Economic development during the government of General Prem Tinsulanonda Economic development during the government of General Prem Tinsulanonda

Abstract

          General Prem Tinsulanonda was the Prime Minister of Thailand from March 3, 1980 to August 4, 1988. Throughout his administration, the Thai economy faced many significant changes, which were caused by both internal and external factors. The government at that time set guidelines and measures to solve the problems and develop the economic structure to be competitive at the international level. The government established the Economic Cabinet to find solutions. The important measures were: developing the capital market to support investment, promoting the export of other products to reduce dependence on agricultural products, calculating the factor table to refund export taxes, expanding long-term loans for the agricultural sector, and negotiating loan projects to improve the economic structure. In addition, the government implemented a policy to adjust the oil tax structure to support the floating oil price system, which helped reduce the volatility of domestic energy prices. In addition to solving immediate economic problems, the government also focused on changing the country's economic structure from relying primarily on the agricultural sector to an economy driven more by the industrial sector. The development guidelines during that time resulted in an increase in the proportion of income from exports of industrial products, focusing on promoting industrial exports and foreign investment. This was an important turning point that helped build the foundation for the Thai economy to grow towards significant economic changes in the long term, enabling Thailand to enter the world economic system with stability and compete on the international stage.