thailand's tourism cities into smart cities, equipped with AI cameras. Referring to a recent incident where a smoke bomb was placed near his house, Thaksin highlighted the potential for smart technology to enhance public safety. "If we had a smart city system with AI cameras and the right software, it would significantly increase our safety and security," he concluded.

In his interview on the "Listen Up" programme, Thaksin elaborated on the economic strategies he shared during his keynote speech. He stressed the importance of injecting new money into the country to stimulate the economy. "When money circulates, the economy improves," he said, referencing the past success of the Thai Rak Thai Party when it tackled debt and opened up new opportunities.

"Back then, we faced challenges with too many sellers and not enough buyers. After solving the debt issue, new opportunities emerged, and things improved."

Thaksin acknowledged that the current economic situation is both fortunate and unfortunate. "It’s unfortunate because the economy is in poor shape, and the economic structure has suffered damage. However, the advantage we have now is the availability of new technologies, which offer several shortcuts," he said.

He added that while Thailand currently lacks sufficient funds due to high levels of debt, there are ways to create liquidity using alternative financial methods.

"We can use two types of funds," Thaksin explained. "One is created through the issuance of digital tokens, such as using debt to create liquidity. Normally, debt isn't a form of liquidity, but with the issuance of new tokens like the G-token, we can turn debt into liquidity."

He further elaborated on the concept, saying, "It’s difficult to solve the problem overnight, but we have to start somewhere. Our system is slow, and I have suggested to the Ministry of Finance that we should consider issuing these tokens. It will take some time for them to fully understand."

Thaksin also discussed the potential of selling debt to the public as a way of generating liquidity. "Imagine if we could offer shorter-term bonds. Let’s say we want to buy a car, and we could use bonds as collateral. The government would benefit by taxing the bonds at 7%, and by using that revenue to pay 3% interest, we would create liquidity and stimulate economic circulation," he said.

In a further elaboration on the potential for a second economic miracle, Thaksin stated that there is no task too difficult if the government is willing to work together.

"If we have the cooperation, it won’t be hard. Our mindset is not rigid," he said, reflecting on the lessons from the 1990s and the formula for success. "The most important thing today is to bring in as much money as possible, in every form, to boost Thailand’s economy. This model is the same as before, but with a new approach."

Thaksin highlighted the changing landscape of tourism in Thailand. "Simply focusing on ancient artefacts is no longer enough; we must create new attractions that are man-made. Thailand has some of the best services in the world, but the issue is that people are dispirited because of low income," he explained.

"We need to rejuvenate the Thai people's spirit, as they have lost hope. Today, our mission is to restore that hope. I’ve always tried to speak to instil hope and never considered anything impossible, but some things do take time and require cooperation."

Addressing concerns over the biggest risks he feared, Thaksin identified political instability as the greatest challenge. "If politics stagnates, governance will stall as well," he warned. "Surveys show that 62% of people are most concerned about financial security within their families, while only 3% are focused on politics."

He pointed out that the government’s communication with the public remains its weakest aspect. "I try to help communicate, to let people know that work is being done and many issues are being addressed. It’s all about explaining things clearly."

On the government’s flagship digital wallet policy, which had faced setbacks, Thaksin confirmed that it is not over. "But today, we are holding onto money due to the Trump taxes. If problems arise, we need to figure out how to prevent factories from going bankrupt. Increasing the debt ceiling is possible, but it’s not advisable," he added.

On the controversial entertainment complex project, Thaksin suggested that with over 10 new members in the Cabinet, there are still some people who oppose the project. I believe that there are groups within the public who don’t fully understand it. To ensure fairness, the new Cabinet should be aware of these concerns and review them properly."

Former Prime Minister shared his thoughts on the challenges facing Thailand, stating that economic issues are predictable and may take time to resolve, while political problems are far more difficult to forecast.

"Human nature is filled with greed and desires, which are much harder to predict than economic conditions, which follow global trends that can be anticipated," he said.

Regarding the matter of secret political deals, Thaksin firmly denied any such arrangements when he decided to return to Thailand in 2023. "There were no political deals with anyone. I came back through the proper channels and sought His Majesty’s mercy, which was graciously granted—that’s all," he emphasised.

Thaksin reflected on his political journey, stating, "I’ve been in politics for 51 years. My daughter has been with me since I was the Foreign Minister, campaigning side by side. The desire to help people is in our DNA. When given the chance, we serve wholeheartedly. If they don’t want to, we’ll go back to raising our children."

When asked why he continues to engage in politics, Thaksin explained, "Thailand has many problems, and they are complex. If you read the royal pardon decree that was granted to me, I must accept it and not sit idly by, ignoring the country’s issues. That would be wrong."