THAILAND

Kingdom of Thailand

Prates Thai

CAPITAL: Bangkok (Krung Thep)

FLAG: The national flag, adopted in 1917, consists of five horizontal stripes. The outermost are red (symbolizing the Thai people); those adjacent are white (symbolizing Buddhism); the blue center stripe (representing the monarchy) is twice as high as each of the other four.

ANTHEM: There are three national anthems: Pleng Sansen Phra Barami (Anthem Eulogizing His Majesty); Pleng Chard Thai (Thai National Anthem); and Pleng Maha Chati (Anthem of Great Victory), an instrumental composition.

MONETARY UNIT: The baht (b) is divided into 100 satang. There are coins of 1, 5, 10, 25, and 50 stangs and 1, 5, and 10 baht, and notes of 50 satang and 1, 5, 10, 20, 50, 60, 100, and 500 baht. b1 = $0.02442 (or $1 = b40.95) as of 2005.

WEIGHTS AND MEASURES: The metric system is the legal standard, but some traditional units also are used.

HOLIDAYS: New Year's Day, 1 January; Chakkri Day, 6 April; Songkran Day, mid-April; Coronation Day, 5 May; Queen's Birthday, 12 August; Chulalongkorn Day, 23 October; King's Birthday, 5 December; Constitution Day, 10 December. Movable holidays include Makabuja Day, Plowing Festival, and Visakabuja Day.

TIME: 7 pm = noon GMT.

LOCATION, SIZE, AND EXTENT

Comprising an area of 514,000 sq km (198,456 sq mi) in Southeast Asia, Thailand (formerly known as Siam) extends almost two-thirds down the Malay Peninsula, with a length of 1,648 km (1,024 mi) n–s and a width of 780 km (485 mi) e–w. Comparatively, the area occupied by Thailand is slightly more than twice the size of the state of Wyoming. It is bordered on the ne and e by Laos, on the se by Cambodia and the Gulf of Thailand (formerly the Gulf of Siam), on the s by Malaysia, on the sw by the Andaman Sea, and on the w and nw by Myanmar, with a total boundary length of 8,082 km (5,022 mi), of which 3,219 km (2000 mi) is coastline.

Thailand's capital city, Bangkok, is located on the Gulf of Thailand coast.

TOPOGRAPHY

Thailand may be divided into five major physical regions: the central valley, the continental highlands of the north and northwest, the northeast, the southeast coast, and the peninsula. The heartland of the nation is the central valley, fronting the Gulf of Thailand and enclosed on three sides by hills and mountains. This valley, the alluvial plain of the Chao Phraya River and of its many tributaries and distributaries, is 365 km (227 mi) from north to south and has an average width of 160–240 km (100–150 mi). On this plain, and most especially on its flat deltaland bordering the Gulf, are found Thailand's main agricultural wealth and population centers.

The continental highlands lie north and west of the central valley. They include North Thailand, surrounded on three sides by Myanmar (Burma until June 1989) and Laos, which is a region of roughly parallel mountain ranges between which the Nan, Yom, Wang, Ping, and other rivers flow southward to join and create the Chao Phraya in the central valley. In the northernmost tip, drainage is northward to the Mekong River; on the western side, drainage runs westward to the Salween in Myanmar. Most of the people of North Thailand live in small intermontane plains and basins that are generally widenings in the major river valleys. Doi Inthanon (2,576 m/8,451 ft) is the highest point in Thailand. Along the Myanmar border from North Thailand to the peninsula is a sparsely inhabited strip of rugged mountains, deep canyons, and restricted valleys. One of the few natural gaps through this wild mountain country is Three Pagodas Pass along the Thailand-Myanmar boundary, used by the Japanese during World War II for their "death railway" (now dismantled) between Thailand and Myanmar.

The northeast, much of it often called the Khorat, is a low, undulating platform roughly 120 to 210 m (400–700 ft) above sea level in the north and west, gradually declining to about 60 m (200 ft) in the southeast. Hill and mountain ranges and scarps separate the northeast from the central valley on the west and from Cambodia on the south; its northern and much of its eastern boundaries are marked by the Mekong River. Most of the northeast is drained by the Mun River and its major tributary, the Chi, which flow eastward into the Mekong. The northeast, in the rain shadow of the Indochina Cordillera, suffers from shortage of water and from generally thin and poor soils.

The small southeast coast region faces the Gulf of Thailand and is separated from the central valley and Cambodia by hills and mountains that rise in places to over 1,500 m (5,000 ft). This is a well-watered area, and the vegetation is, for the most part, lush and tropical. Most of the people live along the narrow coastal plain and the restricted river valleys that drain southward to the Gulf.

Peninsular Thailand extends almost 960 km (600 mi) from the central valley in the north to the boundary of Malaysia in the south and is anywhere from 16 to 217 km (10–135 mi) wide between the Gulf of Thailand on the east and the Andaman Sea (Indian Ocean) and Myanmar on the west. At the Isthmus of Kra, the Peninsula itself is only 24 km (15 mi) wide. A series of north-south ridges, roughly parallel, divide the Peninsula into distinct west and east coast sections. The west coastal plain is narrow—nonexistent in many places—and the coast itself is much indented and often very swampy. The east coastal plain is much wider, up to 32 km (20 mi) in sections, and the coast is smooth, with long beach stretches and few bays. Well-watered (especially the west coast), hot, and densely forested, the Peninsula, unlike most of Thailand, lies within the humid tropical forest zone.

A disastrous tsunami struck southern Thailand and its neighboring Asian countries on 26 December 2004. Stemming from an underwater earthquake about 324 km (180 mi) south of Indonesia's Sumatra island, the tsunami caused more than 5,000 deaths and 4,000 injuries in Thailand. Many of the beaches were severely damaged as well as the island of Phi Phi Lei, which was almost completely leveled.

CLIMATE

Thailand has a tropical climate. For much of the country there are three distinct seasons: the hot season, from March through May; the rainy or wet monsoon, June to October; and the cool season, November through February. While continental Thailand receives most of its precipitation from June through October, rain occurs at all seasons in peninsular Thailand, the largest amount along the west coast from May to October, and along the east coast from October to January. For most of Thailand the temperature rarely falls below 13°c (55°f) or rises above 35°c (95°f), with most places averaging between 24°c and 30°c (75°f and 86°f). The annual rainfall ranges from 102 cm (40 in) in the northeast to over 380 cm (150 in) in the peninsula. Bangkok has an average annual temperature of 28°c (82°f); monthly mean temperatures range from a low of around 25°c (77°f) in December to a high of around 30°c (86°f) in May, and annual rainfall is about 150 cm (59 in).

FLORA AND FAUNA

Many distinctive forms of plant and animal life are found. Forestlands support hardwoods (notably teak), pine, bamboos, and betel and coconut palms; in the coastal lowlands, mangroves and rattan abound. There are over 11,600 plant species found in the country. Among the larger mammals are the bear, otter, and civet cat. Climbing animals include the gibbon and many species of monkeys. There are also sheep, goats, oxen, single-horned rhinoceroses, deer, tapirs, wild cattle, wild hogs, and snakes. There are over 285 bird species and over 265 mammal species. Crocodiles, lizards, and turtles are numerous. Fish abound in the rivers and coastal waters.

ENVIRONMENT

The Promotion and Enhancement of Environmental Quality Act of 1975 charges the National Environment Board with coordination of environmental protection programs in Thailand. The nation's water supply is at risk due to contamination by industry, farming activity, sewage, and salt water, especially in the Bangkok area. Thailand has 210 cu km of renewable water resources, with 91% of annual withdrawals used for farming activities and 4% for industrial purposes. Only 80% of the rural dwellers have access to improved water sources.

Land use in urban areas is regulated by the City Planning Act of 1975, the Control of Construction of Buildings Act of 1936, and the 1960 Act for Cleanliness and Orderliness of the Country. Thailand's cities produce an average of 2.5 million tons of solid waste per year. Watershed regions, undergoing rapid deforestation as a result of increased cultivation of upland areas, have been targeted for protection in the fourth and fifth national plans; overexploitation and pollution of freshwater and marine fisheries have yet to be remedied. Parts of Bangkok have been report as sinking at a rate of 10 cm (4 in) a year because of depletion of the water table. By the 1980s, Thailand had lost about 25% of its original mangrove area.

Urban air and noise pollution is also severe, largely as a result of increasing automobile traffic. In 1992 Thailand was among 50 nations with the world's highest levels of industrial carbon dioxide emissions, which totaled 112.4 million metric tons, a per capita level of 2.02 metric tons. In 2000, the total of carbon dioxide emissions was at 198.6 million metric tons.

Wildlife is partially protected under the Wild Animals Preservation and Protection Act of 1960, but species have been depleted through illegal hunting and trapping. According to a 2006 report issued by the International Union for Conservation of Nature and Natural Resources (IUCN), threatened species included 36 types of mammals, 42 species of birds, 19 types of reptiles, 3 species of amphibians, 36 species of fish, 1 type of mollusk, and 84 species of plants. Threatened species in Thailand include the pileated gibbon, tiger, Asian elephant, Malayan tapir, Sumatran rhinoceros, Fea's muntjac, Thailand brow-antlered deer, kouprey, green turtle, hawksbill turtle, olive ridley, leatherback, river terrapin, estuarine crocodile, Siamese crocodile, false gavial, and the Javan rhinoceros. Schomburgk's deer and the redtail shark have become extinct.

POPULATION

The population of Thailand in 2005 was estimated by the United Nations (UN) at 65,002,000, which placed it at number 19 in population among the 193 nations of the world. In 2005, approximately 7% of the population was over 65 years of age, with another 23% of the population under 15 years of age. There were 96 males for every 100 females in the country. According to the UN, the annual population rate of change for 2005–10 was expected to be 0.7%, a rate the government viewed as satisfactory. The projected population for the year 2025 was 70,150,000. The overall population density was 127 per sq km (328 per sq mi), but there are great regional variations in density.

The UN estimated that 31% of the population lived in urban areas in 2005, and that urban areas were growing at an annual rate of 1.99%. The capital city, Bangkok (Krung Thep), had a population of 6,486,000 in that year. Outside of Bangkok, most major cities are provincial capitals, each generally centered in a changwat (province or county) with the same name as the city.

MIGRATION

Immigration to Thailand, except for the Chinese, has traditionally been comparatively small. The decade of the 1920s was a period of large-scale Chinese immigration of 70,000 to 140,000 a year. Strict immigration regulations have all but stopped the legal flow of Chinese into the country, but during the Franco-Indochinese war some 45,000 Vietnamese refugees settled in Thailand. An immigration quota, introduced in 1947, now limits migration from any one country to 100 persons annually.

In 2003, immigration authorities arrested 280,937 illegal foreigners, including 189,486 unauthorized workers; the workers were from Myanmar, Cambodia, and Laos. In 2004, some 1.3 million foreigners, from Cambodia, Laos and Myanmar, registered as migrant workers in Thailand under a government effort to better regulate their presence. They were further required to re-register in 2005, but to do so they needed a Thai employer. No new immigrants were to be admitted in 2005, and unauthorized migrants were subject to fines and prison.

As of December 1992, the United Nations (UN) estimated that 63,600 refugees were living in Thailand; these represented part of the flood of over four million refugees who had left Cambodia, Laos, and Vietnam since the 1970s. Some 370,000 Cambodians on the Thai–Cambodian border were repatriated during 1992–93. The 36,000 Cambodian refugees who fled their country after the political and military events of 1997 were repatriated by 1999, and three border camps were subsequently closed. In 1986, the Thai government began forcibly repatriating many refugees from Laos. The last refugee camp for Vietnamese was closed in February 1997.

In June 1998, the Thai government formally requested increased assistance from United Nations High Commissioner for Refugees (UNHCR) for some 100,000 Karen and Karenni refugees living in 11 camps in Thailand along the Myanmar border. A comprehensive registration of the border population was completed through the joint efforts of the Thai government and UNHCR in 1999. In 2004, there were 121,139 refugees almost entirely from Myanmar, and 1,044 asylum seekers.

The net migration rate in 2005 was estimated as zero migrants per 1,000 population. Worker remittances in 2003 were $2.8 billion.

ETHNIC GROUPS

Thailand contains more than 30 ethnic groups varying in history, language, religion, appearance, and patterns of livelihood. However, the Thai, akin to the Lao of Laos, the Shan of Myanmar (Burma); and the Thai groupings of southern China comprise about 75% of the total population of Thailand. The Thai may be divided into three major groups and three minor groups. Major groups are the Central Thai (Siamese) of the Central Valley; the Eastern Thai (Lao) of the Northeast (Khorat); the Northern Thai (Lao) of North Thailand; and the Southern Thain (Chao Pak Thai) of peninsular Thailand. Minor groups are the Phuthai of northeastern Khorat, the Shan of the far northwestern corner of northern Thailand, and the Lue in the northeastern section of northern Thailand. The several branches of Thai are united by a common language.

A major ethnic minority are the Chinese, who account for about 14% of the total population. They are generally engaged in business and commerce throughout the country. Other varied ethnic groups account for the remaining 11% of the population. Malays (3–4%) live in the southern peninsula near the border and, to a lesser extent, along the southeast coast; Khmers (1%) are settled all along the Cambodian border from the Mekong to the Gulf of Thailand and Vietnamese or Annamese are found in the southern Khorat and on the southeast coast. Small numbers of residents from India, Europe, and the United States live mainly in urban areas. Principal tribal groups, mainly hill peoples, include the Kui and Kaleung, in the northeast; the Mons, living mainly on the peninsula along the Burmese border; and the Karens, living along the northern Burmese border. There are, in addition, some 20 other minority groups, including the Akha, Musso, Meo, Kamuk, Tin, Lawa, and So; most of these peoples, primitive and small in number, live by shifting cultivation in rugged, isolated mountain or dense forest terrain.

Many of the hill tribe members, called "highlanders" by some, have faced government restrictions due to lack of legal documentation of nationality and citizenship. Citizenship is not granted automatically to children born of undocumented parents. The government has been working to ease requirements for documentation of highlanders, but progress has been slow; an estimated 500,000 highlanders are still undocumented as citizens, and so do not have the right to own land or to equal protection under labor laws.

LANGUAGES

The Thai language, with northern, eastern, central (Bangkok or official Thai), and southern dialects, all distantly related to Chinese, prevails throughout the country. Thai, written in a distinctive alphabet, is thought to be part of the Sino-Tibetan language family, although links to Indian languages are also evident. The Thai dialects for the most part are mutually intelligible only with difficulty. Although the ethnic minorities (including the Malays) generally speak their own languages, Thai is widely understood. The Chinese population is largely bilingual. All official documents are in the central Thai language and script, although English, taught in many secondary schools and colleges, is also used in official and commercial circles.

RELIGIONS

According to government statistics, Theravada Buddhism is the religion of about 94% of the population. However, other nongovernmental agencies and religious groups estimate that the number of Buddhists is only about 85–90%, and in practice, the religious life of Thailand may be described as spirit worship overlaid or mixed in varying degrees with Buddhist and Brahman beliefs imported from India.

While the government estimates that 5% of the population are Muslim, nongovernmental agencies place the number at about 10% of the population, including the Malay ethnic minority. Among the other ethnic minorities, the Chinese practice a traditional mixture of Mahayana Buddhism, Taoism, Confucianism, and ancestor worship. Most Vietnamese are Mahayana Buddhists and most Indians are Hindus (0.1% of the population). Christians have been active in Thailand since the 17th century and account for an estimated 1–2% of the population. Christian churches are primarily Protestant and belong to one of four umbrella organizations in the country, the largest of which is the Evangelical Foundation of Thailand. There are small Baha'i and Jewish communities.

At least six tribal groups which include 500,000–600,000 people; they practice a variety of syncretic customs that draw from animism, Buddhism, Christianity, and Taoism.

Though the constitution does not designate a state religion, Theravada Buddhism is basically practiced as such. The constitution stipulates that the monarch must be a Buddhist and only Buddhists are employed by the government. Religious groups must register under the Religious Affairs Department. Some government subsidies are offered to Buddhist, Islamic, and Christian groups. The government has made efforts to promote interfaith understanding, particularly through regular meetings of the Subcommittee on Religious Affairs, organized through the National Identity Promotion Office.

TRANSPORTATION

Thailand's transportation system is not fully developed, but it is growing rapidly. Owned and operated by the government, the railways, consisting in 2004 of 4,071 km (2,530 mi) of track (all of it narrow gauge), radiate from Bangkok to Malaysia in the south, to the Cambodian border in the east, to Ubon Ratchathani and Nong Khai in the northeast, and to Chiang Mai in the north.

The highway system, significantly expanded during the 1960s and 1970s, serves many areas inaccessible to railway. In 2001 there were 64,600 km (40,142 mi) of roadway, including 62,985 km (39,139 mi) of paved road. Modern two-lane highways now connect Bangkok with the rest of the country. In 2003, registered motor vehicles totaled 7,695,000, including 3,115,000 passenger cars and 4,580,000 commercial vehicles.

Waterways, both river and canal, are Thailand's most important means of inland transport. They carry much of the nation's bulk freight over a network of some 4,000 km (2,500 mi). The Chao Phraya River with its tributaries is the main traffic artery, and Bangkok is its focal point. The modern port of Bangkok at Klong Toey is the chief port for international shipping. Lying some 40 km (25 mi) inland from the sea, its harbor is navigable for vessels up to 10,000 tons, but constant dredging of the Chao Phraya is necessary. To relieve the congestion at Klong Toey, a new modern port was being developed at Sattahip, a former US naval base, and new seaports at Laem Chabang and Hap Ta Phut. Phuket Harbor in southern Thailand has been improved to accommodate 15,000-ton cargo ships. An extensive shipping service also exists along the Gulf of Thailand, and a small Thai merchant fleet plies between local and neighboring ports. In 2005, there were 386 oceangoing vessels of more than 1,000 GRT, totaling 2,038,597 GRT.

Since the end of World War II, Bangkok has become an important center of international aviation. In 2004 there were an estimated 109 airports. As of 2005, a total of 65 had paved runways, and there were three heliports. Principal airports include Bangkok International at Bangkok, Chiang Mai, Hat Yai at Haadyai, and Phuket International at Phuket. The government-owned Thai Airways International and Thai Airways Co. handle international and domestic air traffic, respectively. In 2003, scheduled airline traffic carried about 16.632 million passengers and 1,764 million ton-km of freight.

HISTORY

Archaeological excavations in the 1970s in Ban Chiang, northeastern Thailand, yielded traces of a Bronze Age people, dating as far back as 3600 bc predating Bronze cultures in China and the Middle East. The technical achievements of the Ban Chiang society, as surmised from archaeological evidence, indicate the existence of a settled agrarian people with advanced knowledge of bronze and iron metallurgy. Moreover, the skills demonstrating in their pottery, housing, and printing of silk textiles reflect at least 2,000 years of prior development, a finding that challenges previous concepts of incipient civilization and technology, and Southeast Asia's role in it.

The Thai descended from the ancient Pamir plateau peoples. The Pamir, who are racially related to the Chinese, migrated from southern China to mainland Southeast Asia. While in southern China, the Thai created the powerful Nan-Chao kingdom, but continued pressure from Chinese and Tibetans and the final destruction by Kublai Khan in 1253 forced the Thai southward across the mountain passes into Southeast Asia. After entering the valley of the Chao Phraya River, they defeated and dispersed the Khmer settlers, ancestors of the Cambodians, and established the Kingdom of Thailand.

By the mid-14th century, the Thai expanded and centralized their kingdom at the expense of the Lao, Burmese, and Cambodians. Although Thailand developed trading contacts with the Dutch and Portuguese and with the French and British in the 16th and 17th centuries respectively, it remained a feudal state with a powerful court of nobles. During the reigns of Mongkut (1851–68) and his son Chulalongkorn (1868–1910), however, Thailand emerged from feudalism and entered the modern world. A cabinet of foreign advisers was formed; commercial treaties of friendship were signed with the British (1855) and with the United States and France (1856); the power of nobles was curtailed, slavery abolished, and many court practices, such as prostration in the royal presence, were ended.

The Thai government continued as an absolute monarchy despite the progressive policies of Mongkut and Chulalongkorn. In 1932, however, a bloodless revolution of Westernized intellectuals led to a constitutional monarchy. Since then, Thailand has experienced multiple constitutions, changes of government, and military coups. With the government in a state of flux, political parties tended to cluster around strong personalities rather than political ideologies. At the start of World War II, Thailand, after annexing Burmese and Malayan territories, signed an alliance with Japan and declared war on the United States and the United Kingdom. From 1932 through the 1940s, political life in Thailand centered around Pridi Banomyong and Marshal Phibul Songgram and thereafter around Marshal Sarit Thanarat, until his death in 1963. Sarit's handpicked heir, Marshal Thanom Kittikachorn, subsequently emerged as the country's political leader.

After the war, Thailand became an ally of the United States through their common membership in the Southeast Asia Treaty Organization (SEATO), and various other bilateral treaties and agreements. In January 1965, China announced the formation of the Thailand Patriotic Front, whose purpose was "to strive for the national independence" of Thailand. A limited insurgency subsequently developed in the North and Northeast, growing in intensity in the late 1960s and early 1970s as the Southeast Asian conflict raged on Thailand's northern and northeastern borders. As a SEATO member, Thailand took a direct role in the Vietnam war and supplied a small number of troops in support of the Republic of Vietnam (RVN). Furthermore, it granted US forces the use of air bases in Thailand for massive bombing sorties against the Democratic Republic of Vietnam and the Vietcong. US forces stationed in Thailand increased to as many as 25,000 by the end of 1972. With the termination of the direct US combat role in Vietnam in early 1973, the United States began a gradual withdrawal of military personnel from Thailand. In March 1976, the Thai government ordered the United States to close its remaining military installations in the country and to remove all but a few military aid personnel by July. The communist insurgency continued, with sporadic armed attacks on the government in remote northeastern border provinces.

Internally, Thailand weathered a series of political upheavals in the 1970s. In November 1971, Marshal Thanom, who had been reconfirmed as prime minister in the 1969 general elections, led a bloodless military coup that abrogated the constitution and imposed a state of martial law. In December 1972, an interim constitution that preserved military rule caused student and labor groups to agitate for greater representation in Thai politics. By early October 1973, demonstrations erupted into riots, and on 14 October, Marshal Thanom resigned and quit the country. King Bhumibol Adulyadej stepped into the vacuum and named a national legislative assembly to draft a new constitution. On 7 October 1974, the new constitution—the tenth such document to be promulgated in Thailand since 1932—went into effect. On 26 January 1975, Thailand held its first truly open parliamentary elections since 1957. Some 42 parties competed in the balloting, which produced a coalition government under Seni Pramoj. In March 1975, Seni's government resigned following a no-confidence vote and a right-wing coalition government led by Kukrit Pramoj (Seni's brother) subsequently assumed control, but it too resigned in January 1976. Elections held in April restored Seni Pramoj to power as head of a four-party coalition, but when civil disorder again erupted among students in Bangkok, he was overthrown by the military. The military-led government declared martial law, banned strikes and political parties, and enacted yet another constitution. Promulgation of a subsequent constitution in December 1978 paved the way for elections in 1979, 1983, and 1986. On 9 September 1985, the military swiftly diffused an abortive military coup within several hours. General Prem Tinsulanonda was appointed for a third term as prime minister following the 1986 elections.

Insurgents based in Laos and Cambodia contributed to the nation's political instability by launching guerrilla attacks on the country. Furthermore, an upsurge in the number of refugees from Laos and Cambodia contributed to a humanitarian crisis. In 1979, the government estimated the number of insurgents at 10,000. Following the Vietnamese victory in Cambodia in January 1979, thousands of insurgents took advantage of a government offer of amnesty and surrendered to Thai security forces while others were apprehended subsequently. By the beginning of 1986, fewer than 1,000 Communist insurgents remained active, according to government estimates.

During 1985 and 1986, the Progress Party gained power when cabinet ministers were replaced. A parliamentary defeat over proposed vehicle tax legislation resulted in the dissolution of the House of Representatives. In July 1986 a general election for an enlarged house took place. General Prem formed a coalition government and served as prime minister but opposition parties accused his government of corruption and mismanagement. Additional dissent arose over proposed copyright legislation aimed at controlling counterfeiting of Western products and intellectual property. In 1988 General Prem dissolved summarily the House of Representatives and announced a general election. In the July 1988 election, the Chart Thai gained the largest number of seats. Although its leader, General Chatichai Choonhavan, declared his unsuitability for prime minister, he was appointed to the position. General Chatichai took an active role in foreign affairs and made bold initiatives to improve relations with Laos, Vietnam, and Cambodia. His support declined as his preoccupation with foreign affairs was considered a detriment to his handling of domestic issues, especially regarding government response in the aftermath of a devastating typhoon in November 1989. In July 1990, accusations of corruption led to a motion of "no confidence" that failed to muster a majority in the House of Representatives. In December of that year, General Chatichai resigned as prime minister, only to be reappointed the next day, enabling him to form a new coalition government.

On 23 February 1991, a bloodless military coup led by the National Peace Keeping Council (NPKC) ousted Chatichai's government alleging massive and systemic corruption. The NPKC declared martial law, abrogated the constitution, and dissolved the cabinet. An interim constitution approved by the king was published in March 1991. A former diplomat and business executive, Anand Panyarachun, was appointed prime minister. Despite public protest, a draft constitution presented in November was approved on 7 December 1991.

In March 1992, General Suchinda became prime minister amid continued unrest. Two months later, Major General Chamlong called for the resignation of Suchinda and an amendment to the constitution at a rally attended by 100,000 demonstrators. Chamlong pledged that he would fast to death, but gave the government a one-week grace period to amend the constitution to prohibit the appointment of an unelected prime minister. When it appeared that the government might renege on this agreement, the peaceful demonstrations resumed. On 17 May 1992, about 150,000 demonstrators met at Sanam Luang parade grounds in central Bangkok. Leaders called for the demonstrators to walk toward Government House down Ratchadamnoen Avenue. Demonstrators broke through roadblocks established by the police and set fire to vehicles and a nearby police station. At 4 am on 18 May the demonstrators were counterattacked with armored vehicles and machine-guns. Government forces arrested Chamlong and killed over 100 demonstrators and detained several thousands. Four days of violence ended with intervention by the king. On 24 May, Suchinda resigned after political leaders guaranteed amnesty to military officers that participated in quelling the demonstrations. On 10 June, the national assembly approved the constitutional amendments, including the prohibition of unelected politicians from forming a cabinet. A general election followed on 13 September 1992, and Chuan Leekpai, leader of the winning Democratic Party, became prime minister.

Chuan's policies emphasized four goals: to eradicate corrupt practices, to reduce the powers of the appointed Senate, to decentralize government from Bangkok to the provinces, and to enhance rural development. Beginning in 1993 and into 1994, Chuan's government faced two "no confidence" motions in parliament, but the government emerged stronger after they failed. In 1994, Chamlong and Palang Dharma became more assertive in demands for constitutional reform, decentralization of state power, and progress in solving Bangkok's traffic problems, which are some of the worst in the world—some commutes reportedly taking up to six hours.

Ultimately corruption charges brought Chuan's governing coalition down. In late 1994, the New Aspirations Party (NAP), led by Chavalit Yongchaiyadh, left the ruling coalition over a planned electoral reform. In May 1995, prior to a vote of no confidence, Chuan dissolved parliament and called for new elections. Having served two years of a four-year term as prime minister, Chuan became Thailand's longest serving civilian leader in the modern era.

During the campaigning leading to the July 1995 elections, politicians spent 17 billion baht buying votes, a seemingly intractable problem. However, the otherwise fair balloting was won by the Chart Thai party, which took 92 (of 391) seats. The former PM, Chuan's Democrats secured 86; the NAP took 57; and Palang Dharma lost heavily, going from 47 to 23 seats. Chart Thai selected as its PM Banharn Silpa-archa. In appointing his cabinet, however, Banharn was immediately perceived as favoring the old corrupted elite, especially when he gave important ministerial posts to Montri Pongpanich and Chalerm Yubamroong, both of whom were well known for their ill-gotten wealth. Even the king, who is revered by Thai society, expressed dissatisfied with the caliber of the new ministers.

Not surprisingly, Banharn's government collapsed before the end of 1996 and elections took place on 17 November 1996. Chart Thai went from 96 seats to 39 as the NAP, led by coalition parties, and Minister of Defense Chavalit Yongchaiyudh, emerged victorious. They swept into power going from 57 seats to 125. Placing second in the balloting was the Democratic Party. Chavalit, one of Thailand's more respected politicians, vowed to appoint a cabinet of technocrats (he called them the "dream team") rather than cronies, and to rescue the Thai economy which had been faltering. Despite his pledge, however, 1997 was a disastrous year for the Thai economy. In mid-May, the stock market collapsed and speculative currency trading hammered the baht. The government intervened, but conditions deteriorated so badly that by July the government decided to float the baht, which had been pegged to the US dollar, causing a precipitous drop. In one day, the currency fell more than 17% against the dollar. The floating of the baht caused international headlines as neighboring Asian countries frantically scrambled to protect their own currencies. By September 1997, the crisis had spread to Singapore, the Philippines, Malaysia, and Indonesia.

Failing to adjust to the crisis, the Minister of Finance Thanong resigned in October 1997 while students demanded the resignation of Chavalit. Despite a reshuffling of the cabinet in an attempt to placate Chart Pattana, Prime Minister Chavalit resigned on November 6. In November, Chuan Leepkai formed a coalition government that included his Democratic Party, Chart Thai, the SAP, Ekkaparb, the Seirtham Party, Palang Dharma, the Thai Party, and a majority of the Prachakorn Thai Party. Despite the perceived integrity of Chuan, the Thai baht continued to experience devaluation. The fragile government survived a no confidence vote in March 1998.

By May 1998, the Thai economy stabilized and began to recover slowly despite the swirling of allegations of corruption that led to the resignation of two ministers. The government accepted a significant International Monetary Fund bailout package and promised to deregulate the economy and adopt transparency. In March 1999, a major privatization bill passed the National Assembly, which allowed government enterprises to become corporate entities without legislative action. On 5 October 1998, Chuan reorganized the government and invited Chart Pattana into the government, extending the coalition's majority in the House of Representatives to 257. In April 1999, the leader of the NAP, Chavalit temporarily resigned as leader of the party in order to prepare for upcoming general elections.

In March 2000, the first ever Senate elections took place in accord with the 1997 constitution. The nonpartisan elections fielded 1,521 candidates who, by law, refrained from campaigning.

In general elections held in January 2001, media tycoon Thaksin Shinawatra's Thai Rak Thai (Thais Love Thais) Party won a major victory, making him prime minister. The new party took 248 of 500 seats in the House of Representatives, and Thaksin formed a coalition government with the Chart Thai (Thai Nation) Party and New Aspiration Party. The elections were marked by voting irregularities. Thaksin promised to help small businessmen and farmers in Thailand, pledging to postpone farmers' debts for three years and allocate credit of approximately us$23,000 each to more than 70,000 villages.

In March, a plane that Thaksin was due to board in Bangkok exploded, in what was regarded as an attempted assassination plot.

During 2001 and 2002, relations between Myanmar and Thailand improved. The two countries held talks in June 2001, attempting to ameliorate disagreements over the drug trade and border tensions. By September, Myanmar pledged to eliminate drug trade in the Golden Triangle by 2005. Thailand committed funds to finance a crop substitution program, and the two countries regarded themselves as good neighbors. However, in May 2002, Myanmar closed its border with Thailand after the Thai army fired shells into Myanmar's territory during a battle between Myanmar's army and ethnic Shan rebels. The border was reopened in October.

On 29 January 2003 riots broke out in the Cambodian capital of Phnom Penh over comments attributed to a Thai actress that Cambodia's Angkor Wat temple complex was stolen from Thailand. Thailand initially suspended all economic cooperation and business dealings with Cambodia, and closed the border. Cambodian Prime Minister Hun Sen promised to pay us$46.7 million in compensation for the damage done to Thai businesses. Thailand was due to partially reopen its border with Cambodia on 8 February.

Thailand became a focal point for unrest in January 2004, when a militant movement revived an insurgency in the predominantly Muslim southern part of the country. Southern Thailand is a popular vacation spot for American and European tourists, and the revenue that this region generates for the country is substantial. In an effort to contain the violence, the Thai government imposed emergency powers on the region. This action has had little effect on quelling the insurgency, and as of late 2005, violence related to Islamic insurgent activity had claimed more than 1,000 lives. Although the insurgency did not appear to be drawing support from international Islamic terrorist organizations, fear that such groups would enter the conflict persisted in 2005. In hopes of easing unrest, the Thai government also launched an unusual attempt at peace making when it invited schoolchildren in 2004 to fold origami paper cranes to be dropped by airplane over the troubled province. Nearly 120 million cranes were dropped on 6 December 2004 by 50 warplanes, as a gesture that also honored the 77th birthday of King Bhumibol Adulyadej. Militants responded to the gesture by attempting to set off a 22-pound bomb near an area where people had gathered to wait for the cranes. The bomb was discovered and safely defused.

Outbreaks of bird flu between 2002 and 2005 posed further threats to Thai tourism and had claimed 13 lives as of October 2005. The Thai Public Health Ministry announced on 25 October that it would send 400,000 health workers and 900,000 volunteers to scour the country's 21 provinces in search of signs of the deadly virus.

On 26 December 2004, the tourism industry suffered an even deeper blow. Catastrophic tsunami waves triggered by a massive earthquake swept the nation's southwestern area, causing devastation at many of its resorts. More than 5,400 people were killed in the disaster, and Thai officials reported in June 2005 that losses to the tourism industry could run as high as $1.2 billion. The economic impact of the tsunami disaster and continuing unrest in southern Thailand made the Thai Rak Thai government's hold on power increasingly fragile in 2005.

GOVERNMENT

Thailand has been a constitutional monarchy since 1932. The present king, Bhumibol Adulyadej, ascended to the monarchy in 1946 and became Rama IX on 5 May 1950. Until 1958, Thailand was governed under a constitution originally promulgated in December 1932. In October 1958, however, the constitution was suspended, and three months later the king proclaimed an interim basic law providing for a constituent assembly to draft a new constitution. Nine years in the making, a new constitution was promulgated in June 1968, and the first elections under it were held in 1969. In November 1971, Marshal Thanom Kittikachorn overturned the document despite being chosen by its rules.

A period of martial law under a national executive council ensued, with the military continuing in power through an interim constitution. A new constitution, promulgated in 1974, was suspended and replaced by martial law in 1976 when civil disorder ensued. The 1976 constitution was abrogated after an October 1977 coup and under an interim constitution, the king empowered a legislative assembly to draft a new governing document. This constitution, approved by the legislature on 18 December 1978, lifted the ban on political parties and eased some of the martial law provisions imposed in 1976.

On 23 February 1991, the National Peacekeeping Council (NPKC), led by the supreme commander of the Royal Thai Armed Forces, General Sundhara Kongsompong, took over the administration of the country. On 9 December 1991, the NPKC promulgated a new constitution. It provided for a national assembly comprised of elected representatives and an appointed senate, and a cabinet headed by an appointed prime minister. This charter was sympathetic to the needs of the military and gave the junta power over the senate. Protests that resulted in the deaths of pro-democracy demonstrators between 17–20 May 1992 quickly led to a constitutional amendment to provide for an elected prime minister and to curb some of the appointed senate's power. This constitutional amendment was approved by the national assembly on 10 June 1992 and required the prime minister to be a member of the house of representatives. In addition, the revised constitution significantly cut back the powers of the senate by ruling that the speaker of the lower house will be president of the parliament (previously it was the speaker of the senate). The senate is also barred from initiating, or taking part in, "no-confidence" motions. The first elections under these reforms were held on 13 September 1992.

Efforts to amend the constitution again came before parliament in April 1994, and the seven government-sponsored amendments were defeated. These amendments sought to reform Thailand's political structure by institutionalizing political parties and increase the role of the legislature. Prolonged debate and political indecision prevented the passage of these amendments until 27 September 1997, when the new constitution passed with the king's endorsement. According to this constitution, the house of representatives would consist of 500 members, with 400 selected by respective constituencies and 100 seats allocated by proportional representation of all parties exceeding the 5% threshold of popular votes. In an attempt to stabilize the political situation and institutionalize parties, the new constitution requires representatives to resign their seat if they renounce or switch their party membership. The senate, to consist of 200 nonpartisan members, requires all members to hold at least a baccalaureate. Members of both the house and senate serve four-year terms.

POLITICAL PARTIES

Constitutional government in Thailand has been hindered by traditional public apathy, and political parties generally have been formed by military personalities rather than around political issues and programs. Military leader Phibul Songgram, who became prime minister in 1938, did not favor political parties. Phibul's immediate postwar successor, the pro-Japanese Pridi Banomyong, encouraged the growth of parties, but these were generally ineffective, primarily because of Thai inexperience with such institutions.

Upon Phibul and other military leaders' return to power in 1947, parties were banned. In a move designed to undercut a growing threat from other soldiers, Phibul reinstated political parties in 1955 in preparation of the elections for 1957. A new coup, led by Marshal Sarit Thanarat, deposed Phibul in 1957 and again banned political parties. Following the promulgation of a new constitution in June 1968, parties were again legalized and hotly contested the 1969 parliamentary elections. Prime Minister Thanom Kittikachorn's United Thai People's Party won a plurality (76) of the 219 seats in the House of Representatives, giving it a majority in partnership with 72 "independents" supported by Deputy Premier (and army chief) Praphas Charusathien. The Democrat Party, led by civilian politician Seni Pramoj, won 56 seats, becoming the chief opposition party. Following Marshal Thanom's 1971 coup, political activity again subsided in favor of the military. The collapse of military rule in October 1973 led to a resurgence of civilian political groups. In the parliamentary elections of 26 January 1975, 2,193 candidates from 42 political parties contested 269 seats in the House of Representatives. Voter apathy remained a problem, however, as only 47% of the electorate (33% in Bangkok) took part. The conservative Bangkok-based Democrat Party emerged with a meager plurality of 72 seats, thereby failing to secure a majority coalition. On 13 March, Kukrit Pramoj, leader of the Social Action Party (SAP), which held 18 seats, was elected prime minister in a controversial vote; he formed a ruling rightwing coalition with the Social Justice Party (45 seats), the Chart Thai (28 seats), and four smaller groups. The coalition collapsed in January 1975, and in new elections held on 4 April, Seni Pramoj gained the premiership.

In the bloodless military coup of 23 February 1991 by the National Peacekeeping Council (NPKC), General Chatichai's government was turned out. The NPKC promulgated a provisional constitution, and after a brief period paved the way for a civilian interim government headed by Anand Panyarachun. A general election was held 22 March 1992, with 15 parties contesting 360 seats with 2,185 candidates. Persistent vote buying marred an election in which 59.2% of the electorate voted. Results were: Samakkhi Tham (79), Chart Thai (74), New Aspiration Party (72), DP (44), and Palang Dharma (41). A coalition government controlling 195 seats in the House of Representatives was comprised of Samakkhi Tham, Chart Thai, Pratchakorn Thai, the SAP and Rassadorn parties. Narong Wongman was proposed as prime minister until the United States made allegations of Narong's involvement in illegal drug trafficking. In April 1992, General Suchinda was named prime minister. His appointment as an unelected prime minister met with immediate protest. Agreement was reached to amend the constitution to prevent an unelected prime minister, but an apparent change of mind by the government resulted in violent rioting. Suchinda resigned and constitutional amendments were approved by parliament on 10 June. The National Democratic Front, four parties that had opposed the military government, the DP, the New Aspiration Party, Palang Dharma, and Ekkaparb, formed an alliance to contest the elections called for in September 1992.In the wake of the 1976 coup, massive arrests were made of liberal and leftist political elements; political parties were banned, and martial law instituted. Political activity was restored and martial rule partially relaxed under the 1978 constitution. Subsequent elections, held on 22 April 1979, gave no party a clear majority. The SAP won a plurality of 82 seats, and the Thai Nation Party finished second with 38. Gen. Prem Tinsulanonda, who became prime minister in March 1980, formed a new coalition government after the April 1983 elections, in which the SAP emerged with a plurality of 92 seats. Several days after the elections, the Thai Nation Party, which had won 73 seats, subsumed the Siam Democratic Party, which controlled 18. In subsequent elections on 27 July 1986, the Bangkok-based Democrat Party improved its position greatly, winning 100 seats. The Thai Nation Party won 63, and the SAP, 51. These three parties, along with the small Rassadorn—or People's—Party which won 18 seats, formed a new coalition, but with Gen. Prem again as prime minister. The election campaign and balloting were marred by scattered incidents of violence.

In the 13 September 1992 general election 12 parties contested 360 seats in the House of Representatives. Voter turnout was 62.1%. Election results were: the DP (79), Chart Thai (77), Chart Pattana (60), New Aspiration Party (51), and SAP (22). The DP formed a coalition party with Palang Dharma (47 seats) and Ekkaparb (Solidarity) for control of 185 of the 360 seats. The SAP was invited to join the coalition. The leader of the DP, Chuan Leekpai, was named prime minister. Chuan served for two years—the longest continuous civilian rule in modern times—before scandal brought his government down in May 1995. Elections were held in July 1995 which were won by Chart Thai, taking 92 of the expanded body's 391 seats. Chuan's Democratic Party was next with 86 seats; the NAP took 57 and Phalang Dharma slipped from 47 to 23 seats. Banharn Silpa-archa was appointed prime minister, and was almost immediately assailed by the press—and even the king—for assembling a government of largely discredited cronies.

Banharn's coalition lasted barely 14 months and new elections were held in November 1996, the results of which were as follows: NAP, 125 seats; Democratic Party, 123; Chart Pattana, 52; Chart Thai, 39; SAP, 20; Prachakorn Thai Party, 18; Solidarity Party, 8; Seritham Party, 4; Muan Chan Party, 2; Phalang Dharma, 1; Thai Party, 1. Chavalit Yongchaiyudh became prime minister in January 1997. He resigned in November, and Chuan Leekpai once again formed a coalition government including his Democratic Party, Chart Thai, the SAP, Ekkaparb, the Sirtham Party, Palang Dharma, the Thai Party, and a majority of the Prachakorn Thai Party. Constitutional changes, promulgated on 11 October 1997 increased party discipline and loyalty. It requires representatives to resign their seat if they switch or renounce their party affiliations.

General elections were held on 6 January 2001, which were won by the new Thai Rak Thai ("Thais Love Thais") Party, led by Thaksin Shinawatra, who became prime minister. Thaksin, a multi-millionaire telecommunications tycoon, took almost twice as many seats as his rivals, but fell short of an outright majority. Thai Rak Thai took 248 of 500 seats in the House of Representatives, and the Democratic Party of outgoing Prime Minister Chuan Leekpai won 128 seats. Thaksin's coaltion included the New Aspiration Party and the Chart Thai Party. The elections were marred by allegations of fraud and vote-buying. The results of 62 constituencies were thrown out because of voting irregularities, more than half of the disqualifications earned by candidates from Thai Rak Thai. Those constituencies held reelections on 29 January. Thaksin was indicted by the National Counter Corruption Commission (NCCC) in December 2000 for failing to report some of his wealth. In August 2001, the Thai constitutional court voted eight to seven to acquit Thaksin of assets concealment.

Thaksin retained a secure grip on power, and was re-appointed prime minister on 11 March 2005 following the Thai Rak Thai's victory in the lower House of Representatives on 6 February 2005. The Thai Rak Thai's showing in the elections was unusual; it marked only the second time in Thailand's 73 years of democratic elections that a single party controlled the country. The election outcome also made Thaksin the first prime minister in Thailand's history to have completed a full four-year term. The Thai Rak Thai leadership is supported by the Machachon Party, with the Democrat and Chart Thai parties comprising the main opposition. Senate elections were scheduled for March 2006, and the next House of Representatives election was to take place in 2009.

LOCAL GOVERNMENT

Thailand is divided into 76 administrative provinces (changwats ), each under the control of an appointed governor responsible to the Ministry of the Interior. Bangkok is sub-divided into 50 districts or "khets." As of 2001, in addition to the provinces, there were 795 districts, 81 minor districts, 7,255 subdistricts or tambon and 70,865 villages. Numerous changes went into effect with the promulgation of the new constitution in 1997. All local administrators are now elected directly by popular suffrage or by the approval of a local assembly. Furthermore, local government officials are prohibited from holding a permanent national position or receiving additional compensation from government related positions.

JUDICIAL SYSTEM

The 1997 constitution provided for an independent judiciary and the guarantee of basic civil liberties. Courts of the first instance, juvenile courts, and magistrates' courts exist in Bangkok and in each of the provincial capitals. There are nine regional courts of appeal, and a Court of Appeal, sitting in Bangkok, hears cases for the entire kingdom. The Supreme Court, also in Bangkok, consists of at least three judges and decides only on points of law. Judges in Thailand are appointed (and removed) by the king. All appointments are subject to initial approval by a judicial commission. There is no trial by jury in Thailand.

The constitution also provided for establishment of a constitutional tribunal to adjudicate disputes among the courts. Military courts deal primarily with military justice, but have broader jurisdiction when martial law is in force. There is no appeal of decisions by military courts. Defendants in ordinary criminal courts are afforded a wide range of procedural due process protections. Although there is no right to counsel during the investigative phase of cases, detainees are afforded access to counsel during trial.

Islamic courts hear civil cases concerning members of the Muslim minority, whose comprise approximately 6.4% of the country's population. The legal system is based on civil law with common law influence.

ARMED FORCES

The armed forces of Thailand in 2005 consisted of 306,600 active duty personnel and 200,000 reservists. The Army numbered 190,000 personnel and whose equipment inventory included 333 main battle tanks, 515 light tanks, over 32 reconnaissance vehicles, 950 armored personnel carriers, more than 2,473 artillery pieces and five attack helicopters. The Air Force was estimated to have 46,000 active personnel with 165 combat capable aircraft, that included 87 fighter/fighter ground attack aircraft, plus transport, training, and helicopter units. The Navy had 70,600 active personnel, which included 23,000 Marines and 1,940 naval aviation personnel. Major naval vessels included one aircraft carrier, 12 frigates, five corvettes and 110 patrol/coastal vessels. The naval aviation arm included seven fighter ground attack aircraft, nine maritime patrol aircraft and six antisubmarine warfare helicopters. Paramilitary forces had an estimated manpower of 113,700, which included the 41,000 member Border Patrol Police, the 2,200 member Marine Police and the 45,000 member National Security Volunteer Corps. In 2005, Thailand's defense budget totaled $1.95 billion.

INTERNATIONAL COOPERATION

Thailand, a member of the United Nations since 16 December 1946, is the headquarters for ESCAP and belongs to several non-regional specialized agencies, such as UNSECO, UNHCR, the FAO, the World Bank, ILO, IAEA, and the WHO. The country is a member of the Asian Development Bank, ASEAN, the Colombo Plan, G-77, and the WTO. Thailand has observer status in the OAS and the Organization of the Islamic Conference (OIC), and is a partner in the OSCE.

Thailand is identified more closely than most Asian countries with the Western nations largely because of its alliance with the Untied States. The nation is part of the Nonaligned Movement. In 1995 Thailand, Cambodia, Laos, and Vietnam established the Mekong River Commission (MRC) to coordinate development in the region. In environmental cooperation, Thailand is the Basel Convention, Ramsar, CITES, International Tropical Timber Agreements, the Kyoto Protocol, the Montréal Protocol, the Nuclear Test Ban Treaty, and the UN Conventions on Climate Change and Desertification.

ECONOMY

Thailand's economy more than tripled in the decade after 1986, achieving approximately 9% real growth annually from 1989 to 1996, before it became an epicenter of the Asian financial crisis of 1997, a regional crisis of investor confidence. Thailand's real GDP declined 1.4% in 1997, and then plunged 10.5% in 1998. In early 1997, the Bank of Thailand spent about $30 billion in foreign exchange reserves trying to defend the baht's value in terms of a basket of currencies against speculation against it, and then on 2 July 1997 abandoned the peg, and allowed the currency to float. The subsequent rapid fall in the baht's value—from 25 bahts to 1 US dollar down to a low of about 53 bahts to 1 US dollar by January 1998—was the proximate cause of the financial crisis that left most business in Thailand technically bankrupt. A $17.2 billion international bailout package was quickly arranged through the IMF, which seeded the loans with a stand-by line of credit running from 20 August 1997 to 19 June 2000 of about $2 billion, subject to a program of economic reform conditionals. Moderate growth returned in 1999 and 2000 (4.4% and 4.6%, respectively), but then dropped to an anemic 1.8% in 2001 in the face of the global economic slowdown and the halving of foreign direct investment worldwide following the 11 September 2001 terrorist attacks on the United States.

Nevertheless, by 2002 the economy had recovered to its precrisis level, with a 5.41% GDP growth rate. The GDP growth rate stood at 6.74% in 2003, 6.2% in 2004, and was estimated at 4.6% in 2005. The drop from 2004 to 2005 was caused in part by high oil prices, a drought, the 26 December 2004 Indian Ocean tsunami, unrest in the Muslim south of the country, and a downturn in the global electronics industry. Growth was projected to average 4.7% a year in 2006–07, driven by higher investment demand as the government embarked on an ambitious infrastructure development program, including electricity generation, transportation, housing, irrigation, health, and education.

Structurally the economy has continued to mature. From 1986 to 1996, agriculture employed about 57% of the labor force while agriculture's contribution to the GDP dropped from 16.7% to about 10%. In 2005, agriculture accounted for 9.3% of the GDP, and as of 2000 employed 49% of the labor force. Thailand has developed a mobile labor market in which many workers migrate between agricultural jobs in the country and self-employment and/or light industry jobs in the cities and industrialized zones. Official unemployment was at a low of 1.5% in the last boom years, 1996 and 1997, and then peaked at 4.4% in 1998. Postcrisis, unemployment rates have slowly declined to 4.2% in 1999, 3.6% in 2000, 3.3% in 2001, 2.4% in 2002, 2.2% in 2003, and to 1.4% as of September 2005. The government's decision not to forcibly repatriate a large number of foreign workers, implementing instead its first "amnesty" program in September 2001 (which gave work permits to about 360,000 foreign migrants employed mostly in semiskilled jobs in the fisheries and construction), has helped slow the decline of the unemployment rate. Official figures, moreover, do not adequately reflect the seasonal unemployment of about two million agricultural workers during one third of the year. Overall, the shift of workers out of agriculture continues particularly in the northeast, where agriculture is less productive, providing a steady inflow of workers to Bangkok and other industrialized areas who contribute to Thailand's expanding and diversified manufacturing and construction sectors. Manufacturing grew by 17% in 1995 and accounted for 33% of GDP, up from 22% in 1992. In 2002, manufacturing's share of GDP was up to 36.5%. In all, industrial production in 2002 was at 22% above the level attained in 1995 according to the country's industrial production index. The industrial production growth rate was estimated at 8.2% in 2005.

The Thai manufacturing sector is notable for its wide diversity, with rapid growth in the production of computers and electronics, automobiles, garments, footwear, synthetic fibers, furniture and wood products. In its efforts to recover economic momentum, Thailand faces strong competition from China, Indonesia, Vietnam, Pakistan and Bangladesh, where cheap labor diminishes the competitiveness of Thailand's labor-intensive industries.

Inflation appears to be under control. In the last years of the 1986–96 boom, the annual inflation rate averaged between 5% and 6% as measured by the consumer price index (CPI). The rate increased to 8% in 1998, but in 1999 had fallen to a negligible 0.3%. In 2000 and 2001, inflation was less than 2% (1.6% and 1.7%), and was only 0.6% for 2002. By 2005, the inflation rate had risen to an estimated 4.8%, but lower global oil prices from mid-2006 were projected to lead to lower inflation in 2007.

INCOME

The US Central Intelligence Agency (CIA) reports that in 2005 Thailand's gross domestic product (GDP) was estimated at $545.8 billion. The CIA defines GDP as the value of all final goods and services produced within a nation in a given year and computed on the basis of purchasing power parity (PPP) rather than value as measured on the basis of the rate of exchange based on current dollars. The per capita GDP was estimated at $8,300. The annual growth rate of GDP was estimated at 4.6%. The average inflation rate in 2005 was 4.8%. It was estimated that agriculture accounted for 9.3% of GDP, industry 45.1%, and services 45.6%.

According to the World Bank, in 2003 remittances from citizens working abroad totaled $1.601 billion or about $26 per capita and accounted for approximately 1.1% of GDP. Foreign aid receipts amounted to -$966 million or about -$16 per capita and accounted for approximately -0.7% of the gross national income (GNI).

The World Bank reports that in 2003 household consumption in Thailand totaled $81.01 billion or about $1,307 per capita based on a GDP of $143.0 billion, measured in current dollars rather than PPP. Household consumption includes expenditures of individuals, households, and nongovernmental organizations on goods and services, excluding purchases of dwellings. It was estimated that for the period 1990 to 2003 household consumption grew at an average annual rate of 3.4%. In 2001 it was estimated that approximately 23% of household consumption was spent on food, 5% on fuel, 3% on health care, and 13% on education. It was estimated that in 2004 about 10% of the population had incomes below the poverty line.

LABOR

Thailand's labor force in 2005 was estimated at 35.36 million (compared with 21.7 million in 1981 and 15.1 million in 1967). In 2003, agriculture and related occupations accounted for 44.9% of the workforce, with industry at 19.7%, services at 35.3%, and 0.1% in undefined occupations. In September 2005, unemployment was put at 1.4%.

Because of persisting government opposition to unions, organized labor was not a major factor in Thai life prior to the 1970s. Labor legislation in 1969 delineated certain basic workers' rights, and unions were granted greater freedom to organize under the Labor Relations Act of 1975. The Thai Trade Union Congress is the largest labor federation. As of 2002, only 2% of the labor force (11% of industrial workers) was unionized. Minimum daily wage rates in 2002 ranged from $3.01 to $3.71 depending on the cost of living in different provinces. Legislation regulating hours and conditions of labor, workers' compensation, and welfare also exists, however, these laws are weakly enforced.

While forced labor is prohibited by the Thai constitution, there are reports that workers are physically prevented from leaving some sweatshops, especially ones which employ illegal immigrants from Laos, Cambodia, and Burma. These same sweatshops have also been accused of using physical coercion to meet production goals.

The minimum working age was raised to 15 in 1998, but this law has not traditionally been effectively enforced. As of 2002, it was estimated that there were one million children working on family farms. Another 240,000 to 410,000 children were working in urban areas.

AGRICULTURE

With some 17.7 million hectares (43.7 million acres) of farm land, of which about 9.2 million hectares (22.7 million acres) are under rice cultivation, Thailand continues to rely heavily on agriculture, although the country has suffered from declining export prices in recent years. Rice is the major crop grown; Thailand is the world's biggest rice exporter. Total rice production amounted to 17.07 million tons in 2004/05. The government has embarked on largescale irrigation projects and introduced higher-yielding varieties of rice in an effort to increase production. In 2004, agricultural products accounted for 12.4% of exports and Thailand's agricultural trade surplus was over $8 billion (8th in the world).

Rubber, also a major export, is grown on the peninsula and, to a lesser extent, on the southeast coast. Total production in 2004 was 3,030,000 tons, the highest in the world and accounting for 31% of all production that year. Demand for natural rubber is growing along with the international concern about AIDS. Sugarcane production reached 67.9 million tons, while output of cassava (tapioca), traditionally important in Thailand, totaled 20.4 million tons. Thailand provides about 95% of the world's cassava exports. Much of the harvest is processed into chips and pellets and exported to the EU for fodder. Higher EU tariffs, however, have caused the Thai government to promote dairy, fruit, rubber, and cashew farming instead. Corn production, which has increased significantly in recent decades, reached 4.09 million tons in 2004. One third of annual corn production is consumed annually as fodder, with the remainder being exported to Europe and Japan. Kenaf, tobacco, cotton, and kapok are cultivated mainly for domestic use, but quantities of jute, cocoa, peanuts, soybeans, and medical plants are exported. Canned pineapple and fresh flowers, especially orchids, are important exports. The Thai government's official policy of encouraging mountain villagers to grow coffee, apples, strawberries, kidney beans, and other temperate crops instead of the lucrative opium poppy and marijuana has had some success; another aim of the project is to discourage deforestation through slash-and-burn cultivation. In 1987, King Bhumibol Adulyedej received a Magsaysay Award for International Understanding for his 20 years of effort in this area.

In the mid-1970s, farmers began to organize to express their discontent over the disparity between farm and nonfarm incomes. To improve farm conditions, the government legitimized squatters' rights to nearly 500,000 hectares (1,236,000 acres) of land classified as forest reserve and established credit and crop insurance programs for farmers. The government Marketing Organization for Farmers, founded in 1975, allows farmers to buy fertilizers, machinery, and equipment at the lowest possible prices and assists in crop marketing. It is also government policy to channel revenues from agricultural export taxes to a welfare fund called the Farmers Assistance Fund.

ANIMAL HUSBANDRY

Cattle, used for plowing and harrowing, are important to rice farming, and most rural households have some cattle as well as hogs, chickens, and ducks. In 2005, Thailand had 5.5 million head of cattle, 1.8 million head of buffalo, 7.2 million hogs, and 50,000 sheep. Other livestock included 260 million chickens and 17 million ducks. Elephants, important as draft animals in rural areas, are used to haul teak. Crocodiles, raised for their skins, are a specialty livestock product; in 2003, 10,987 tons of Siamese crocodile were produced. Production of animal products in 2005 included (in tons): meat, 1,896,859; milk, 900,000; eggs, 694,000; cattle skins, 48,300; and silk, 1,600.

FISHING

Fish is a major protein element in the Thai diet. Freshwater fish, abundantly found in rivers and canals, and marine fish (from the waters along the lengthy coastline) produced a catch of 3,590,452 tons in 2003 (7th in the world), as compared with 846,600 tons in 1967. Leading marine species in the 2003 harvest included (in tons): sardines, 148,564; anchovies, 157,556; Indian mackerels, 150,800; and threadfin breams, 104,505. Thailand exports cured fish to neighboring countries, and frozen shrimp and prawns mainly to Japan. In 2003, Thailand accounted for 6.1% of the world's exports of fish and fish products, valued at over $3,906 million. Giant tiger prawn, tilapias, hybrid catfish, and green mussels accounted for most of the aquacultural volume.

FORESTRY

Thailand's forested area declined from 53% of the nation's land area in 1961 to only 28% by 2000, mainly as a result of the continued use of slash-and-burn practices by farmers. The government's 2002–06 development plan has the objective for forests once again to cover 40% of the land area, of which 25% would be conservation forest and 15% would be for timber. Of Thailand's 17.01 million hectares (42.03 million acres) of forest in 2004, over 50% lies in the north, where teak and pine predominate. About 96% of the forest area is natural forest and the rest is reforestation and secondary growth. Rubber trees, planted mostly in the south, make up 10% of the forest area. The remainder consists of yang (keruing) plantations and rosewood, other species used as fuel, and smaller mangrove forests and conifers. Teak, once a major export, has declined in importance, largely because of government restrictions on cutting and past depletion of the forests through excessive harvesting and inadequate replanting. Yang, pradu, takien, krabak, and krabok are other traditional hardwoods that have suffered severe production declines. Thailand imposed a ban on logging government-owned timber in 1989. Lac, a resinous insect substance found on trees, has always had value for the Thai, but its derivatives—seedlac, sticklac, and shellac—have also found a ready international market. Other important forestry products include charcoal, gums and resins, and kapok fiber and seed.

In 2004 production of roundwood was estimated at 27.8 million cu m (980.9 million cu ft), with 72% used as fuel. Production of tropical hardwood products in 2004 included (in cubic meters): sawn wood, 288,000; veneer, 165,000; and plywood, 100,000. Thailand is a negligible exporter of tropical logs and lumber. However, Thailand now exports primarily value-added wood products (mostly furniture, picture frames, utensils, and other items). Exports of wood products in 2004 totaled $870.9 million. Imports of logs, timber, and wood products in 2004 were valued at $1,033 million.

MINING

Thailand in 2004, was one of the world's leading producers of feldspar and gypsum and was a leading exporter of each, as well as of cement. In addition to feldspar and gypsum, tin metal, tantalum powder and zinc metal were leading export minerals for Thailand. The country also had considerable resources of diatomite, dolomite, limestone, potash, rock salt, and a wide variety of other industrial minerals. In 2000, Other important minerals were barite, natural gas, gemstones, lead, crude petroleum, and silica. Except for gypsum, and tin and its by-products (ilmenite, monazite, struverite, tantalum, and zircon), most mineral production was for domestic consumption. Thailand is a net importer of minerals, mainly because of its large import bills for coal, crude petroleum, iron and steel, primary aluminum, refined copper, gold, refined lead, and silver. Thailand's resources of most metallic minerals and fuel minerals are small. The mining and quarrying sector, which accounted for 2.2% of gross domestic product (GDP) in 2004, grew by 4.9% in that year, and accounted for approximately 3% of the nation's labor forcer.

Tin concentrate production (gross weight) in 2004 totaled 724 metric tons, down from 980 metric tons in 2003. Tin was mined mainly on the southern peninsula, of which 52% was produced from offshore dredging. Tin production has been steadily declining in the face of falling world prices and output curbs. Tungsten concentrate output (gross weight) in 2004 was 337 metric tons. Other metal minerals exploited on a small scale included antimony, cadmium, iron ore, lead, manganese, tantalum, zinc, and zirconium. Iron ore production (gross weight) which totaled 50 metric tons in 2001, leaped to 570,110 metric tons in 2002, fell to 9,675 metric tons in 2003 and then shot upward again in 2004 to 135,580 metric tons. Gold and silver output in 2004 totaled 4,500 kg and 10,700 kg, respectively. There was no production of monazite rare earths from 2000 through 2004.

Among industrial minerals in 2004: feldspar output was 1,001,053 metric tons, up from 824,990 metric tons in 2003; gypsum production was 7.619 million metric tons, up from 7.291 million metric tons in 2003; hydraulic cement production was 35.626 million metric tons, up from 32.530 million metric tons in 2003. Thailand also produced barite, ball clay, kaolin clay, diatomite, metallurgical-grade fluorspar, gemstones, phosphate rock, salt, silica sand (glass), stone (calcite, dolomite, limestone, marble, marl, quartz, and shale), and talc and pyrophyllite. In addition, resources of bentonite and copper have been identified. Exploration in the past five years has focused on copper, gold, and potash. Thailand could soon become an important producer of potash in Asia and the Pacific region. The Somboon deposit was estimated to contain more than 300 million tons of sylvinite ore, with prospects for a two million ton per year potash mine, and the Udon deposit was estimated to contain more resources than the Somboon deposit. One copper deposit, at the Puthep project, near Loei, had ore reserves of 42 million tons of heap-leachable ore at a grade of 0.52% copper.

The government's underlying policy has been to conserve the country's mineral resources and to shift the emphasis to exploration, development, and exploitation of minerals consumed domestically, such as ball clay, feldspar, gypsum, kaolin, silica sand, limestone, lignite, phosphate, potash, rock salt, and zinc, and away from minerals that were predominantly exported, such as antimony, barite, fluorite, tantalum-columbium, tin, and tungsten. Thailand's mining industry consisted of a small mining and mineral-processing sector for ferrous and nonferrous metals, and a large mining and mineral-processing sector for industrial minerals. All mining and mineral-processing businesses except coal, natural gas, and crude petroleum were owned and operated by private companies.

ENERGY AND POWER

Thailand is a net importer of oil and natural gas. However, ongoing strong economic growth is increasing demand for energy.

Thailand is heavily dependent on imports of foreign oil. As of 1 January 2004, the country's proven oil reserves were estimated at 583 million barrels, with crude oil refining capacity for that date estimated at 703,100 barrels per day. Production of oil in 2003 was estimated to average 259,000 barrels per day, of which crude oil accounted for 96,000 barrels per day. Demand however, for that same year was estimated to average 851,000 barrels per day, thus requiring imports that year estimated to average 592,000 barrels per year.

Thailand's proven reserves of natural gas, as of 1 January 2004, were estimated at 13.3 trillion cu ft. In 2002, natural gas output was estimated at 685 billion cu ft, with demand that same year, estimated at 904 billion cu ft. Much of the natural consumed by Thailand is used to generate electricity.

Thailand also possesses recoverable coal reserves that as of December 31, 1999, stood at 1.4 billion short tons. In 2002, coal production was estimated at 21.8 million short tons, with demand that year estimated at 28.1 billion short tons.

In 2002, Thailand's electric power generating capacity was put at 20.929 million kW, of which 17.992 million kW of capacity consisted of conventional thermal fuel sources. Hydroelectric capacity in 2002 came to 2.936 million kW, with geothermal/other sources accounting for 0.001 million kW. Total national output of electricity in 2002 was 102.866 billion kWh, of which 90.9% came from fossil fuel power plants and hydropower for 7.1%, and other renewable sources for the rest. Consumption of electricity in 2002 was 95.992 billion kWh.

INDUSTRY

Seven government agencies supervise the Thai industrial sector: the Ministries of Finance, Commerce, and Industry, the Board of Investment, the Industrial Finance Corporation, the Bank of Thailand, and the National Economic and Social Development Board (NESDB), are in charge of formulating five year development plans. In 1982, an eighth agency, the Industrial Restructuring Committee, was created to coordinate the other seven and to formulate policy proposals in line with economic development plans. The main protective measures Thailand has used are import tariffs and price controls. Tariffs, low in the 1960s, were increased in the 1970s, some to above 90%, and price controls were pervasive. As part of the fifth economic development plan, 1982–86, the government began to lower tariffs and relax price controls. In the economic boom of the early 1990s, trade liberation was continued particularly as the protection of infant industries became less important for Thailand's industrial growth than reducing the cost of imported capital goods and spare parts for rapidly expanding sectors like the automotive industry and electronics.

Manufacturing grew at an average rate of 12% annually in the 1960s and 10% in the 1970s. However, in the wake of the second oil shock in 1978–79, rising interest rates reduced global demand and falling commodity prices adversely affected manufacturing growth. In the period 1971 to 1985 Thailand continued to import most of its manufactures, although there was impressive growth in some sectors. The production of food products nearly tripled, textiles grew by over 500%, and transportation equipment showed even greater growth.

With the collapse of oil prices in 1986, Thailand was propelled into a decade-long boom led by its industrial sector in which the economy more than tripled, ending in the collapse of the baht in early July 1997. Automobile production increased 750% 1986 to 1996, from 74,162 vehicles to a peak of 559,428. Annual growth for automobile production averaged 42.6% 1986 to 1990, and, after a 7% decline in the global recession of 1991, 15% 1992 to 1996. It was the world's fastest-expanding automotive industry and Thailand also became the world's second-largest producer of motorcycles and pick-up trucks. Thai automobile producers invested in capacity expansion on the expectation that demand would grow to about one million cars a year, but the onset of the Asian financial crisis meant that these expectations were unmet. Production fell 35.6% to 360,303 units in 1997 and then another 56.1% to 158,130 units in 1998. Recovery began in 1999, with a 106.9% increase to 327,101 units, and 2000, with a further 25.9% increase to 411,721 units. By 2002, Thailand was on track to match the precrisis peak, with a projected production of 560,000 (56% of capacity). Similarly, motorcycle production by 2001 and 2002 had recovered to match the one-million-plus record set in 1997. By 2004, Thailand had dubbed itself the "Detroit of Asia," and set a production target of one million automobiles for that year; in fact, Thailand produced 928,091 automotive vehicles in 2004, 24% more than 2003. The automotive and auto parts industry was worth $17.5 billion in 2004, generating the country's second-highest level of export revenue after computer and electronic parts. This represented approximately 12% of GDP. Thailand's automobile sector consists of 17 companies, the four largest being Auto Alliance Thailand, Toyota Motor Thailand, MMC Sittiphol, and Isuzu Motor Thailand, which together account for over 70% of production capacity.

By contrast, the cement industry, dependent more on the recovery of domestic demand, has not achieved precrisis production levels. Construction, one of the three leading growth sectors in the boom (with manufacturing and financial services), was the most severely impacted by the financial crisis. While the overall economy decreased 1.4% in 1997 and 10.5% in 1998, construction fell about 25% in 1997 and then over 38% in 1999, as landscapes that had been dominated by construction cranes were transformed into ones dominated by "For Sale" signs and unfinished buildings. Growth did not return to construction until 2002. Annual cement production, which grew from 18,834,000 metric tons in 1990 to a peak of 36,943,000 metric tons in 1997, was at 28,611,000 metric tons in 2002. Thailand produced 35,626,000 metric tons of cement in 2004.

Textiles and garments remain Thailand's largest industry. This includes synthetic fibers production, which in 1995 was growing at a 25% annual rate, one of the fastest in the economy. About two-thirds of the output are ready-to-wear garments destined for markets in the United States and Western Europe. In 2005, there were an estimated 4,500 textile firms employing more than one million workers. By 2002 precrisis production levels had been achieved and slightly bettered, but with a significant proportion of capacity unutilized. In 2004, Thailand produced 845,820 metric tons of spun textile products, and 893,859 metric tons of synthetic fiber products.

Since 1985, electronics has been Thailand's leading manufacturing export sector, employing about 300,000 workers. Annual growth in electronics production has averaged over 20% over the 1990s, with about 80% of the output exported. In 2000, electronics constituted one-third of all exports. Unlike most other manufacturing sectors, electronics production continued to grow during the financial crisis: the devaluation of the baht only made Thai electronic exports more competitive. Leading products include fully assembled computers, computer accessories, and integrated circuits in addition to a wide range of consumer electronics products. In 2004, Thailand produced 9.8 billion integrated circuits.

Among the ASEAN nations during the decade of boom, Thailand became the largest producer of petrochemicals as well as cement and textiles. Unlike most other industries, the refineries continued running near capacity during the crisis years 1997 to 1999. Refinery outputs reached 777,000 barrels per day in 1997, up 225% from 1990, then fell 4.6% in 1998 before recovering to a new high of 809,000 barrels per day (up 9.2%) in 1999. As of 2005, Thailand had four oil refineries and a total refining capacity of 703,100 barrels per day. The largest refineries are run by Shell Company of Thailand Ltd. at Rayong, Thai Oil Company Ltd. at Sriracha, and Esso Standard Thailand Ltd. at Sriracha. Over a third of refined production is distillate fuel oil, production of which increased 350% 1990 to 1999. Motor gasoline and residual fuel oil each account for about 18% of refined outputs, which grew in triple digits, 186% and 126%, respectively, during the 1990s. Other important refinery outputs include jet fuel and liquefied petroleum gases.

One industry that showed uninterrupted annual increases during the crisis was the production of beer, the output of which grew 6.7% 1997 to 1998, and another 6.2% 1998 to 1999. Across the 1990s beer production increased 370%. In 2004, Thailand produced 1.6 billion liters of beer.

SCIENCE AND TECHNOLOGY

The lack of skilled workers remains a drag on industrial development. Many students seek technical training overseas, and some receive postgraduate education in specialized technical subjects at the Asian Institute of Technology in Bangkok (founded in 1959), which offers advanced degrees in agricultural engineering, human settlements, and computer applications. The institute also operates receiving equipment for LANDSAT transmissions that provide Southeast Asian countries with the aerial surveys vital to agricultural development, forest inventories, and city planning.

Scientific organizations include the Medical Association of Thailand (founded in 1921); the Thailand Institute of Scientific and Technological Research (1963), the principle government research agency; and the Science Society of Thailand (1948), all headquartered in Bangkok. National science policy is the responsibility of the Ministry of Science, Technology and Energy. Research and development (R&D) expenditures in 2002 totaled $1,050.722 million, or 0.24% of GDP. In 2001, there were 289 scientists and engineers, and 116 technicians engaged in research and development per million people. High technology exports in 2002 were valued at $15.234 billion, accounting for 31% of the country's manufactured exports.

In addition to the Asian Institution of Technology, 15 other universities offer courses in basic and applied sciences. In 1987–97, science and engineering students accounted for 18% of college and university enrollments.

DOMESTIC TRADE

Bangkok, the port of entry and distribution point for the whole country, is the commercial center of Thailand; all foreign firms have their main offices there. Other commercially important cities are Chiang Mai (teak, rice, and textiles), Ubon Ratchathani (rice, jute, and leather), Phuket (tin), and Songkhla (rubber).

Many essential commodities are grown and consumed by the producer, or distributed at the local level. Production for the domestic market has continued to increase led by high growth industries such as construction materials, foods and beverages, and electronic appliances. In the greater Bangkok metropolitan area, almost every kind of retail outlet is represented, including specialty shops and over 40 department stores. There are about 250,000 retail outlets within the country, mostly small establishments. Department stores, discount stores, hypermarkets, and convenience stores are all available. Both local and foreign franchise firms have been successful. Rather than shop in traditional "wet markets," a growing number of Thai consumers are utilizing western-style supermarkets. Direct marketing, mail order, and television shopping have all become popular, particularly as credit cards have become more widely accepted. Newspaper, radio, television, and motion picture advertising is available.

Usual business hours are from 8:30 am to 5 pm, Monday through Friday. Shops are open from 9 or 10 am to 8 or 9 pm, and banks from 8:30 am to 3:30 pm.

The annual Bangkok fair in December, originally conceived for entertainment, has developed into a trade fair.

FOREIGN TRADE

Thailand supplies the world with a large proportion of its natural rubber, rice, and seafood exports. Thailand is an exporter of automobiles and auto parts, electronic goods, and textiles and apparel. In 2004, the major exports, in percentage terms, were: machinery and mechanical appliances (13.5% of all exports); electrical apparatus for circuits (13.2%); computers and parts (9.4%); and electrical appliances (8.8%). The major imports were: electrical machinery (14% of all imports); fuel and lubricants (10.8%); non-electronic machinery (10.2%); and base metals (9.8%). Thailand's leading markets in 2004 were: the United States (16.1% of all exports); Japan (14%); China (7.4%); and Singapore (7.3%). The leading suppliers were: Japan (23.8% of all imports); the United States (8.6%); China (7.7%); and Malaysia (5.8%).

BALANCE OF PAYMENTS

In 1996, a weakening economy and a decline in export growth created a current account deficit that amounted to 8% of GDP. Simultaneously, high interest rates and a currency tied to the dollar attracted

tracted money to an economy without sufficient productive assets to support the inflow. The government was forced to pursue a high interest-rate policy to protect the currency. When the cost of doing so got too high, the government let the currency float against the dollar, which resulted in a 20% devaluation. By mid-1997, Thailand's short-term debt obligations had reached $23.4 billion, consuming three-quarters of its foreign reserve holdings. In August of 1997, Thailand agreed to an economic restructuring package with the IMF that included $10–20 billion in standby credits. The GDP contracted by 10.8% in 1998, compared with an average growth rate of 8.5% from 1990 to 1996. The economy since the 1997–98 crisis subsequently rebounded, and strong export performance drove economic growth in 1999–2000. Nevertheless, structural reform was still needed, especially in agriculture, education, and small- and medium-sized businesses. Growth declined in 2001, due in part to the global economic downturn, a downturn in export demand, a slow pace of corporate debt restructuring, and a struggling financial sector. Severe Acute Respiratory Syndrome (SARS) negatively impacted trade and travel in 2003.

Thailand ran a merchandise trade surplus of $10.6 billion and a current-account surplus of $6.6 billion (equivalent to 4.1% of GDP) in 2004. The country's diversified export base comprises agricultural commodities and manufactures, although 80% of exports now consist of manufactured goods, many of which are dependent upon imported inputs.

BANKING AND SECURITIES

The central bank is the Bank of Thailand, established in 1942. It operates as an independent body under government supervision; its entire capital is owned by the government. The Bank issues notes, a function previously handled by the Ministry of Finance.

The financial sector is broad and diverse. In 2002 there were 33 commercial banks operating the Thailand, 13 domestic and 19 foreign owned. The top three Thai banks are Krung Thai Bank, Bangkok Bank, and Thai Farmers Bank. Many of Thailand's domestic banks are owned by a few wealthy Chinese families. Shareholdings in even the largest banks, led by Bangkok Bank and the Thai Farmers Bank, are structured to insure family control. US banks with full branches in Thailand include Citibank, Chase Manhattan Bank, and Bank of America.

In general, Thai banks have suffered management problems in recent years and are having difficulty in complying with capital-adequacy and other requirements set by the Bank for International Settlements (BIS). The baht currency crisis dealt a severe blow to the banking industry and has prompted a major restructuring of the banking industry. By mid-2000, nonperforming loans accounted for about a third of total lending, down from a peak of almost 48% mid-1999. Thai banks are being forced to accept big write-offs by selling nonperforming loans for as little as 30% of the loan's face value.

The Thai domestic banking system has been criticized for failing to mobilize adequate domestic savings and for not offering adequate incentives to savers. The International Monetary Fund reports that in 2001, currency and demand deposits—an aggregate commonly known as M1—were equal to $14.4 billion. In that same year, M2—an aggregate equal to M1 plus savings deposits, small time deposits, and money market mutual funds—was $119.3 billion. The money market rate, the rate at which financial institutions lend to one another in the short term, was 2%. The discount rate, the interest rate at which the central bank lends to financial institutions in the short term, was 3.75%.

Thailand's first public stock exchange was opened in Bangkok on 30 April 1975 (the Securities Exchange of Thailand-SET). All of its 30 members were Thai-owned securities firms. The Ministry of Finance encourages companies to go public by reducing income tax for listed companies and also by according favorable tax treatment of dividends. It was not until the late 1980s that the market was taken seriously by the international and domestic financial communities. Because of the Asian financial crisis, the stock exchange lost its appeal as a source of corporate funds. In 1998, however, a four-year downward trend was reversed on news of a strengthened baht. The rally could not be sustained and by years end the SET index was down 4.5%, a substantial improvement over the 55% decline in 1997. In all, the exchange lists 449 companies with a combined market capitalization of just over $36 billion. The turnover ratio is high at over 109%. The SET index was up 12.9% in 2001, at 303.9. As of 2004, at total of 465 companies were listed by the combined SET and the Market for Alternative Investment, which had a market capitalization of $115.400 billion. In that same year, the SET fell 13.5% from the previous year to 668.1. The turnover ratio in that same year was 95.8%.

INSURANCE

There is a wide variety of insurance companies doing business in Thailand, including the American International Assurance Co., the Asian Reinsurance Corp., Assets Insurance Co., Bangkok Insurance Public Co., Commercial Union Assurance Co., Guardian Assurance Co., Indara Insurance Public Co., Navakij Insurance Public Co., Paiboon Insurance Co., Phatra Insurance Co., Safety Insurance Co., Samaggi Insurance Co., the Thai Insurance Public Co., the Viriyah Insurance Co., and Wilson Insurance Co. In Thailand, both workers' compensation and third-party automobile liability are compulsory. The government's company, however, holds a monopoly on workers' compensation insurance. As of 2003, foreign investors were only allowed to own 25% of a Thai insurance company, but these regulations were slated to be relaxed within 10 years. In 2003, the value of all direct insurance premiums written totaled $4.932 billion, of which life insurance premiums accounted for $3.222 billion. For that same year, Thailand's top nonlife insurer was Viriyah, which had gross written nonlife premiums totaling $229.1 million, while the country's leading life insurer, AIA, had gross written life insurance premium of $1,526.8 million.

PUBLIC FINANCE

Only a few utilities—power generation, transportation, and communications—are owned by the government, which is fiscally conservative in what is essentially a free-enterprise system. Following the Asian financial crisis of 1998, the Royal Government of Thailand took strong macroeconomic steps to stimulate the economy. By 2005, it appeared the country was among the few in the region that had recovered.

The US Central Intelligence Agency (CIA) estimated that in 2005 Thailand's central government took in revenues of approximately $30.6 billion and had expenditures of $31.7 billion. Revenues minus expenditures totaled approximately -$1.1 billion. Public debt in 2005 amounted to 35.9% of GDP. Total external debt was $50.63 billion.

The International Monetary Fund (IMF) reported that in 2003, the most recent year for which it had data, central government revenues were b1,159.4 billion and expenditures were b1,038.6 billion. The value of revenues was us$28 million and expenditures us$25 million, based on a official exchange rate for 2003 of us$1 = b41.485 as reported by the IMF. Government outlays by function were as follows: general public services, 13.5%; defense, 7.3%; public order and safety, 6.0%; economic affairs, 23.3%; environmental protection, 0.1%; housing and community amenities,

3.8%; health, 10.7%; recreation, culture, and religion, 0.8%; education, 22.8%; and social protection, 11.6%.

TAXATION

Thailand, as of 2005, had a progressive personal income tax structure with a top rate of 37%, and that is applied to the person's total income, including dividends from stock and capital gains. Business and individual citizens are also subject to a host of indirect taxes, including customs duties, sales tax, and excise taxes.

Corporate income taxes on net profits are levied at a flat rate of 30%. However, small and medium companies, and those firms newly listed on the national stock exchange, can opt for lower rates. Companies involved in certain types of projects can also qualify for various reliefs and exemptions. In addition, there is a 10% profits remission tax and a 5% tax on gross income if the profits of a nonresident company cannot be determined. Capital gains are treated as ordinary business income and are subject to the corporate rate. Dividends are subject to a 10% withholding tax, but those received by one resident company from another resident company may qualify for a 50% exclusion, although the full amount may be excluded, if certain conditions are met. Generally interest income and royalty income are subject to withholding taxes of 15%.

As of 1 October 2005, Thailand had a value-added tax (VAT) rate of 10% on goods, services and imports. However, exports, international transport are zero-rated. Domestic transport, rents from immovable property and educational and health services are exempt. In addition, a municipal tax is levied on certain businesses.

There are excise taxes on tobacco, petroleum products, alcoholic beverages and soft drinks, and other products. Automobiles are subject to a special tax based on engine size.

Thailand has double taxation treaties with 33 countries, including the United States, Canada, Australia, Belgium, Denmark, Finland, France, and Germany. The US treaty has been in force since January 1998.

CUSTOMS AND DUTIES

Thailand's customs tariff is primarily for revenue, although in a limited fashion it protects local industry. No preferential treatment is afforded any country and all goods are subject to the general rate. Only a few goods require import licenses, including some foods, materials, and industrial products. Products banned from import include aerosol mixtures of vinyl chloride monomers (for health reasons) and products constituting trademark infringement.

The Thai government began to reduce tariffs in 1994, although progress was impeded in 1997 due to a shortfall in government revenue. Still, duties that had ranged between 30% and 60% have been cut to between 1% and 45%, with the total number of tariff bands reduced from 39 to 6. There is a zero rate for essential items like medical equipment and fertilizer. The rate is 30% for certain items designated as needing special protection, like fabrics, clothing, refrigerators, and air conditioners. In addition to tariffs, some imports designated as luxury goods are subject to an excise tax. Import surcharges, designed to deter imports, were imposed in 1981 at rates between 5% and 30% on certain fibers, piston rings, palm oil, and telephones.

Thailand is a member of the Association of Southeast Asian Nations (ASEAN) and the World Trade Organization (WTO). ASEAN members have established the ASEAN Free Trade Area (AFTA), which promotes reduced tariffs on most processed agricultural and industrial products traded among ASEAN countries. A proposal to link the economies of Australia and New Zealand to AFTA is also under discussion.

FOREIGN INVESTMENT

Growth of the Thai economy has been directly related to the flow of investments from abroad. In order to stimulate such investment, the government passed the Industrial Promotion Act (1962), which established the Board of Investment for Industry, renamed the Board of Investment (BOI) in 1972. National Executive Council Announcement Number 218, otherwise known as the Alien Business Law of 1972, restricted the participation of non-Thai nationals in certain types of business activities. The BOI, the powers and responsibilities of which were broadened in 1977, grants the following benefits to promoted industries: guarantees against nationalization and competition from government industries; exemption from import duties and business tax on plant, machinery, spare parts, and raw materials; exemption from duty on exports; exemption from tax on corporate income for a specified period; and repatriation of capital and remittance of profits abroad. In the wake of the Asian financial crisis, the Thai government embarked on an IMF-supervised program designed to make the economy more open and transparent for foreign investment. The 1972 Alien Business Law was replaced by the Alien Business Act of 1999, which opened additional business sectors to foreign investors, and raised the maximum ownership in some cases to above the old 49% limit. Limits on foreign ownership are most prominent in the financial sector, although now up to 100% ownership is permitted in Thai financial institutions for up to 10 years. A number of restrictions affect portfolio investments so that Thai authorities can track foreign investment.

In 1999 legislation was passed establishing a new bankruptcy court as well as new bankruptcy and foreclosure procedures, allowing, for instance, creditors to pursue payment from loan guarantors. Restrictions on property ownership were liberalized through amendment to the Land Code, the Condominium Act and the Property Leasing Act. Many of the reforms met political and were only partially and inconsistently implemented. In 2001 in the wake of the 11 September 2001 terrorist attacks on the United States there was a world wide contraction in foreign direct investment (FDI) and the government instituted a number of incentives to compete for scarcer investment funds, including tax incentives for firms to locate their regional headquarters in Thailand and several new government-backed investment funds to attract foreign money. To support its industrial exports, Thailand has 11 export processing zones located within industrial estates to which businesses may import raw materials and export finished products duty free. Also, factories may apply to establish bonded warehouses on their premises to which raw materials used exclusively to produce exports may be imported duty free.

According to the BOI, in 1997 the net flow of FDI to Thailand was about $3.3 billion and then more than doubled to $7.4 billion in 1998. Net portfolio investment, by contrast, peaked at $4.6 billion in 1997 and then fell to $0.3 billion in 1998. FDI decreased from $5.7 billion in 1999 to $3.8 billion in 2001 to an estimated $2.7 billion in 2002. The inflow of foreign investment has in any case been insufficient to offset the loan repayments Thailand has been making since the onset of the financial crisis. The balance on its capital and financial account reached a low of -$12.6 billion in 1998, but in 2002 this had moderated to a -$4.2 billion. The major sources of FDI in 2001, excluding bank recapitalization, were Singapore and Malaysia, both the source of direct investment totaling over $1.5 billion, followed by Japan, contributing about $1.3 billion. Industry and services, particularly tourism, were the two major recipients of FDI in 2001. According to the Bank of Thailand, net direct investment from Thailand to other countries was negative in both 2000 and 2001, at -$52 million and -$171 million, respectively.

FDI, including inflows from the banking sector, totaled $610 million in 2004 (January to October), compared with $1.4 billion in 2003 (January to October). Major FDI recipients included metal and nonmetallic processing, petroleum products, and services sectors. Japan was the largest source of FDI in 2004, followed by Germany and the United States.

ECONOMIC DEVELOPMENT

The Thai government, vulnerable in its financial dependence on a few primary commodities (rice, rubber, tin, and teak), has pursued a policy of economic diversification through industrial development and increased agricultural production. With the beginning of the first development plan in 1961, the government committed itself to the primacy of private enterprise and to a policy of fostering and assisting it. Thailand has also followed a policy of foreign trade and exchange liberalization. Foreign exchange control is nominal.

Thailand's first five-year plan, covering the period 1961–66, aimed to raise the standard of living by means of greater agricultural, industrial, and power production. In the second development plan (1967–71), emphasis was placed on agricultural development, highways, irrigation, education, and industrial development in the private sector. The third development plan (1972–76) placed special emphasis on improvements in the rural infrastructure, growth in the financial and commercial sectors, and further assistance to crop diversification and to import-substitution industries. The government also committed itself to a reduction in the role of state-owned enterprises. The first three plans did much to increase the standard of living and to bring new roads, irrigation schemes, and land reform to the prosperous Bangkok region. But these changes also increased the income gap between rural and urban Thailand and drew increasing numbers of migrants to the city in search of work. Accordingly, the fourth economic plan, covering the years 1977–81, emphasized decentralization of industry and economic growth from the capital region to the provinces. It also ended the policy of encouraging import-substitution industries and began the promotion of export-oriented industries able to benefit from the nation's low wage rates. Plans were made for the establishment of industrial estates under the direction of the Industrial Estate Authority of Thailand. The first estate, at Bangchan, 30 km (19 mi) from Bangkok, was fully occupied in 1980 by 51 companies, producing a range of industrial products, including automotive and electrical equipment, chemicals, and processed food. Another industrial estate, established in 1979 at Lard Krabang, also in the Bangkok vicinity, includes, in addition to a general industrial area, a duty-free export-processing zone open to manufacturers willing to establish high value-added and labor-intensive industries for export.

The fifth development plan, covering the years 1982–86, stressed reduction of rural poverty and social tensions and expansion of employment opportunities in the poorer regions. To this end, four investment promotion zones were established. After completion in 1981 of the natural gas pipeline from the Gulf of Thailand, investment priority was reassigned to the Eastern Seaboard Development Program. This ambitious program called for the creation of a new urban-industrial complex in the Rayong-Sattahip region that was expected to draw industries from the congested Bangkok area. Heavy industries were to be emphasized, with early construction of a natural gas separator and plants for the manufacture of soda ash, fertilizers, and petrochemicals. The sixth national economic and social development plan (1986–91) stressed continuing export promotion, streamlining of the public sector, and strict monetary and fiscal policies, with growth targeted at only about 5% yearly. Emphasis was placed on the less capital-intensive industries, and more emphasis was given to improved utilization of resources. The plan targeted private sector investment and initiatives. Privatization of state enterprises would proceed in clear-cut phases, and enterprises were required to seek their own revenue. Agricultural production was forecast to grow at 2.9% per year. The development of small-scale industry, particularly in rural areas, was emphasized. In 1993, the Eastern Seaboard Development Plan southeast of Bangkok—begun 10 years before as a $4 billion investment—demonstrated results with the new port, Laem Chabang. This plan extends greater Bangkok, and the next phases include extending all main national arteries into four-lane highways and double-tracking the railway.

The sixth national development plan coincided with the early part of Thailand's ten-year boom, and most of its economic targets were more than met. The actual average annual rate of real GDP growth—10.5%—was more than twice the targeted 5%. In the seventh development plan, 1992 to 1997, coinciding with the second half of the decade of boom, targets had shifted to a stronger emphasis on balanced, sustained development, and less on growth per se. The plan was formally titled the seventh national development and social development plan. The three official emphases were 1) sustained, moderate growth (though with the target set at a rather heady 8.2% annual real growth rate); 2) redistribution of income and decentralization of planning to achieve reductions in the percent in poverty and in the widening gap between rich and poor; and 3) human resource development. To attain the goals, four sets of policy guidelines were stipulated: policies for stable, noninflationary growth; policies of income redistribution; policies for human resource development and policies for environmental protection. The real GDP growth target was met, though with concern that this was through a combination of a explosive industrial sector growing at an above-target average annual rate of 11.4% and a moribund agricultural sector, growing as below-target annual rate of 1.5%. Inflation averaged only 4.13% a year, better than the 5.6% targeted, but goals to eliminate Thailand's large balance of trade and current account deficits were not met. The average annual savings rate of 9.1% also fell below the plan's ambitious target of 12.8%. Poverty reduction, however, was substantial, with the percent of the population living in poverty falling from 32.6% in 1988 to 11.4% in 1996, which would prove to be its lowest point due to the on-set of the Asian financial crisis the next year. Themes for each region guided development. In the north (Chiang-mai, Lamphrun, and Lampang), light and clean industries are encouraged, such as clothing, high-value electronics, and agro-industry. In the south, transport links and natural gas networks developed between the Andaman Sea and the Gulf of Thailand would attract heavy industry such as petrochemicals, and cross-border development with Malaysia would link with Penang's industrial sector. Development plans for the impoverished northeast included linking with Laos, Cambodia, and Vietnam for processing raw materials from those countries, and for providing services involved with investment and manufacturing in those countries.

Thailand's eighth national development and social development plan, emphasizing again the concern with qualitative as well as quantitative growth, coincided with the on-set of the Asian financial crisis and Thailand's struggle back to precrisis levels of economic activity, 1997 to 2001. The Plan, assuming a continuation of economic growth, put priority on two long-range economic development goals: human development and the replacement of top-down administration with bottom-up processes. Virtually none of the goals of the plan were met as the economy was plunged into recession and high inflation with the collapse of baht in July 1997. Whereas about a million people a year had been lifted out of poverty during the decade of boom, from 1997 to 1999 about a million and a half a year were plunged back into poverty, as the estimated number in poverty rose from 6.8 million to 9.8 million (16% of the population). In August 1997 the eighth economic plan was essentially superceded by the IMF-guided international bailout program that involved a three-year, $17.2 billion support package conditioned on a program of economic reforms. The IMF program did provide from the outset for "the protection of vital health and education expenditures in the central government budget," and, in fact, health expenditures rose by 8% 1997/98 even as revenues fell. The government adhered sufficiently close to the reform program to bring down inflation and replenish foreign reserves, undergirding the reforms with a new constitution. Thailand began repaying the IMF in November 2000 and repaying other lenders in 2001. Net capital flows were negative throughout the five-year planning period but by 2001 had improved to a -$4.9 billion balance from -$12.6 billion in 1998.

The introduction of the ninth national development and social development plan, to run 2001 to 2006, took a philosophical turn as the government presented it as embodying the king's concept of "sufficiency economy" as its guiding principle bestowed on the people as a means of helping his subjects overcome the economic crisis. "Sufficiency economy" was explained as based on adherence to the middle path, and involving moderation not just as a guide for economic policies but as a way of life. Balanced development was to be achieved through a combination of patience, perseverance, diligence, wisdom and prudence. The four pillars of the holistic approach of the ninth plan were social protection, competitiveness, governance, and environmental protection. Within this relatively abstract framework, the more specific elements of the Thaksin government's economic policy strategy in 2001 included the following seven elements: 1) farm debt restructuring, including a three year suspension of some debts owed by poor farmers to state banks; 2) village funds financed by grants of one million baht (about $24,000) to each of the country's roughly 70,000 villages to provide locally administered micro-loans; 3) the transfer of nonperforming loans (NPLs) to the newly established Thai Asset Management Corporation (TAMC), required of state-owned operations and voluntary for private ones, to promote more efficient debt restructuring; 4) special attention to small- and medium-sized enterprises (SMEs) by state-owned lending agencies; 5) promotion of product specialization by village groups, called the "one tambon (group of five or six villages), one product" scheme inspired by a similar Japanese program; 6) the establishment of the People's Bank, administered through the Government Savings Bank (GSB), allowing GBS account-holders to apply for small loans (up to about 30,000 baht or $370) mainly for small retailing or commercial ventures; and 7) a restructuring of the economy away from heavy dependence on imports and towards more reliance on local resources, especially agricultural.

By 2006, the Thaksin government was using expansionary fiscal policy to enhance economic growth. In its first term the focus was on boosting rural incomes and development, but infrastructure development was the priority for Thaksin's second term. From 2006–09, the government planned to invest $41 billion, or 26% of GDP, in infrastructure, spanning electricity generation, transportation, housing, irrigation, health, and education. Thailand was in need of new investment in 2006: transportation costs weighed heavily upon business, and the telecommunications network was outdated, with only one-tenth of the population connected. The government wanted to turn Thailand into a center for regional trade and business, which explains planned new highways to the north into China and stretching as far west as Myanmar and India. Thailand by 2006 had expanded into a few specialist markets with higher, more defensible profits, such as medical tourism (inexpensive but high quality heart bypasses, cancer care, and cosmetic surgery are a few of the services offered to foreigners), long-stay tourism, and a beginning fashion industry.

Other economic policy objectives include the restoration of a solvent banking sector and poverty reduction. In 2005, Prime Minister Thaksin declared Southeast Asia must not look solely to exports to resuscitate its economic fortunes, but should try to revive domestic consumption, which would help insulate the region from the vagaries of the world economy. His policies suspending farmers' debts, instituting inexpensive universal health care, and the granting of loans to villagers, small businesses, and home-buyers were undertaken to this end. The government also subsidized a variety of goods, from computers to cows, to increase Thais' spending power. Nevertheless, exports remain the chief engine of Thailand's growth, from automobiles to integrated circuits to rice.

The threat of an avian flu epidemic in Southeast Asia was present in 2006. Thailand was still rebuilding its areas affected by the 2004 Indian Ocean tsunami.

SOCIAL DEVELOPMENT

A 1990 law established a social security system which began paying disability and death benefits in 1991. Old age benefits (pensions) were introduced in 1998. The pension system is funded by employers, employees, and the government. Old age pensions begin at age 55, and employment mush cease at that time. There is a provision for deferred pension. The social security law also provides for sickness and maternity benefits, which are provided to employees of firms with 10 or more workers. Employers are required to provide workers' compensation coverage, including temporary and permanent disability benefits, and medical and survivor benefits. Maternity benefits are available for two childbirths only.

Women have equal legal rights in most areas, but inequities remain in domestic areas, including divorce and child support. Women constitute more than half of university graduates. Discrimination in hiring persists, and there is a gender gap in wages. Domestic abuse and violence remain a huge problem. Many women are trapped into prostitution through a system of debt bondage. Brothels provide a loan to parents of young women, and these women are required to work as prostitutes to pay off the loan. In many cases, this is done without the consent of the woman involved. As of 2004, prostitution thrived and sex tourism was rampant. Human trafficking is also prevalent.

Many Thai minorities, including many of the hill tribe members, lack any type of documentation. As noncitizens, they do not have full access to education and health care. They lack titles to their land, and may not vote in elections. The government has announced its intention to process and document these groups. Human rights are generally well respected, but some abuses occur. Coerced confessions and the torture of suspects are occasionally reported. Overcrowding in prisons has resulted in poor conditions.

HEALTH

In the 1960s, the government, with UN and US assistance, extended free medical treatment, expanded health education activities in schools and rural areas, and built many hospitals. In the private sector, two-thirds of health care funding comes from employers and private households. A national social security scheme is under way, but private insurers are few. Owing largely to success in eradicating malaria and other tropical diseases, as well as to better sanitation and medical care, health conditions have steadily improved in Thailand.

Health care facilities are concentrated in the Bangkok metropolitan area, where about 15% of the population is located. There are 180 private hospitals and more than 11,000 private clinics. Thai hospitals tend to be small in size. In 2000, 80% of the population had access to safe drinking water and 96% had adequate sanitation. About 59% of the population had access to health care services. Total health care expenditure was estimated at 6% of GDP. In 2004, there were an estimated 30 physicians per 100,000 people.

Common diseases are malaria, tuberculosis, and leprosy. Approximately 13% of children under five years of age were considered malnourished. About 7% of births were of low birth weight. As of 2002, the crude birth rate and overall mortality rate were estimated at, respectively, 16.4 and 7.6 per 1,000 people. It was estimated that 72% of married women (ages 15 to 49) used contraception. In 2005, life expectancy was 71.95 years and infant mortality was 20.16 per 1,000 live births. Maternal mortality was 44 per 100,000 live births.

The HIV epidemic in Thailand is among the best documented in the world. Among brothel sex workers, the HIV infection rose from 3.5% in 1989 to 33% in late 1994. There were 570,000 AIDS cases reported in 2003. Deaths from AIDS in 2004 numbered 58,000. HIV prevalence was 1.50 per 100 adults.

HOUSING

Most families in Thailand live in dwellings that compare favorably with living facilities anywhere in Southeast Asia. The Thai government has stimulated housing and community development by means of a housing plan that provides government mortgages for building, renovation, or purchase of government land and houses. Under a self-help settlement scheme, the government sets up whole new communities, surveys sites, constructs roads and irrigation systems, and provides public utilities and medical care.

In 1973, to house Bangkok residents who had been living in makeshift shelters, the government formed the National Housing Authority (NHA), which undertook overall responsibility for coordination of public and private housing programs. By 1979, the NHA had completed 54,780 housing units. From 1979 to 1984, a total of 1,442,250 housing units were built in Thailand.

According to the results of the 2000 census, there were about 15,349,500 dwelling units serving 15,662,300 households nationwide. The average household had 3.9 people. About 81% of all dwellings were owner occupied. Nearly 80% of all households lived in detached houses. About 67% of all households lived in nonmunicipal areas. Cement, brick, and wood are the main construction material for about 47.9% of all dwelling units; another 44.7% are made of a mixture of permanent and nonpermanent materials. About 39.2% of all households rely on rainwater as their primary source of drinking water; only 18.3% have tap water for drinking inside their dwelling.

EDUCATION

Schooling is compulsory for nine years, including six years of primary school and three years of lower secondary school. Three-year upper secondary schools offer general or vocational studies. Both teacher training and technical and vocational training (especially in agriculture) have been stressed in recent development plans. The academic year runs from June to March.

In 2001, about 85% of children between the ages of three and five were enrolled in some type of preschool program. Primary school enrollment in 2003 was estimated at about 86% of age-eligible students. It is estimated that about 86% of all students complete their primary education. The student-to-teacher ratio for primary school was at about 21:1 in 2003; the ratio for secondary school was about 25:1. In 2003, private schools accounted for about 15% of primary school enrollment and 8.8% of secondary enrollment.

In Bangkok, Chulalongkorn University (founded 1917) is Thailand's most eminent university. Also in Bangkok are the University of Thammasart (founded 1933), specializing in social and political sciences, and Kasetsart University (founded 1943) specializing in agriculture. Newer universities established in provincial areas include Chiang Mai University (founded in 1964), Khon Kaen University (founded in the northeast in 1966), and Prince of Songkhla University (founded in 1968). King Mongkut's Institute of Technology was formed in 1971 through the amalgamation of three institutes, and eight colleges of education were combined into Sri Nakharinwirot University in Bangkok in 1974. A correspondence school, the University of Ramkhamhaeng, opened in Bangkok in 1974 and the Sukhothai Thammathirat Open University began operations in 1978. In total there are 16 state universities in addition to 26 privately run colleges. There are also a large number of teacher training colleges. In 2003, it was estimated that about 38% of the tertiary age population were enrolled in tertiary education programs. The adult literacy rate for 2004 was estimated at about 92.6%.

As of 2003, public expenditure on education was estimated at 5.2% of GDP, or 28.3% of total government expenditures.

LIBRARIES AND MUSEUMS

The National Library (founded in 1905) contains over 2.4 million books and over 300,000 manuscripts; The National Library maintains a main library site and eight other sites in Bangkok as well as 17 provincial branch locations. Other important libraries in Bangkok include the Asian Institute of Technology (200,000 volumes), Chulalongkorn University (264,700), the University of Thammasat (231,000), Kasetsart University (313,000), and Sri Nakharinwirot University (299,500). The Library of the Department of Science Services maintains a special collection of 450,000 volumes. Outside Bangkok, sizable collections are maintained at the University of Chiang Mai (655,000) and Khon Kaen University (340,000). The Economic and Social Commission for Asia and the Pacific holds 150,000 volumes. The public library system includes over 70 sites known as Chalermrajgumaree Public Libraries, which were opened with the support of Her Royal Highness Princess Sirindhorn. There are over 70 additional provincial public libraries and over 650 small district libraries.

The National Museum in Bangkok (founded in 1926) has an extensive collection of Thai artifacts, including sculptures, textiles, ceramics, jewels, coins, weapons, and masks. Many of Bangkok's temples and palaces contain excellent examples of Thai frescoes and sculptures. The Temple of the Emerald Buddha has a famous mural of the Ramayana, the Sanskrit epic, and the Marble Temple contains a fine collection of bronze and stone Buddhas. Bangkok also houses the Bhirasi Institute of Modern Art, the Hill Tribes Museum, the Science Museum, and the Sood Sanquichien Prehistoric Museum and Laboratory. The Hall of Opium Museum is near Chiang Rai. There are dozens of other provincial museums throughout the country.

MEDIA

The Ministry of Communications is responsible for Thailand's public postal, telegraph, and telephone services. The postal service, employing both railway and air mail, operates from the central post office in Bangkok and covers the entire country. Thailand is a member of INTELSAT and maintains trans-Pacific and Indian Ocean satellite communications stations. In 2003, there were an estimated 105 mainline telephones for every 1,000 people; about 582,700 people were on a waiting list for telephone service installation. The same year, there were approximately 394 mobile phones in use for every 1,000 people.

Ownership of broadcasting is both public and private, but the government and military tend to dominate radio and television networks. There are about six government and military radio networks. The first mainland Asian television station was established in Bangkok in 1955. As of 1999, there were 204 AM and 334 FM radio stations, and 5 television stations. In 2003, there were an estimated 235 radios and 300 television sets for every 1,000 people. The same year, there were 39.8 personal computers for every 1,000 people and 111 of every 1,000 people had access to the Internet. There were 258 secure Internet servers in the country in 2004.

The first daily newspaper, the Siam Daily Advertiser, appeared more than a century ago. In 2002 there were at least 35 daily newspapers published in Bangkok, including seven in Chinese and four in English. The provinces have weekly and semiweekly publications, all in Thai, but no daily papers. Bangkok also has a variety of weekly and monthly periodicals, most appearing in Thai. Among Bangkok's leading daily newspapers (with language of publication and estimated 2002 daily circulation) are: Thai Rath (Thai, 800,000), Naew Na (Thai, 200,000), Matichon Daily News (Thai, 180,000), Diao Siam (Thai, 120,000), Khoa Sod Daily News (Thai, 120,000), Siam Rath (Thai, 120,000), Phaya Crut (Thai, 100,000), Srinakorn Daily News, (Chinese, 80,000), Sing Sian Yit Pao, (Chinese, 70,000), and the Daily Mirror (English, 60,000).

Citizens are said to enjoy constitutionally provided freedom of speech and a free press. However, the law prohibits criticism of the royal family, threats to national security, and insults to Buddhism. Libel laws have caused some media sources to practice self-censorship.

ORGANIZATIONS

Thailand has an extensive cooperative movement. Credit societies are the dominant type of cooperative; consumer cooperatives are the next largest, followed by agricultural marketing and processing cooperatives. Other kinds of cooperatives, mostly formed during and since the 1930s, include colonization and land improvement cooperatives. Trade organizations under the Ministry of Economic Affairs include the Thai Chamber of Commerce, the Board of Trade, and several foreign trade associations. There are many organizations for promoting the interests of workers and business owners of particular industries, such as the Thai Silk Association and the Thai Tapioca Trade Association.

Professional associations promoting research and development include the Agricultural Science Society of Thailand, the Medical Association of Thailand, and Science Society of Thailand. There are a number of ASEAN organizations with a base in Thailand, including the ASEAN Institute for Health Development, ASEAN Institute for Physics, and the ASEAN Solar Energy Network.

Cultural organizations include the Royal Institute (founded 1933); the Thai-Bhara Cultural Lodge (founded 1940), which sponsors studies in the fields of linguistics, philosophy, and religion; and the Siam Society (founded 1904), which issues studies on Thai art, literature, and science. The National Culture Commission was established in 1979. The multinational organization of the World Fellowship of Buddhists is based in Bangkok.

National youth organizations include the Student Federation of Thailand, Junior Chamber, Girl Guides, the National Scout Organization of Thailand, and YMCA/YWCA. There are many sports associations promoting competition for amateur athletes of all ages in variety of pastimes, such as squash, golf, rugby, and football (soccer).

Social action groups include the Asian Coalition for Housing Rights, Asian Forum for Human Rights and Development, and the National Council of Women of Thailand. There is also the Center for the Protection of Children's Rights Foundation and the multinational Committee for Asian Women. There are national chapters of the Red Cross, UNICEF, Habitat for Humanity, and Amnesty International.

TOURISM, TRAVEL, AND RECREATION

Tourism has become a vital industry in Thailand, offering a range of attractions from outdoor activities to museums and cultural events. Most tourists visit Bangkok and its Buddhist temples (wats). Major sports include football (soccer) and baseball. Thai bull, cock, and fish fighting are also popular (though illegal), along with Thai boxing, golf, badminton, and kite fighting. All visitors must have a passport, visa, and proof of sufficient funds for the stay. Precautions are recommended against typhoid, hepatitis, and malaria.

In 2003, about 10,082,000 foreign nationals visited Thailand. There were 320,565 hotel rooms in 2001, with an occupancy rate of 52%. Visitors to Thailand stayed an average of two nights.

In 2004, the US Department of State estimated the daily cost of staying in Bangkok at $182; in Phuket, $253, and in smaller regions, $118.

FAMOUS THAI

Many ancient Thai kings enjoy legendary reputations. Rama Khamheng (the Great), a 13th-century monarch, is traditionally regarded as the inventor of the Thai alphabet; Rama Tibodi I in the 14th century promulgated the first-known Thai laws; Trailok instituted lasting governmental reforms in the 15th century; and Phya Tak in the 18th century rebuilt a war-defeated Thailand. Two great monarchs, Mongkut (r.1851–68) and his son Chulalongkorn (r.1868–1910), became famous for introducing Thailand to the modern world. They are, respectively, the king and his young successor in Margaret Landon's Anna and the King of Siam. Further progress toward modernization was accomplished in by three outstanding premiers: Phibul Songgram (1897–1964), Pridi Banomyong (1900–83), and Sarit Thanarat (1900–63). Prince Wan Waithayakon (1891–1976), foreign minister and Thailand's representative to the UN, played a major role in diplomacy following World War II. Marshal Thanom Kittikachorn (1911–2004) was leader of Thailand from 1963 until October 1973, when political protests compelled his resignation as prime minister. King Bhumibol Adulyadej (b.US, 1927) ascended the throne in 1946.

Prince Akat Damkoeng was the author in 1940 of the first modern novel written in Thailand, Yellow Race, White Race. Modern styles in painting and sculpture are reflected in the work of Chitr Buabusaya and Paitun Muangsomboon (b.1922), and the traditional manner in the art of Apai Saratani and Vichitr Chaosanket.

DEPENDENCIES

Thailand has no territories or colonies.

BIBLIOGRAPHY

Altbach, Philip G. and Toru Umakoshi (eds.). Asian Universities: Historical Perspectives and Contemporary Challenges. Baltimore, Md.: Johns Hopkins University Press, 2004.

Dixon, Chris J. The Thai Economy: Uneven Development and Internationalisation. New York: Routledge, 1999.

Leibo, Steven A. East and Southeast Asia, 2005. 38th ed. Harpers Ferry, W.Va.: Stryker-Post Publications, 2005.

Mulder, Niels. Inside Thai Society: An Interpretation of Everyday Life. 5th ed. Amsterdam: Pepin, 1996.

Muscat, Robert J. Thailand and the United States: Development, Security, and Foreign Aid. New York: Columbia University Press, 1990.

——. The Fifth Tiger: A Study of Thai Development Policy. Helsinki: United Nations University Press, 1994.

Smith, Harold E., Gayla S. Nieminen, and May Kyi Win. Historical Dictionary of Thailand. Lanham, Md.: Scarecrow, 2005.

Summers, Randal W., and Allan M. Hoffman (ed.). Domestic Violence: A Global View. Westport, Conn.: Greenwood Press, 2002.

THAILAND

Kingdom of Thailand

COUNTRY OVERVIEW

LOCATION AND SIZE.

Situated in Southeast Asia, Thailand is adjoined to Laos and Burma (Myanmar) to the north, Cambodia and the Gulf of Thailand to the east, Burma and the Andaman Sea to the west, and Malaysia to the south. Its total area, which is about twice the size of Wyoming, measures 514,000 square kilometers (198,455 square miles). The length of its coastline measures 3,219 kilometers (2,000 miles). Its capital city, Bangkok, is the most populated city in Thailand. Located in the central region, Bangkok is the center of Thailand's economic and political activities. Major cities in the north are Chiang Mai and Chiang Rai, Nakhon Ratchasima, Khon Kaen, Udon Thani, Phitsanulok, Nakhon Sawan, and Ubon Ratchathani. Meanwhile, major cities in the south are Nakhon Si Thammarat, Songkhla, Surat Thani, and Hat Yai.

POPULATION.

The country's population in 2000 stood at 61.2 million, compared to 55.2 million in 1989, according to the CIA World Factbook. The country's population growth rate from 1988 to 1998 has been estimated at an average of 1.05 percent, according to the Asian Economic Survey. The population is expected to increase by 0.93 percent by 2010. The population is predominantly composed of young people, with 70 percent between the ages of 15 and 64, 24 percent below 15 years old, and only 6 percent older than 64 years.

The majority of the population still resides in rural areas. In 2000, the World Bank reported that approximately 40 percent of the country's population, or 25 million Thais, lived in urban areas and estimates that this will increase to 53 percent by 2010. Bangkok hosts about 12 million Thais.

The majority of the Thai population—75 percent— is of the Thai ethnic group, while 14 percent are Chinese and 11 percent are other ethnic groups. Fully 95 percent of the population is Buddhist, while 3.8 percent are Muslims and the remainder represent a variety of religions.

OVERVIEW OF ECONOMY

The Thai economy is one of the most robust in Asia. In the 1960s it was a predominantly agricultural economy largely dependent on its rich produce of crops such as rice, cassava, maize, rubber, and sugar cane, along with its seafood production, primarily of shrimp. Its strategic location and bountiful natural resources has enabled the country to maximize trade opportunities. The 1980s to mid-1990s marked its boom years and its emergence as a diverse, modern, and industrialized economy.

The economy's growth can be attributed to several factors. First, Thailand has pursued a rational approach to industrialization. Prior to its attempt at industrialization, Thailand already had a stable agricultural sector which became the springboard for industrialization. In the 1960s, its first attempt at industrialization was characterized by the strategy of import substitution which centered mainly on food processing. Hence, Thailand used the produce of its agricultural sector to initiate a shift into industrialization. The availability of local laborers, combined with abundant natural produce, enabled the country to increase production and shift to manufacturing or processing products for export purposes. This led to the rapid expansion of the manufacturing sector and a marked increase in exports. This approach enabled Thailand to avoid the usual path taken by newly industrialized economies (NIEs) of pursuing industrialization at the expense of the agricultural sector. The strategy was to gradually build upon existing resources in order to facilitate the development of the economy.

A second important factor was Thailand's diversification of its economy. This is a pervasive trend in the development of the economy, which is rooted in the innate flexibility of the Thai people. This is exemplified by the stages of growth of the industrial sector which began with simple agri-based manufacturing, and steadily progressed to more sophisticated industries through the use of available resources such as rich natural resources and cheap labor. Diversification was also aided by huge inflows of foreign direct investment geared towards a wide range of products, namely electronics, chemicals, property, and processed food. In the 1980s, foreign direct investment totaled US$8 billion, with US$2.5 billion coming from Japan and the rest from Chinese, Korean, and American investors. In fact, 50 percent of the country's industrial output and 20 percent of its industrial workforce are attributable to foreign investors who are attracted by lower manufacturing costs, according to Thailand's Turn.

A third factor in Thailand's growth is government stability. The administration of Prime Minister Prem Tinsulanonda, which lasted from 1980 to 1988, developed a continuity in policies and programs that inspired the confidence of the private sector in both the government and the economy. This translated to a greater willingness to invest in the growing manufacturing industry and support further expansion of export activities.

Fourth, the dynamism of the private sector propelled export production. In 1981, a landmark policy was implemented which facilitated the formation of the Joint Public-Private Consultative Committee on Economic Problems that enabled businesspersons to influence public policy through their associations. This, in turn, led to an increased participation of the private sector in the development of state enterprises. Economic development in the country was largely propelled by the private sector, which invested heavily in industrial growth; the government had a limited role in determining the direction of the economy.

These factors have contributed greatly to the growth of the country's major economic sectors, namely agriculture and fishing, manufacturing and industry, and services, particularly tourism. In 1991, 98.6 percent of all Thai business enterprises were mainly small and medium enterprises, accounting for 90.7 percent and 7.6 percent, respectively. The Ministry of Industry defines small-scale enterprises as those with a maximum of 50 employees with an equity of 10 million baht, while medium-scale enterprises employ 50-200 personnel and have an equity of 10-100 million baht.

The country's inability to produce oil has negatively impacted its growth, particularly during periods of oil crisis such as the world oil crisis between 1970 and 1979. The country's dependence on oil has been reduced with the discovery of its first natural gas field in the Gulf of Thailand in 1981. The country also taps alternative domestic sources of energy such as hydropower, liquefied natural gas, and coal. It is also in the process of studying the use of nuclear power.

At the end of 1990, the country's long-term external debt stood at about US$16 billion. However, annual debt service payments were only equivalent to 10 percent of the total earnings from exports, which means that the debt payments were manageable. The 1997 Asian financial crisis reversed this situation as the combination of US$90.5 billion in debt in 1996-97 and high levels of non-performing loans caused the near collapse of Thai-land's financial sector. The troubles of the financial sector spilled over to the other sectors of the economy which were dependent on the financial sector for credit. Banks had to set aside finances to cover loans which creditors were not able to pay, so they no longer had any money to lend borrowers who were capable of paying. This forced the government to increase its allocation for foreign debt payments to take the pressure away from the financial sector. This resulted in a significant increase in public sector debt, which was only equivalent to 4 percent of GDP in 1996 but rose to 18 percent of GDP by mid-1999.

To alleviate the effects of the crisis, the International Monetary Fund (IMF) gave Thailand a US$17.2 billion assistance package in August 1997. With the help of these funds, reforms in the financial sector were implemented along with the restructuring of the industrial and agricultural sector to increase productivity. Policy reforms to increase accountability and transparency, as well as social reforms to improve education, social services, and human resource development are also being implemented by the government with assistance from the IMF, the Asian Development Bank (ADB), the Overseas Economic Co-Operation and Development (OECD) Fund, and the World Bank.

POLITICS, GOVERNMENT, AND TAXATION

On 24 June 1932, Thailand's political system changed from an absolute monarchy to a constitutional monarchy. The king is the head of state and is very much revered by the Thais. Presently, the monarch is King Bhumibol Adulyadej, who ascended the throne in 1946. King Bhumibol Adulyadej has been specially recognized for bringing the Thai monarchy closer to the people. In 1955, he visited the poorest regions of Thailand in order to see for himself the living conditions of the people. Since then, the king and his family have spent 7 months of every year visiting each of the 76 provinces of Thailand. As a result, the king is very well informed of the distinct needs of each region.

To date, the king has implemented over a thousand projects to improve the living conditions in the remotest rural areas, including the introduction of new crops, water conservation, irrigation, swamp drainage, preservation of national forests, and crop substitution. One of the king's most publicized projects is the Royal Rain-making Project, wherein after years of careful experimentation, 14 different formulae were invented to address the problem of dry spells in Thailand.

The Thai Constitution mandates that the government should be placed under the administrative power of a prime minister, a cabinet, and a bicameral legislature composed of a 253-member appointed Senate and a 500-member, popularly-elected House of Representatives. The prime minister is selected from the majority party in the ruling coalition in the House of Representatives. Since 1932, Thailand has promulgated 16 constitutions, the latest of which was adopted in 1997.

The cabinet is composed of 13 ministries together with the Office of the Prime Minister and the Office of State Universities. Each ministry is led by a minister who is assisted by one or more deputy ministers. In addition, there are ministers holding the portfolio of "Minister Attached to the Prime Minister's Office." These ministers take charge of the sectors assigned to them and assist the government in the formulation and implementation of national programs. The National Economic and Social Development Board (NESDB) is the agency in charge of longer term development planning, which is implemented in 5-year periods. Aside from the NESDB, other important government agencies for economic planning are the Board of Investment (BOI), which provides incentives for investment, the Office of the Technical and Economic Cooperation Department, and the Office of the National Education Commission.

The Ministry of Industry is crucial in assisting the government in all industry and manufacturing-related activities such as formulating policies, licensing of factories, issuing mineral leases, formulating and supervising industrial standards, providing technical assistance to industries, and supervising the Small Industries Finance Office. Meanwhile, the Ministry of Commerce oversees external and internal trade. Specifically, it controls or supervises prices of certain strategic commodities such as rice and provides export promotion services to export companies.

The Thai government believes that the private sector should lead the country in its quest for progress and development. In this endeavor, the government's major contribution to economic growth was to provide economic and social services; provide financial resources for the construction of physical infrastructure like highways, irrigation, and power facilities; and to formulate and offer various incentives and financial assistance to promote private investments, export businesses, and agricultural enterprises.

Since the 1950s, the government followed a clear direction towards private enterprise. International organizations like the World Bank and the United States Agency for International Development as well as the United States have strongly encouraged Thailand towards adopting that strategy.

Presently, the Thai government is at the forefront, alongside the business sector, in implementing a wide range of economic reforms to promote Thailand's economic recovery from the 1997 recession . Improvements have also been made in the implementation of economic and social welfare programs. This effort is guided by the new constitution, which promotes a stronger, more accountable, decentralized, and transparent government.

POLITICAL PARTIES.

As of 1998, Thailand had at least 11 registered political parties, the biggest of which are the Democratic Party (Prachathipat Party) and Thai Nation Party (Chat Thai Party). The other political parties are the Liberal Democratic Party, Mass Party, National Development Party, New Aspiration Party, Phalang Dharma Party, Social Action Party, Solidarity Party, Thai Citizen's Party, and the Thai Rak Thai Party.

Political parties in Thailand serve as the breeding ground for future leaders and bureaucrats. They provide the venue by which those with political ambitions are able to familiarize themselves with the country's democratic structure and processes and obtain a certain measure of political leadership training. However, the political party system in Thailand is still in a state of evolution and can be best described as fragmented, structurally weak, and vulnerable to corruption. The cost of staging a national campaign is very high and the funds needed to finance such an endeavor are generally only available to those in the business world. Hence, businesspeople dominate most of the political parties in Thailand. Moreover, political parties in Thailand are not mass-based, have no distinct ideological differences, and lack full-time, dedicated, and qualified personnel to formulate and implement the party's programs. Since one Thai political party cannot really be differentiated from the other, switching party loyalties is not unusual in Thailand.

REVENUES.

A huge percentage of government revenue comes from taxes which are collected at the national and local level. At the national level, the central government collects an income tax and a profit remittance tax, while the most important indirect tax is the value-added tax (VAT). In September 1997, the government announced an increase in the VAT from 7 percent to 10 percent in order to raise revenue and to meet the conditions of the US$17.2 billion loan extended by the IMF to Thailand. However, businesses making less than US$24,000 per annum were still exempted. The government levies taxes on all personal incomes including income from business, commerce, agriculture, industry, transport, construction, or contracting work. The corporate tax rate is currently 30 percent of net profits for all firms. Other taxes imposed by the central government are customs and excise taxes , and stamp duty . Local governments are authorized to collect different types of taxes such as property and land tax. Tourism and its allied services are the biggest source of revenue of the government, especially in terms of foreign currency earnings.

THE ROLE OF THE MILITARY.

The military has played a large role in Thailand's political history and national development. In less than 3 decades, from 1932 to 1958, Thailand underwent 12 coups d'etat. Since 1958 there have been 6 more coups, half of which were successful in overthrowing the government. Since the transition from an absolute monarchy to a constitutional monarchy in 1932, the country has been led mostly by military leaders.

Against this scenario, it is important to analyze the contribution of military leaders to Thailand's current economic development since they had a hand in crafting most of Thailand's economic strategies. For instance, the rule of Field Marshal Sarit Thanarat after a coup in 1957 laid the foundation for Thailand's economic development. One of the most important contributions of his regime was the formulation of a national economic development policy, the first of its kind, which was implemented beginning in 1961. Numerous technocrats were tapped in the crafting of Thailand's economic strategy for development. His other achievements include the establishment of universities in the north, northeast, and southern regions, the enticement of foreign investors to invest in Thailand by offering incentives such as tax holidays , and hastening the completion of infrastructure projects such as dams, roads, and bridges. Succeeding regimes followed Sarit's example and crafted their respective development strategies after his, a key factor in Thailand's present economic progress.

INFRASTRUCTURE, POWER, AND COMMUNICATIONS

In the late 1980s, Thailand's infrastructure failed to cope with the rapid expansion of the economy. In fact, many experts believe that the country's economy could have grown more were it not for hindrances caused by inadequate infrastructure, a problem that is more pronounced

in the rural areas. Thailand's problem with inadequate transportation infrastructure is so severe that the Bangkok Metropolitan Region has become internationally notorious for its legendary traffic jams. Infrastructure for water, sewerage, and energy are also lagging behind the rate of urbanization and development. Secondary cities and rural areas are suffering because of their inability to attract investors due to poor infrastructure.

To address these problems, the Thai government has formulated a long-term infrastructure plan to meet the demands and requirements of a newly industrialized country. The government has prioritized the improvement of existing infrastructure and construction of new projects to alleviate the problem. Building on the goals of the previous economic plans, the Eighth National Economic Plan (1997-2001) allocated US$7.5 billion for infrastructure development, which is 47 percent more funds than the previous plan. The government also identified priority projects such as expressways, rapid mass transportation, port development, water supply, and telecommunications. At the same time, legal reforms are being instituted to enable the private sector to participate in infrastructure development.

However, the immediate implementation of the projects was stalled due to various reasons, the foremost of which was the onset of the Asian Financial Crisis in July 1997, which caused a serious economic recession. The immediate effect was a lack of adequate funds to continue on-going projects or to start construction of planned projects. Other obstacles were disputes with foreign builders and negotiations with potential operators of toll roads as well as last-minute changes in contract specifications and bureaucratic requirements like land-use permits.

Beginning in 1999 Thailand has slowly recovered from the debilitating effects of the recession. Combining funds from different sources like annual budgets, independent development loans, borrowings, and the private sector, a total of US$78 billion was allotted for infrastructure projects. The government is utilizing different strategies such as the Build-Operate-Transfer (BOT) scheme to fund construction of expressways and Mass Rapid Transfer (MRT) systems in Bangkok, to the installation of more telephone lines and the construction of privately-owned and operated power generating plants.

LAND TRANSPORTATION.

Thailand's road networks cover over 170,000 kilometers (105,638 miles). To help alleviate the traffic in Bangkok, an elevated train system was opened in December 1999. An underground subway system is also under construction and is expected to be operational by 2003. A total of US$700 million was allotted for these mass transportation projects. Originating from Bangkok, Thailand's rail network spans 3,981 kilometers (2,474 miles) and transports people to the major regions, namely Chiang Mai, Nong Khai, Ubon Ratchathani, Padang Besar, and Sungai Kolok. The State Railway of Thailand expressed its plans to spend US$4.2 billion between 1997 and 2001 to improve and expand its rail network.

AIR TRANSPORTATION.

Thailand is working on its goal to become the aviation hub of Southeast Asia. It is expanding its existing international airport to accommodate 36 million people by 2003. At the same time, a second international airport, 30 kilometers east of Bangkok, is currently under construction. Presently, Thailand has a total of 106 airports. Of these, 6 are international airports while 29 are domestic airports, with several more provincial airports in the offing.

WATER TRANSPORTATION.

There are 8 international deep seaports in different parts of Thailand, with the major ports in Bangkok, Laem Chabang, Phuket, and Songkhla. In order to reduce the traffic in the over-utilized main port in Bangkok's Klong Toey district, the government is upgrading and constructing additional ports, particularly in the Eastern Seaboard and southern region, along the Gulf of Thailand and the Andaman Sea.

The importance of the Eastern Seaboard is increasing due to the establishment of industrial parks and export processing zones around the sea port in Laem Chabang. The government foresees that the port areas in the south will grow in importance to equal existing main ports.

COMMUNICATIONS.

As of 1998, there were 5.4 million land lines and 2.3 million mobile phone subscribers in the country. As incorporated in the Telecommunications Master Plan for 1997-2006, Thai authorities have set a goal of increasing the number of telephones per 100 people from 4 in 1993 to 18.2 by 2001. In 1999, the government completed the Rural Long Distance Telephone project and is currently operating a total of 20,732 lines or 47 percent of its target. A number of projects are currently underway, including the Fibre Optic Submarine Cable Network Development and the Telecommunication Satellite Network Development.

As of 1999, Thailand had 204 AM stations, 334 FM stations, and 6 short wave facilities servicing about 13.96 million radios. In addition, 5 television broadcast stations provide service to 15.19 million television sets in all of Thailand as of 1997.

POWER.

In the past, Thailand was heavily dependent on imported crude oil. After the world oil crisis in the 1970s, however, Thailand began to explore indigenous sources of energy and was rewarded with the discovery of a natural gas field in the Gulf of Thailand in 1981. As of 1996, 20 fields are in operation with daily oil production reaching 2,500 barrels per day, and of gas reaching 1,200 million cubic feet per day.

Due to the continued expansion of industries, the future demand for energy has been forecasted to increase by 7 percent in the period between 2002 and 2006. Demand for petroleum will still lead this increase at 49 percent, followed by imported coal at 12.4 percent. Demand for electricity has been forecasted to double from 10,203 megawatts in 1996 to 20,400 megawatts in 2006, according to the Asia Pacific Economic Compendium (1996).

Thailand continues to explore other sources of energy within its territory and from neighboring countries. In addition, it continues to construct different projects to meet its energy requirements. Among these are the Greater Bangkok Area Transmission System, the Yadana-Ratchaburi Gas Pipeline, the Ratchaburi Power Plant, and the Eighth Power Distribution System Improvement and Expansion Plan.

ECONOMIC SECTORS

Thailand's economy has grown steadily by an average of 8 percent for the past decade. There is a wide base for growth, with each sector contributing to the development of the economy. Starting out as an agrarian economy, Thailand's bid for industrialization strengthened its industry sector, while the boom in the tourism industry strengthened the service sector. In the 1990s, manufacturing and tourism are the 2 largest contributors to GDP.

Agriculture has been the traditional backbone of the economy, with Thailand being ranked among the top 5 producers of food in the world. In the 1970s, the country supplied 30 percent to 40 percent of rice in the world market. In the 1990s, it continued to be the leading exporter of rice, tapioca, and frozen shrimp. It is also the world's largest producer of rubber, the demand for which has increased due to the AIDS epidemic, which has increased the demand for condoms. Thailand is also one of the world's biggest suppliers of flowers, particularly orchids, which it exports mainly to Japan and Europe. Despite its output, the agricultural sector is on the decline, and is slowly being overtaken by the industry and service sectors in terms of contribution to GDP.

With the re-orientation of production from import substitution to producing for export, and the drive towards industrialization, the manufacturing industry grew steadily until it exceeded agriculture in terms of contribution to GDP. According to Bank of Thailand statistics reflected in the 2000 Business Monitor International Annual Report, the manufacturing industry accounted for 86.8 percent of the country's total exports in 1999. The country's first step into manufacturing was food processing, effectively building on its strong agricultural sector. Today, it is the world's largest exporter of canned pineapple, with one-third of all the canned pineapple sold in the United States coming from Thailand. It is also Asia's biggest exporter of tuna after Unicord, a local company, purchased Bumble Bee Seafoods, the third largest tuna canner in the United States. It now supplies 20 percent of the world market for canned tuna.

The country's service sector is experiencing steady growth, with the boom in the tourism industry. In 1992, tourism accounted for 10 percent of the GDP, with 600 tourists arriving every hour, or 5,256,000 tourists for the year, spending an average of US$1,000 each, equivalent to about US$5 billion a year. This amount is equal to 50 percent of the country's total exports. In 2000, revenues from tourism were expected to hit 343 billion baht or US$6.86 billion, with a total of 9,438,000 tourists expected to visit the country throughout the year.

Strong local corporations—such as Charoen Pokp-hand, which earns revenue of US$2.5 billion annually; Thai Union Frozen Products, the largest canned seafood exporter; and Boonrawd Brewery—work together with various multinational corporations to energize the manufacturing industry. Forecasts for the year 2000 predicted that multinational corporations which have set up shop in the country—such as Mitsubishi, Isuzu, and Honda for automobiles; Fujitsu, Seagate, IBM, Sony, and Matsushita Electronic for electronics; Heineken and Carlsberg breweries, and Nestle and Kellogg for food processing; and Exxon, Montell, and Bayer for petrochemicals—will expand their operations in the country and pump in more investment.

AGRICULTURE

Traditionally an agrarian economy with rice as its main product, the country's agricultural sector has since expanded to cope with the demands of its newly industrialized state. Thai agriculture has a clear advantage over other newly industrializing economies, namely the large portion of land allocated for cultivation, a climate suited to the growth of a wide variety of crops, and high quality strains of agricultural products.

In 1960, agriculture contributed over 40 percent of the national income. This contribution steadily declined due to the intense and rapid growth of the manufacturing sector. By the end of the 1980s, agriculture merely accounted for 17 percent of GDP, which declined even further to 12 percent until the late 1990s, to below 10 percent in 1999. The same pattern exists in terms of its contribution to exports, which stood at 46.9 percent in 1980 and plummeted to 9 percent by 1998.

However, these figures do not indicate a weakening of the sector's significance to the Thai economy, but more a strengthening of the industry and service sectors. Agriculture still accounts for 4 of the country's top exports— rice, canned fish, frozen or chilled shrimp, and rubber— and continues to serve as the foundation of booming manufacturing ventures such as food processing. Processed food such as canned fruits, vegetables, seafoods, and ready-to-eat meals, also enjoy a healthy domestic market, along with sugar and flour.

The agricultural sector has consistently employed about 50 percent of Thailand's 30 million-strong work-force. In 1993, farm population accounted for about 57 percent of the total workforce. If those indirectly engaged in agribusiness industries were included, the estimate would be even higher. Economists predicted that the 1 to 4 million people left unemployed by the 1997 financial crisis in the late 1990s would be absorbed by the agricultural sector.

FIELD CROPS.

Agricultural production is focused on 7 major crops—namely rice, tapioca, rubber, maize, sug-arcane, mung beans, and tobacco leaves—which are grown mostly for export purposes. Fifty percent of the country's cultivated land is devoted to planting rice; Thailand continues to be the world's top exporter of rice, exporting 6.8 million tons of its total production of 23.3 million tons in 1999, worth 7.1 billion baht. Based on Bank of Thailand statistics, exports of rubber amounted to 2 million tons worth 43.9 billion baht, while maize amounted to 80.7 thousand tons worth 528 million baht, according to Business Monitor International. Crop production is expected to increase as genetic research on plants improves yields and as cultivated areas are expanded. However, falling global prices and adverse weather conditions are likely to reduce farm incomes.

LIVESTOCK.

The second largest component of agriculture is livestock production, which accounted for 1.3 percent of GDP in 1993. The decline in the prices of field crops and the reduced productivity of land have caused farmers to turn to contract farming of broiler chickens, cows, and pigs. A single broiler contract growing project employs about 145 families who earn an equivalent of US$350 monthly, after paying for the bank loans needed to buy broiler houses and equipment. Research to improve egg production and feed conversion has also been successfully undertaken, making Thailand a leading producer and exporter of frozen chicken. The government also helps this sector by facilitating the improvement of beef and dairy production through cross-breeding and artificial insemination using high-grade breeds imported from the United States, Switzerland, Germany, Denmark, and Australia. Thai beef is exported to Singapore and Hong Kong, and the sector is angling to gain entrance to the Japanese market.

FORESTRY.

The wood industry relies on the wide variety of hard and softwood available in the country's forests. Among these are tropical evergreens, hill evergreens, mangroves, and other trees which are processed to produce firewood, stick lac, gum benzoin, rattan, and bamboo. Rattan is then manufactured into furniture, while bamboo is used for furniture and paper. Dyes, tanning bark, and medicinal herbs are also harvested. The growth of the output from forestry fell from 2.6 percent in the period between 1967-71 to 0.25 percent in the 1982-86 period due to the massive depletion of the country's forest resources. The devastation is caused mainly by the destructive practice of slash-and-burn agriculture by villagers as well as illegal logging. Uncontrolled logging resulted in the felling of 1.5 percent of the country's total forest acreage every year. After heavy floods in 1988 washed away entire villages, the government banned logging and conducted reforestation efforts. Currently, 23 percent of the country is covered with forests following legislation in the early 1990s which called for the maintenance of a proper percentage of forestland.

FISHING.

The country's 3,000-kilometer (1,864-mile) coastline produces an average of over 3 million metric tons of marine products annually, which amounts to about US$2 million. Its fishing industry, which is one of the largest in Asia, exports frozen shrimp, tuna, squid, and cuttlefish. There is also an abundance of freshwater fish in rivers, lakes, and streams as well as flooded paddy fields where farmers purposely raise them. The Fisheries Department also promotes freshwater aquaculture by farmers in large ponds. Forty-five freshwater fishery stations have been set up by the government to promote freshwater aquaculture. In 1999, fishery products accounted for 3.6 percent of total exports. However, its total contribution to GDP has diminished due to the exhaustion of resources in Thailand's coastal waters.

INDUSTRY

The country's industry and agriculture sectors were traditionally intertwined. Today, however, industry has eclipsed agriculture in terms of contribution to GDP, contributing 39 percent in 1997. The rapid growth of this sector can be attributed to free market forces, limited government assistance, and the private sector's quick response to shifting market demands. However, the Asian financial crisis from 1997 to 1998 heavily impacted industries and caused the closure of 8,000 businesses. The increasing cost of labor has also led to a departure from labor-intensive ventures. To date, only the manufacturing industry contributes substantially to national income, particularly the 4 sub-sectors of food processing, automobiles, electronics, and petrochemicals.

The initial move into industrialization in the 1960s was characterized by import substitution, which mainly involved the processing of its bountiful agricultural produce. In 1972, a new Industrial Promotion Act signaled the shift in government policy to an export-oriented economy. This new emphasis began the rapid diversification of the industry sector which saw the rise of several industries, including petrochemicals, textiles, transportation equipment, electronics, iron and steel, and minerals.

The manufacturing sector constitutes Thailand's main industry, producing a wide variety of goods such as textiles and garments, plastics, footwear, electronics, integrated circuits, computers and components, automobiles and parts, and cement. Manufacturing facilities are mostly located in Bangkok and on the Eastern Seaboard, which was launched in 1977 as the long-term site for large-scale small, medium, and heavy industries. In 1993, the manufacturing sector employed 10 percent of the entire labor force . By 1998, however, the sector already employed approximately 20 percent of the Thai workforce, who are among the highest paid workers in the country along with those working in the service industry, according to the Ministry of Foreign Affairs Handbook.

The manufacturing sector expanded its contribution to GDP from 16 percent in 1960 to 37 percent in 1993 to 39 percent in 1997. Given that manufactured goods are produced largely for export purposes, its share of export earnings grew steadily from 32 percent in 1980 to 74.7 percent in 1990 to 84.5 percent in 1999. Presently, its top export markets are the United States, Japan, the European Union, Singapore, Malaysia, Hong Kong, Taiwan, and China, with the United States and Japan jointly absorbing 36 percent of the country's exports.

FOOD PROCESSING.

Canned foods constitute the main export earner of this sector, and Thailand is the world's leading exporter of canned pineapple and tuna. Its export growth rate increased by 6.8 percent between 1998 and 1999. This sector has shifted from basic refining to value-adding (increasing the value of a good in the process of production), hence, the biggest growth segments include ready-to-eat meals like canned traditional Thai dishes, processed seafood, and snacks. Though still largely patronized by the domestic market, 2 rice dishes—namely khaolam, a rice dessert baked in bamboo trunks, and krayasart, a sticky rice dessert—are already being sold in China and Japan. Production of ready-to-eat halal food is another avenue to be explored, to tap the regional Islamic market.

The government has thrown its support behind agro-processing by promoting the establishment of industrial estates that are located near prime sources of raw material. Several multinational companies have also established their presence in the country, namely the Heineken and Carlsberg breweries; Nestle, whose 8 plants are producing a wide range of products from ice cream to mineral water; and Kellogg, which uses local rice as raw material for its ready-to-eat cereals.

MOTOR INDUSTRIES AND AUTOMOBILE ASSEMBLY.

The country is currently the regional center for vehicle assembly and the manufacturing of motor parts, and is the second leading manufacturer of pick-up trucks in addition to the long-established motorcycle industry. Between 1991 and 1996, vehicle assembly peaked at 560,000 per year, in addition to 1.5 million units of motorcycles. The financial crisis debilitated this sector in 1997 and 1998, but it managed to rebound and produced 327,233 units of vehicles following a sharp increase in export orders in 1999, along with 725,425 units of motorcycles. Shipments in motor vehicles and parts in 1999 amounted to US$1.6 billion. Among the auto companies who have established factories in the Eastern Seaboard are Ford, GM, Mazda, Honda, and Toyota.

ELECTRONICS.

This sub-sector produces a wide range of products from low-tech consumer goods , such as TV tubes and computer monitors, to advanced microchips. In 1999, total electronic exports amounted to US$21.4 billion. The government has encouraged its growth by offering official investment incentives to foreign investors. Among the multinational corporations that have been attracted by these incentives are Fujitsu, Seagate, IBM, Sony, and Matsushita Electronics, which produces the National Panasonic brand. However, the sector is undermined by lack of skilled scientific and professional workers and heavy reliance on foreign technology.

PETROCHEMICALS.

Natural gas discovered in the Gulf of Thailand is being tapped for the raw materials upon which to develop a globally competitive petrochemical industry. This sub-sector was greatly affected by the financial crisis due to the massive debts that it accumulated during its development in the early 1990s. However, its performance is picking up with an increase of 2.1 percent in output in 1999, due to higher export demands. Foreign investment is expected to fuel its resurgence with Germany's Phenolchemie, Chevron, Bayer, and Montell pumping in fresh investments.

SERVICES

The services sector is Thailand's fastest growing sector, largely fueled by the boom in tourism. In 1997, services accounted for over 49 percent of GDP and employed over 4.1 million, or 31 percent of, Thai workers.

TOURISM.

The beauty of the country attracts millions of tourists annually. Thailand boasts beautiful beaches, cultural attractions such as Buddhist temples, bountiful food, affordable high-quality goods such as textiles, and hospitable people. Beckoned by these attractions, tourists have steadily generated income for the country since 1982, with tourism posting a growth rate of 16 percent per year. In 1994, 6.16 million tourists visited Thailand. In 1998, 7.76 million tourists spent nearly US$8 billion. This was exceeded by the 1999 figure, which posted the arrival of 8.5 million tourists. In 1992, tourism employed 1,693,005 workers (5.1 percent of the total labor force), with 923,822 employed directly and 769,183 employed indirectly. The boom in tourism spurred the growth of related service industries which generated employment. Of the total number of workers in the tourism industry, 37 percent were hired by hotels, 26 percent by restaurants and food shops, 11 percent by leisure and entertainment, and 26 percent by the souvenir industry, travel agencies, and other related enterprises. In recognition of the importance of this industry, the Tourism Authority of Thailand works closely with other agencies to develop tourism resources efficiently by promoting investment in tourist-related facilities.

BUSINESS SERVICES.

The continuous expansion of the Thai economy led to the increase in the need for business services including legal, advertising, employment, and general management. In 1997, legal and accounting firms reported the highest revenue while advertising bore the brunt of the financial crisis. The demand for financial restructuring services including merger, acquisitions, and debt collection remained high in 1998, which led to an increase in the sector's employment. To illustrate, one accounting company expanded its debt restructuring division from 2 to 20 people in 1997. Top international consulting firms have offices in Thailand, including Baker & McKenzie and Tilleke & Gibbins for law; Andersen Consulting and Boston Consulting Group for management consulting; Arthur Andersen and Price Waterhouse for accounting; and J. Walter Thompson and AC Neilsen for advertising and media.

RETAIL.

The retail sector is composed of department stores, hypermarkets, supermarkets, and convenience stores, most of which are local companies. Among the international retailer stores are Carrefour, 7-Eleven, Marks & Spencer, and Makro.

FOOD.

As of 1999, Thailand had 639 international restaurants and 328 local restaurants, and about 15,000 fast food, mid-level family style restaurants, coffee shops, noodle shops, specialty food shops, and delivery shops to fuel the food services sector. It also had 2,350 hotels, 364 resorts, and 784 bungalows which account for higher food sales than restaurants. In 1998, total food sales amounted to US$5.385 million. In 1992, restaurants and food shops employed approximately 440,000 workers. Even though the dollar value of food service sales decreased due to the devaluation of the baht during the 1997 Asian financial crisis, the sector grew by 7 percent based on actual sales.

FINANCIAL SERVICES.

Thailand has 34 commercial banks, of which 13 are domestic and 21 are foreign. Among the foreign banks are Bank of America, Chase Manhattan, and Citibank. Leading local banks include Krung Thai Bank, with 646 local branches and 10 overseas branches; Bangkok Bank PCL, with 526 local branches and 21 overseas branches; and Thai Farmers Bank, with 497 local branches and 12 overseas branches. As a result of the financial crisis, some local banks have been taken over by the government and are in the process of reorganization and eventual privatization . The public financial sector includes banks geared for specific purposes including 1) the Government Savings Bank for small savings deposits; 2) the Bank for Agriculture and Agricultural Cooperatives for farm credit; 3) the Government Housing Bank for middle-and low-income housing mortgages; 4) the Industrial Finance Corporation of Thailand for industrial development projects; and 5) the Export Import bank for importers and exporters. Other financial services include finance companies, mortgage lenders, life and non-life insurance companies, and financial cooperatives.

INTERNATIONAL TRADE

Thailand has a long history of international trade. Beginning in the 15th to 18th centuries, during the reign of the Ayutthaya monarchy, foreign merchants who lived near the kingdom's capital conducted trade with foreigners. The country's first significant trade treaty was

the Bowring Treaty in 1855 with Britain. Shortly after that, it also signed treaties with 14 other countries including the United States, France, Russia, Sweden, Spain, and Japan.

Today, the United States, Japan, and the European Union continue to be its top trading partners, absorbing 52.6 percent of all exports in 1999 and supplying 48.8 percent of total imports in the same period. Its other partners are Hong Kong, China, and the Association of South-East Asian Nations (ASEAN) countries, the most significant of which are Singapore and Malaysia. Other countries apart from those mentioned accounted for 18.4 percent of exports and 21.6 percent of imports in the same period.

Thailand's major exports are rice, tapioca products, cane sugar and molasses, and rubber for agriculture; chemicals, polymers, and plastics for the manufacturing industry; and gypsum, natural gas, and feldspar for the mining industry. Bank of Thailand statistics as reflected in the Asian Economic Survey of 2000 identified the country's major export products as machine parts, circuits, frozen shrimp, prawns, sundry items, computer parts, garments, vehicle parts, and plastic products. On the other hand, its major imports are petroleum, integrated circuit parts, and chemicals.

The balance of trade was consistently negative until 1998, which means that the value of the country's imports was bigger than the value of its exports. The discrepancy was minimal in 1970, with import value exceeding export value by only US$541 million. In 1975, imports exceeded exports by US$1.072 billion, which doubled in 1980 to US$2.709 billion. In 1985, imports still exceeded exports by US$2.21 billion, which had quadrupled by 1990 to US$10.309 billion. In 1995, the balance still stood in favor of imports by US$14.337 billion. In a considerable reversal, imports in 1997 exceeded exports by US$5.319 billion but the following year, exports exceeded imports by US$11.485 billion.

Despite the uneven balance of trade, the Thai economy continued to grow by an average of 6.8 percent in the 1970s, 7.5 percent in the 1980s, and 8 percent in the early 1990s before the Asian financial crisis. This growth can be attributed to 2 factors, namely the boom of the tourism industry and the inflow of foreign direct investment. According to International Historical Statistics, in 1970, the services sector contributed 44.1 percent of GDP, which increased in 1980 to 49.7 percent. Though this contribution fell to 46.9 percent in 1999, it is safe to say that the dollar earnings from the tourism industry generated a substantial amount, enough to offset the trade imbalance.

Foreign direct investment (FDI) is another major factor in the growth of the economy since the mid-1980s. In 1988, FDI infused US$1.25 billion into the economy, partly explaining the 7.5 percent growth despite a US$4.332 billion discrepancy in balance of trade in favor of imports. Foreign direct investment doubled to US$2.5 billion in 1990.

Thailand is a member of several international trade organizations including the ASEAN Free Trade Area (AFTA), the Asia Pacific Economic Cooperation (APEC), and the World Trade Organization (WTO).

MONEY

The Thai economy grew with the formulation of the first 5-year National Economic Development Plan in 1958. During the 1960s, the country grew by an average of 8 percent annually. In the 1970s the fluctuation of commodity prices, a rise in interest rates, and the 150 percent increase in world oil prices slowed the economy, although it continued to grow at the rate of 6.8 percent annually. Political instabilit—including student uprisings in 1973, 2 military coups, and increased communist insurgency— hindered the government in its adjustment of economic plans and structures to meet the challenges of the next decade. Surprisingly however, the economy continued to perform well in the 1980s with a 7.5 percent GNP growth rate. The year 1986 is significant because of the fall of the excess value of imports over exports to a mere US$301 million compared to the previous year's deficit of US$2.121 billion, indicating a substantial growth of the value of Thailand's exports. This can be attributed to economic adjustments launched by the government.

The first half of the 1990s was marked by similar growth until the Asian financial crisis hit the region. In 1996, real GDP growth rate fell sharply from 8.8 percent in 1995 to 5.2 percent and during the period of the crisis between 1997 and 1998, real GDP growth dropped to-0.43 percent and-10.18 percent, respectively, according to the International Financial Statistics Yearbook. The government spent much of the country's foreign reserves to stabilize the value of the baht, causing the further de-valuation of the currency. The crisis led to a temporary increase in poverty levels in the city and unemployment

due to massive lay-offs specifically in the construction and service industries. These unemployed city-dwellers went back to rural areas hoping to find employment, which led to a rise in poverty levels in the south, central, and northeast regions. Thailand's recession also started a domino effect that led to the fall of the economies of its South East Asian neighbors.

There has been a remarkable resurgence in the economy since then, fueled by the US$17.2 billion assistance package given by the World Bank, reforms in the financial sector, and increased foreign investment. For the first time since 1969, the economy posted a positive balance of trade with the value of exports exceeding imports by US$11.485 billion in 1999, according to the International Financial Statistics Yearbook.

The average exchange rate of the Thai baht from 1984 to 1997 was B25 to US$1. However, the baht was devalued by the administration of Prime Minister Prem Tinsulanonda by 8.7 percent in 1981, and again in November 1984 by 14.9 percent, as part of its austerity measures. This devaluation led to the decline in the cost of production, which resulted in increased revenue from exports.

With the onset of the financial crisis, the baht fell from its B25 to US$1 average to B31.36 to US$1 in 1997, and to an all-time low of B41.36 in 1998. The infusion of direct foreign investment in 1998 led to the recovery of the economy and the increase in the value of the baht to B37.81 against the dollar in 1999, which went even higher to B37.349 in January 2000. By 12 October 2000, however, the baht had devalued once more to a 27-month low of B43.27, which threatened to increase inflation . The depreciation was caused by external factors, including weak regional currencies such as the Philippine peso and the Indonesian rupiah, the strong showing of the dollar compared to currencies such as the Euro, and increase in world oil prices which used up the country's surpluses. Internal factors that were identified include weak economic policies and practices and the country's unstable political situation.

The Stock Exchange of Thailand (SET) was established through the passage of the SET Act in May 1974, and began operation on 30 April 1975. The second revision of the SET Act in 1992 produced the Securities and Exchange Act (SEA) which established a Securities and Exchange Commission to serve as the only supervisor of the securities business.

POVERTY AND WEALTH

In Thailand, the incidence of poverty or wealth is dependent on a person's occupation, location of residence or work, and level of educational attainment. From the 1970s until the early 1990s the poor were mostly agricultural workers in the rural areas, particularly in the

north, northeast, or southern regions, whose highest level of education was 6 years of primary schooling. Meanwhile, those working in the manufacturing or service sectors in the major cities or in the central region— specifically in the Bangkok metropolitan region—who completed at least 12 years of formal education, were more likely to be economically well-off. Due to the concentration of economic activities in the capital, such as construction of physical infrastructure and job creation, the regional disparities in income and wealth slowly began to widen. As Thailand slowly shifted from an agrarian economy to an industrialized economy, economic resources were shifted to the industrial sector and huge demand for factory workers created huge differences in wage rates between farmers and factory workers. As the contribution of the agricultural sector to the economy decreased so did the demand for farm workers. In the latter years of the 1980s, 80 percent of the people living below the poverty line worked in the agricultural sector.

Poverty in Thailand is not so much a problem of an increasing number of families being unable to provide for their most basic needs, as it is a problem of the huge difference in income between the upper 30 percent and the rest of the population. Thailand's impressive economic growth in the 1980s and 1990s has improved overall living conditions, but the benefits of this national affluence have not been distributed equitably. Those belonging to the lower 30 percent of the population are

merely surviving while the upper 30 percent are enjoying the fruits of the country's affluence with brand new houses and cars, overseas education for their children, and increased savings for emergencies. Despite the fact that more and more Thai families are climbing out of the poverty pit, their earning capacity remains low compared to that of the upper 30 percent.

The government has addressed the increasing incidence of poverty in the different national development plans that are formulated every 5 years. From the second to the seventh National Economic Development Plan, the government formulated different strategies in order to achieve a fairer distribution of income and social services, to create more employment opportunities in the rural areas, to assist parents in their children's education, and to provide credit facilities for small-time business ventures.

Before the Asian financial crisis hit Thailand in 1997, government efforts to alleviate poverty were slowly gaining ground with poverty levels falling from 33 percent in 1988 to 11.4 percent in 1996, according to the World Bank. However, the income distribution remained inequitable with the top 20 percent earning 12.2 times more than the bottom 20 percent in 1988. The disparity

worsened further in 1993 with the top 20 percent earning 15.8 times more than the lowest 20 percent of the population. Average income in the most impoverished region in the northeast was 11.9 times lower compared to Bangkok in 1994. Consequently, rural workers tried to find work in the urban areas, especially in the Bangkok metropolitan area, causing the proliferation of slum areas in the urban cities.

In July 1997, as the Asian financial crisis ravaged the Thai economy, hundreds of workers in the construction and service industries in Bangkok were laid off. These newly unemployed workers moved back to the rural areas to find work in the agricultural sector which was performing strongly in those times. This migration caused the incidence of poverty to increase in the agricultural regions because not all of the unemployed could be absorbed in the agricultural sector. The northeast region experienced the largest increase in poverty during this period, rising from 19.4 percent in 1996 to 30.8 percent in 1999. Overall poverty incidence in Thailand rose from 11.4 percent in 1996 to 13 percent in 1998 as an additional 1.1 million people fell below the poverty line.

Poverty in Thailand can be attributed to several factors. First is the concentration of economic activities in Bangkok and a number of other urban areas. Investment, goods and services, government programs, and well-paying jobs are still largely concentrated in the capital and nearby urban areas despite government efforts to decentralize economic development. The concentration of resources and investment in Bangkok is evidenced by the fact that it contributes over 50 percent of the country's GDP despite hosting only about 10 percent of the population. In contrast, other regions, especially rural areas, suffer from inadequate investment and employment opportunities.

Another reason stems from the failure of the Thai government to provide social safety nets amid the country's rapid growth and industrialization. The government over-prioritized the implementation of financial and industrial reforms and neglected to formulate and implement a comprehensive social service program to protect the most unprepared sectors from the ill effects of rapid industrialization. Moreover, experts have expressed that, had Thai authorities given the same attention to the social sector, it might have even surpassed its current development and would have ensured its future development with a steady source of well-educated and multi-skilled labor as it shifts to technologically sophisticated industries.

A third problem is the weak educational system in the country. Inferior and inadequate education is the root of the growing income gap between city dwellers and villagers. As poverty in the rural areas worsened, many rural folk could not afford to send their children beyond the 6 years of compulsory schooling, making them unqualified for the higher paying jobs in the manufacturing and service sectors. As a consequence, these families were trapped in the vicious cycle of poverty where living conditions of the succeeding generations do not improve due to lack of education.

Another problem is the failure of the government to implement agricultural land reform policies. This failure has resulted in insecure land ownership and increasing tenancy, or production on rented land. As the population increased, people in the rural areas encroached into the forest areas to settle and plant. After several years of residence in these areas, they claim illegal ownership of the land which results in periodic conflicts with government authorities. Due to the government's refusal to issue land titles to legalize the ownership of the land to the farmers who are tilling it, rural workers lack the proper legal documents to secure agricultural support such as credit facilities and technical support and have no security of ownership over the land. This leads to low productivity from the land. Another problem is the increase in the number of farm tenants who till other peoples' land because they either have no land of their own or because they had to sell their own land to pay off accumulated debts.

In 2000, the World Bank reported that Thailand has not fully recovered from its economic recession in 1997. The most recent data revealed that the number of poor increased from 11.4 percent in 1996 to 15.9 percent in 1999. Just like in the past, Bangkok remains affluent while other regions suffer. According to the World Bank's country report for 2000, poverty incidence in 1999 increased from 5.8 percent to 8.8 percent at the outskirts of the urban areas and 14.9 percent to 21.5 percent in the rural areas. At the same time, Thailand continues to suffer from unequal income distribution with the richest 30 percent accounting for some 80 percent of the aggregate national income while the other 70 percent account for roughly 20 percent of the aggregate national income.

According to the World Bank, during the 1990s the Thai government became more aggressive in addressing the root problems of poverty and the ever-widening income disparity. In 1993, the Ministry of Interior launched the Poverty Alleviation project which provides interest-free loans to poor rural households who want to engage in micro-enterprise. Meanwhile, the Ministry of Education is implementing the Educational Loans Program, which provides loans to students from low-income households to encourage them to continue their studies beyond the 6 years of compulsory schooling. The Thai government has likewise launched programs to create jobs in the rural areas by hiring villagers for the construction of rural infrastructure, such as in the case of the Tambon Development Program.

WORKING CONDITIONS

In 1999, more than 50 percent of the 362,683 establishments in Thailand were located in Bangkok and nearby provinces. Based on 1999 labor statistics, Thai-land's total labor force was 8,134,644, with males (4,253,327) edging out females (3,881,317). About 4.4 million are working in the informal sector —which involves domestic work, traditional handicraft production, and manufacturing of export goods—and small-scale enterprises with less than 10 workers.

During the 1997 recession, it was estimated that about 8,000 businesses closed down while those that continued to operate had to lay off staff, reduce wages, and cut bonuses in order to stay afloat. Women were the first to be laid off in most of the industries except in printing and advertising, retail and wholesale, and furniture and wood products.

The unemployment rate fluctuated from 2.2 percent in February 1997 to 4.6 percent in February 1998 and 5.2 percent in February 1999 before dropping to 4.3 percent in February 2000. In the first 2 quarters of 1999, the total number of unemployed persons peaked at about 1.7 million. The recession has caused real wages to fall, with agriculture being the hardest hit sector. Between August 1997 and August 1999, overall real wages fell by 6.1 percent, with real wages falling by 15 percent in agriculture, 8 percent in manufacturing, and 7 percent in construction.

LABOR UNIONS AND ISSUES.

In 1999, Thailand had a total of 1,087 private enterprise labor unions, 44 state enterprise labor unions, 19 labor union federations, 8 labor union councils, 226 employer associations, 3 employer association federations, and 10 employer councils, according to the Department of Labor Protection and Welfare. Membership in these voluntary organizations may vary from 250 to 8,000 workers. In specific industries such as textile, doll, and artificial flower making, it can be expected that the majority of the union members will be female. Female union leaders, however, are a rarity in Thailand.

One of the effects of the recession in 1997 was a marked increase in labor disputes compared to figures in the past 17 years. Approximately 80 percent of these cases involved the collection of severance pay.

Different government agencies, led by the Ministry of Labor and Social Welfare, ensure that working conditions, especially in the factories, conform to legally-established standards. However, despite periodic inspections, working conditions in the factories still need improvement. One study reports that over 20,000 Thai workers suffer occupational afflictions every year. In 1993, the Committee for Workers' Health and Safety was established after a tragic blaze that killed 188 Kader workers.

In general, Thai workers complain about low pay, excessive working hours, and inadequate medical benefits. The textile industry has been specifically cited in many studies as having some of the most dismal working conditions characterized by deafening noise, poor lighting, inadequate medical facilities, and improper ventilation. Each year about 30 percent of the industry's female workers suffer from byssinosis or "cotton sickness" from cotton dust particles. Meanwhile, women in other industries likewise suffer from other occupational hazards.

Based on 1998 labor statistics, of the total 186,498 cases covered by the workers' compensation fund, 67.8 percent involved temporary disability requiring less than 3 days of leave, 29.7 percent involved temporary disability requiring more than 3 days of leave, 2 percent involved permanent partial disability, while 0.4 percent involved death.

Thailand's 1997 constitution mandates equal rights and protection for men and women. However, the results of various surveys reveal that there is still some discrimination against Thai women in terms of professional advancement and wages. Most employers in the private sector hire women only when there is a difference in wage rates. Commonly, firms would rather not hire women or promote them to more important jobs because of traditional attitudes against women working outside the home. Likewise, women are not prioritized for skills training and upgrading since it is unlikely that they will be promoted to higher positions anyway. Women are commonly employed in labor-intensive industries, service and entertainment jobs, and the informal sector.

One of the negative consequences of Thailand's tourism industry is the prostitution of its women and children, especially those who have no formal schooling or only finished the first 6 years of schooling. The law prohibits women under 18 from working in nightclubs, dance halls, schools for dancing, bath and massage houses, and hotels, however, there are not enough government personnel to conduct inspections.

Thailand has been severely criticized by the international community for the proliferation of child domestic workers in its factories and brothels, or houses of prostitution. Child labor involves not only Thai children but also children of migrant workers of neighboring countries. Determining the exact number of child laborers in Thailand is difficult since parents or companies do not want to cooperate with authorities for fear of prosecution or loss of income. Different agencies have conflicting estimates of number of prostituted children in Thailand. The estimates range from 40,000 (1997) by the Thai government, to 200,000 (1997) by the international organization End Child Prostitution, and 400,000 (1998) by the BBC News. Based on the provisions of the Labor Protection Act (1998), persons between the ages of 15 to 18 can only work in non-hazardous jobs and must secure permission from the Department of Labor. Moreover, they cannot work at night or during holidays.

In the mid-1990s, only 40 percent of the Thai labor force had completed secondary or post-secondary education. Enrollment in secondary education is slowly increasing, although it is still low compared to other countries in the region. The gross enrollment ratio of formal secondary education increased from 64.8 percent in 1997 to 70.6 percent in 1999. The New Education Act of 1999, as provided for in the 1997 constitution, has mandated the extension of compulsory schooling to 9 years from the current term of 6 years and the implementation of a 12-year free education program by 2004. Moreover, the act has reduced the power of the central ministry in favor of new school districts within the next 3 years.

In its early years of development, Thailand placed too much priority on developing the primary level of education to the detriment of the quality of secondary and tertiary education. As a consequence, Thailand lagged behind other countries in terms of research and development in science and technology, which meant that its workforce was ill-equipped to handle the emerging opportunities in high technology industries. As a result, the companies that were engaged in these industries chose to set up the center of their operations in other Asian countries. It was only after the 1997 financial crisis that Thailand started paying attention to the improvement of its educational system.

Over the years, the Thai government has formulated different strategies to improve the skill level of its work-force (World Bank, 2000). Among these programs are the Vocational Training Promotion Act (1994), the Training Tax Exemption Decree (1995), and the Skills Development Fund (1997), which grants low-interest short-term loans for approved training courses that would provide skills certification.

COUNTRY HISTORY AND ECONOMIC DEVELOPMENT

1300s TO 1500s. Thailand's very first kingdom, Sukhothai, is established. It is remembered for its contribution to Thailand's art, architecture, and politics.

1378. King Borommaracha I of Ayutthaya conquers Sukhothai's frontier city of Chakangrao. The Kingdom of Ayutthaya becomes the dominant power in the Chao Phraya Basin, site of the present capital, Bangkok. This period, which ends in 1767, marks Thailand's earliest achievements in the area of international trade.

1767-82. General Phraya Taksin, former governor of Tak, defeats the Burmese invaders that destroyed the Ayutthaya kingdom and establishes his kingdom at Thon Buri, across the river from what is presently Bangkok.

1782-1809. Rama I, ancestor of the present monarch, establishes Bangkok as the capital of Thailand and rebuilds the Thai state. Some of Thailand's greatest structures are built during King Rama I's reign, including the Grand Palace and the Temple of the Emerald Buddha.

1821-68. The Thai Kingdom faces the challenge of avoiding Western imperialism during the consecutive reigns of the monarchs Rama II and his 2 sons, Rama III and Rama IV. Under the reign of King Rama IV,

Thailand signs a significant trade treaty with Britain in 1855 called the Bowring Treaty which paves the way for greater Thai presence in the world market.

1868-1910. Under King Chulalongkorn's reign, Thai-land's communication system is modernized with the introduction of post and telegraph services. Mass transportation is also introduced with the construction of a railway network. Under his reign, a more centralized and bureaucratic political structure is established, the slave system is abolished, and Thailand becomes more outward looking.

1910-32. The reigns of Rama VI and VIII are marked by their contributions to Thailand's educational system. In 1917, Thailand's first university, Chulalongkorn University, is founded. In 1921, Rama VI issues a law on compulsory primary education. Upon his brother's death, Rama VIII accedes the throne. He works on establishing Thailand in the international community.

1932. Thailand becomes a constitutional monarchy after a bloodless coup d'etat on 24 June. A formal constitution is promulgated and a National Assembly is established with the monarch as Head of State. In the same year, the first formal comprehensive education plan is implemented.

1942. The Bank of Thailand Act establishes the country's central bank. The Bank of Thailand holds the main accounts of the Thai government including those of government enterprises.

1946. On 9 June, King Bhumibol Adulyadej ascends to the throne. In the same year, Thailand becomes a member of the United Nations.

1949. Thailand becomes a member of the World Bank.

1955. King Bhumibol Adulyadej becomes the first Thai ruler to travel to the poorest provinces of Thailand, in the northeast region, to check for himself the living conditions of the people. This begins the implementation of more than a thousand social projects.

1957. The premiership transfers from Field Marshal Pibul to Field Marshal Sarit Thanarat. The policies of his administration are focused on economic development and national security. Under his administration, the first national economic development plan is formulated.

1959. Thailand's Board of Investment is established. Its main tasks are to promote investment of both foreign and local capital in the private sector.

1962. The automobile industry is established as part of the government's import substitution policy.

1967. Through the primary initiative of Thailand, the Association of South-East Asian Nations (ASEAN) is established in accordance with the Bangkok Declaration.

1972. In December, Field Marshall Thanom Kittikachorn announces a new interim constitution that provides for a totally appointed legislative assembly, two-thirds of the members of which would be drawn from the military and police.

1973. In May and June, students and workers rally in the streets to demand a more democratic constitution and genuine parliamentary elections. On 14 October the military government of Field Marshal Thanom Kittikachorn and Field Marshal Prapass Charusathien is overthrown by student-led mass demonstrations which culminate in shoot-outs with almost 100 people killed.

1974. The Stock Exchange of Thailand is established and placed under the supervision of the Ministry of Finance and the Bank of Thailand.

1975. The pullout of 27,000 United States military personnel based in Thailand as part of the Vietnam War effort begins in March and is completed in mid-1976.

1976. A bloody coup d'etat is staged at the Thammasat University on 6 October.

1977. Another violent coup d'etat brings to an end the 1-year civilian regime of Thanin Kraivichien. General Kriengsak Chamanand becomes the prime minister. Under his administration, Thailand achieves some kind of political stability, thereby attracting foreign investors who establish businesses in the country.

1978. A new constitution is promulgated in December.

1980. In February, the government's decision to increase the prices of oil, gas, and electricity provokes opposition from elected politicians and demonstrations by students and workers, reminiscent of the 1973 demonstrations. As opposition grows, Prime Minister Kriangsak resigns and is replaced in March by General Prem Tinsulanonda.

1984. The Thai baht is devalued after much pressure from the International Monetary Fund and as part of the government's austerity measures.

1987. The manufacturing sector surpasses the performance of the agricultural sector in exports by a wide margin, marking the beginning of Thailand's industry-led economic development.

1989. Thailand becomes a founding member of the Asia Pacific Economic Cooperation (APEC).

1991. In February, a coup d'etat establishes yet another military government led by General Suchinda Kraprayoon.

1992. The Office of the Securities and Exchange Commission is established to closely monitor and supervise the operations of Thailand's stock exchange.

1995. Thailand joins the World Trade Organization as one of its founding members.

1997. A financial crisis hits the East Asian region, causing the Thai economy to nosedive with GDP growth falling to-0.14 percent from the previous year's 5.52 percent.

1998. Thailand's economy makes an impressive recovery. For the first time, the country registers a positive trade balance caused by an influx of foreign direct investment.

2000. National elections are conducted and culminate in the election of Thaksin Shinawatra, a successful Thai businessman and leader of the Thai Rak Thai Party.

FUTURE TRENDS

The success of the country's economic programs rely on the effective implementation of reforms that the government is presently putting in place after the financial crisis revealed the weaknesses and gaps in Thai-land's economy. The Thai economy is poised for greater involvement in heavy industries, including automobile assembly, petrochemicals, electronics, and a more diversified food processing sector focused on value-added products such as ready-to-eat meals and canned foods. The economy has rebounded from the Asian financial crisis of 1997-98, although the World Bank believes that it has yet to fully recover. Challenges facing the economy include weak infrastructure, labor skills that do not match the needs of an increasingly industrialized economy, and the need to re-organize the financial sector to ensure that loans are paid in order to avoid a crisis similar to that of 1997.

Thailand has greatly benefitted from the US$17.2 billion World Bank assistance package in terms of recovering from the crisis. However, due credit must also be given to the strong inflow of foreign direct investment and the robust performance of the tourism industry that enabled the economy to rebound and pose the first positive balance of trade since the 1960s.

Efforts at decentralizing political power to local governments and communities must be stepped up in order to ensure that the rest of the country progresses along with Bangkok. Another important factor is the development of physical infrastructure in the rest of the country to promote the growth of rural communities and increase their contribution to Thailand's economic development. To achieve this, the government's proposed strategy to actively partner with non-government organizations in assisting rural communities must be implemented effectively since using this approach would also ease the disparity in income among the regions and within the different economic classes. Furthermore, the government must actively pursue the stamping out of corruption in order to bring about an even higher rate of economic growth.

Among the other concerns that government must address in the years ahead is the pending maturation of HIV-infected citizens into full-blown AIDS carriers. As of 1999, 700,000 Thai people are infected with HIV. The World Bank predicted that in the year 2000, 55,000 Thais will have developed AIDS and 29,000 more will have become infected with HIV. This will negatively affect the productivity of the country's labor force since those who are afflicted with the disease are mostly women in their prime productive years.

Thailand's industrialization has taken a toll on its environment, as its resources were depleted of raw materials that were needed to support the growing industries. Having realized the impact of environmental degradation, the government is stepping up efforts to rehabilitate its denuded forests and heavily polluted and over-fished coastal resources. In agriculture, research and technology has produced strains of crops that are high yielding and suitable to rotation which enables the land to recover from the effects of monoculture (the cultivation of a single type of crop). However, the continuous use of pesticides and herbicides still inflict considerable environmental damage.

DEPENDENCIES

Thailand has no territories or colonies.

BIBLIOGRAPHY

Asian Development Bank. Asian Development Outlook 2000. New York: Oxford University Press, 2000.

Bank of Thailand. Inflation Report. Bangkok, October 2000.

Barlow, Colin. Institutions and Economic Change in Southeast Asia. Edward Elgar Publications Inc., 1999.

Bunbongkarn, Suchit. State of the Nation: Thailand. Singapore: Institute of Southeast Asian Nations, 1996.

Business Monitor International Ltd. Thailand 2000. BMI, 2000.

Chavalpait, Orothai. Asian Approach to Resource Conservation and Environmental Protection. Tokyo: Asian Productivity Organization, 2000.

Chew, Victor T. Southeast Asian Tax Handbook. International Bureau for Fiscal Documentation, 1996.

Cumming-Bruce, Nick. "Thailand, Asian Economic Survey." Asian Wall Street Journal. 23 October 2000.

Dhiravegin, Likhit. Democracy in Thailand. Bangkok, 1994.

Harrison, Matthew. Asia-Pacific Securities Markets. Hong Kong: Financial Times, 1997.

House, Maurice W. Thailand Market Development Reports: HRI Food Services Sector Report. Global Agriculture Information Network, 1999.

International Monetary Fund. International Financial Statistics Yearbook. New York: IMF, 1999.

Kingdom of Thailand. Thailand in the 1990s. Bangkok: National Identity Board Office of the Prime Minister, 1995.

Komin, Suntaree. "A Social Analysis of the Environmental Problems in Thailand." In Asia's Environmental Crisis, edited by Michael C. Howard. Oxford: Westview Press, 1993.

Kulich, Elliot, and Dick Wilson. Thailand's Turn: Profile of a New Dragon. London: Westmillan Press, 1992.

National Economic and Social Development Board of Thailand. Asia-Pacific Economic Compendium. Global Projects Group, 1996.

Satyasivaraman. "Farmers Back in Business." Manila Chronicle. 3 January 1998.

Sri-ngam, Sri. "Thailand." In Rural Poverty Alleviation in Asia and the Pacific. Tokyo: Asian Productivity Organization, 1999.

U.S. Central Intelligence Agency. World Factbook 2000. <http:// www.odci.gov/cia/publications/factbook/index.html>. Accessed August 2001.

World Bank. Thailand Country Dialogue Monitor. <http://www .worldbank.org/eap>. Accessed April 2001.

—Maria Cecilia T. Ubarra

CAPITAL:

Bangkok.

MONETARY UNIT:

Thai baht (B). One baht equals 100 satangs. There are notes of 50 satang and 1, 5, 10, 20, 50, 60, 100, 500, and 1,000 baht, and coins of 1, 5, 10, 25, and 50 satangs and 1, 5, and 10 baht.

CHIEF EXPORTS:

Computers and parts, textiles, rice.

CHIEF IMPORTS:

Capital goods, intermediate goods and raw materials, consumer goods, fuels.

GROSS DOMESTIC PRODUCT:

US$388.7 billion (purchasing power parity, 1999 est.).

BALANCE OF TRADE:

Exports: US$58.5 billion (f.o.b., 1999). Imports: US$45 billion (f.o.b., 1999). [ International Financial Statistics 1999 reports 1998 exports of US$54.46 billion and imports of US$42.97 billion.]

Thailand

Compiled from the November 2006 Background Note and supplemented with additional information from the State Department and the editors of this volume. See the introduction to this set for explanatory notes.

Official Name:
Kingdom of Thailand

PROFILE

PEOPLE

HISTORY

GOVERNMENT AND POLITICAL CONDITIONS

ECONOMY

FOREIGN RELATIONS

U.S.-THAI RELATIONS

TRAVEL

PROFILE

Geography

Area: 513,115 sq. km. (198,114 sq. mi.); equivalent to the size of France, or slightly smaller than Texas.

Cities: Capital—Bangkok (population 9,668,854); Nakhon Ratchasima (pop. 437,386 for Muang district and 2,565,685 for the whole province), Chiang Mai (pop. 247,672 for Muang district and 1,595,855 for the whole province).

Terrain: Densely populated central plain; northeastern plateau; mountain range in the west; southern isthmus joins the land mass with Malaysia.

Climate: Tropical monsoon.

People

Nationality: Noun and adjective—Thai.

Population: (2005) 62.4 million.

Labor force: (2005) 36.13 million.

Annual population growth rate: (2006 est.) 0.68%.

Ethnic groups: Thai 89%, other 11%.

Religions: Buddhist 94-95%, Muslim 4-5%, Christian, Hindu, Brahmin, other.

Languages: Thai (official language); English is the second language of the elite; regional dialects.

Education: Years compulsory—12. Literacy—94.9% male, 90.5% female.

Health: (2006 est.) Infant mortality rate—19.5/1,000. Life expectancy—68 years male, 75 years female.

Government

Type: Thailand remains a constitutional monarchy under an interim constitution. Prime Minister, Cabinet, and National Legislative Assembly were appointed by the leaders of a September 19, 2006 coup d’etat. Military leaders constitute a Council for National Security.

Constitution: Thailand currently operates under an interim constitution issued by leaders of the September 19, 2006 military coup d’etat. According to the interim constitution, a new constitution will be written and ratified within approximately one year of the coup to replace the constitution promulgated on October 11, 1997.

Independence: Never colonized; traditional founding date 1238.

Government branches: Executive—King (chief of state), Prime Minister (head of government). Legislative—National Assembly (unicameral, appointed by the military leadership). Judicial—composed of the Constitutional Tribunal, the Courts of Justice, and the Administrative Courts.

Political subdivisions: 76 provinces, including Bangkok municipality, subdivided into 796 districts, 81 subdistricts, 7,255 tambon administration, and 74,435 villages.

Political parties: Multi-party system; Communist Party is prohibited.

Suffrage: Universal and compulsory at 18 years of age.

Economy

GDP: (2005) $177.6 billion.

Annual GDP growth rate: (2005) 4.5%.

Per capita income: (2004) $2,742.

Unemployment rate: (2005) 1.8% of total labor force.

Natural resources: Tin, rubber, natural gas, tungsten, tantalum, timber, lead, fish, gypsum, lignite, fluo-rite.

Agriculture: (8.8% of GDP) Products—rice, tapioca, rubber, corn, sugarcane, coconuts, soybeans.

Industry: Types—tourism, textiles, garments, agricultural processing, cement, integrated circuits, jewelry, electronics, and auto assembly.

Trade: (2005) Merchandise exports—$109.211 billion: textiles and footwear, fishery products, computers and parts, electronics, electrical appliances, jewelry, rice, tapioca products, integrated circuits, rubber, automobiles. Major markets—ASEAN, U.S., EU, Japan, China, and Hong Kong. Merchandise imports—$117.788 billion: machinery and parts, petroleum, iron and steel, chemicals, vehicles and parts, jewelry, fish preparations, electrical appliances, fertilizers and pesticides. Major suppliers—Japan, ASEAN, Middle East, EU, China, and U.S.

PEOPLE

Thailand’s population is relatively homogeneous. More than 85% speak a dialect of Thai and share a common culture. This core population includes the central Thai (33.7% of the population, including Bangkok), Northeastern Thai (34.2%), northern Thai (18.8%), and southern Thai (13.3%).

The language of the central Thai population is the language taught in schools and used in government. Several other small Thai-speaking groups include the Shan, Lue, and Phutai.

Up to 12% of Thai are of significant Chinese heritage, but the Sino-Thai community is the best integrated in Southeast Asia. Malay-speaking Muslims of the south comprise another significant minority group (2.3%). Other groups include the Khmer; the Mon, who are substantially assimilated with the Thai; and the Vietnamese. Smaller mountain-dwelling tribes, such as the Hmong and Mein, as well as the Karen, number about 788,024.

The population is mostly rural, concentrated in the rice-growing areas of the central, northeastern, and northern regions. However, as Thailand continues to industrialize, its urban population—31.6% of total population, principally in the Bangkok area—is growing.

Thailand’s highly successful government-sponsored family planning program has resulted in a dramatic decline in population growth from 3.1% in 1960 to less than 1% today. Life expectancy also has risen, a positive reflection of Thailand’s efforts at public health education. However, the AIDS epidemic has had a major impact on the Thai population. Today, over 600,000 Thais live with HIV or AIDS—approximately 1.5% of the adult population. Each year until at least 2006, 30-50,000 Thais will die from AIDS-related causes. Ninety percent of them will be aged 20-49, the most productive sector of the workforce. The situation could have been worse; an aggressive public education campaign in the early 1990s reduced the number of new HIV infections from over 100,000 annually. The constitution mandates 12 years of free education, however, this is not provided universally. Education accounts for 16.6% of total government expenditures.

Theravada Buddhism is the official religion of Thailand and is the religion of about 95% of its people. The government permits religious diversity, and other major religions are represented. Spirit worship and animism are widely practiced.

HISTORY

Southeast Asia has been inhabited for more than half a million years. Recent archaeological studies suggest that by 4000 BC, communities in what is now Thailand had emerged as centers of early bronze metallurgy. This development, along with the cultivation of wet rice, provided the impetus for social and political organization. Research suggests that these innovations may actually have been transmitted from there to the rest of Asia, including to China.

The Thai are related linguistically to Tai groups originating in southern China. Migrations from southern China to Southeast Asia may have occurred in the 6th and 7th centuries. Malay, Mon, and Khmer civilizations flourished in the region prior to the arrival of the ethnic Tai.

Thais date the founding of their nation to the 13th century. According to tradition, in 1238, Thai chieftains overthrew their Khmer overlords at Sukhothai and established a Thai kingdom. After its decline, a new Thai kingdom emerged in 1350 on the Chao Praya River. At the same time, there was an equally important Tai kingdom of Lanna, centered in Chiang Mai, which rivaled Sukhothai and Ayutthaya for centuries, and which defines northern Thai identity to this day.

The first ruler of the Kingdom of Ayutthaya, King Rama Thibodi, made two important contributions to Thai history: the establishment and promotion of Theravada Buddhism as the official religion—to differentiate his kingdom from the neighboring Hindu kingdom of Angkor—and the compilation of the Dharmashastra, a legal code based on Hindu sources and traditional Thai custom. The Dharmashastra remained a tool of Thai law until late in the 19th century. Beginning with the Portuguese in the 16th century, Ayutthaya had some contact with the West, but until the 1800s, its relations with neighboring kingdoms and principalities, as well as with China, were of primary importance.

After more than 400 years of power, in 1767, the Kingdom of Ayutthaya was brought down by invading Burmese armies and its capital burned. After a single-reign capital established at Thonburi by Taksin, a new capital city was founded in 1782, across the Chao Phraya at the site of present-day Bangkok, by the founder of the Chakri dynasty. The first Chakri king was crowned Rama I. Rama’s heirs became increasingly concerned with the threat of European colonialism after British victories in neighboring Burma in 1826.

The first Thai recognition of Western power in the region was the Treaty of Amity and Commerce with the United Kingdom in 1826. In 1833, the United States began diplomatic exchanges with Siam, as Thailand was called until 1938. However, it was during the later reigns of Rama IV (or King Mongkut, 1851-68), and his son Rama V (King Chulalongkorn (1868-1910), that Thailand established firm rapprochement with Western powers. The Thais believe that the diplomatic skills of these monarchs, combined with the modernizing reforms of the Thai Government, made Siam the only country in South and Southeast Asia to avoid European colonization.

In 1932, a bloodless coup transformed the Government of Thailand from an absolute to a constitutional monarchy. King Prajadhipok (Rama VII) initially accepted this change but later surrendered the kingship to his 10-year-old nephew. Upon his abdication, King Prajadhipok said that the obligation of a ruler was to reign for the good of the whole people, not for a select few. Although nominally a constitutional monarchy since 1932, Thailand was ruled by a series of military governments interspersed with brief periods of democracy. From 1992 to 2006, Thailand was a functioning democracy with constitutional changes of government.

As with the rest of Southeast Asia, Thailand was occupied by the Japanese during the Second World War. Since Japan’s defeat in 1945, Thailand has had very close relations with the United States. Threatened by communist revolutions in neighboring countries such as Vietnam, Cambodia, and Laos, Thailand actively sought U.S. assistance to contain communist expansion in the region. Recently, Thailand also has been an active member in multilateral organizations like the Association of Southeast Asian Nations (ASEAN) and the Asia-Pacific Economic Cooperation (APEC) forum.

GOVERNMENT AND POLITICAL CONDITIONS

The King has little direct power under the constitution but is a symbol of national identity and unity. King Bhumibol—who has been on the throne since 1946—commands enormous popular respect and moral authority, which he has used on occasion to resolve political crises that have threatened national stability.

Thailand’s legal system blends principles of traditional Thai and Western laws. Thailand currently operates under an interim constitution put in place by leaders of the September 19, 2006 coup. Under the 1997 constitution, the Constitutional Court is the

highest court of appeals, though its jurisdiction is limited to clearly defined constitutional issues. Its members are nominated by the Senate and appointed by the King. The Courts of Justice have jurisdiction over criminal and civil cases and are organized in three tiers: Courts of First Instance, the Court of Appeals, and the Supreme Court of Justice. Administrative courts have jurisdiction over suits between private parties and the government, and cases in which one government entity is suing another. Under the interim constitution, the court system is largely unchanged, with the exception that the Constitutional Court has been replaced by a Constitutional Tribunal composed of judges from the other high courts. In Thailand’s southern border provinces, where Muslims constitute the majority of the population, Provincial Islamic Committees have limited jurisdiction over probate, family, marriage, and divorce cases.

Under the interim constitution, a unicameral National Legislative Assembly was appointed by the military leadership. Under the 1997 constitution, the National Assembly consists of two chambers—the Senate and the House of Representatives. The Senate is a non-partisan body with limited legislative powers, composed of 200 directly elected members from constituent districts, with every province having at least one Senator. The House of Representatives has 500 members, 400 of whom are directly elected from constituent districts, and the remainder drawn proportionally from party lists.

Thailand’s 76 provinces include the metropolis of greater Bangkok. Bangkok’s governor is popularly elected, but those of the remaining provinces are career civil servants appointed by the Ministry of Interior. Following the 1932 revolution which imposed constitutional limits on the monarchy, Thai politics was dominated for a half century by a military and bureaucratic elite. Changes of government were effected primarily by means of a long series of mostly bloodless coups.

Beginning with a brief experiment in democracy during the mid-1970s, civilian democratic political institutions slowly gained greater authority, culminating in 1988 when Chatichai Choonavan—leader of the Thai Nation Party—assumed office as the country’s first democratically elected Prime Minister in more than a decade. Three years later, yet another bloodless coup ended his term.

Shortly afterward, the military appointed Anand Panyarachun, a businessman and former diplomat, to head a largely civilian interim government and promised to hold elections in the near future. However, following inconclusive elections, former army commander Suchinda Kraprayoon was appointed Prime Minister. Thais reacted to the appointment by demanding an end to military influence in government. Demonstrations were violently suppressed by the military; in May 1992, soldiers killed at least 50 protesters.

Domestic and international reaction to the violence forced Suchinda to resign, and the nation once again turned to Anand Panyarachun, who was named interim Prime Minister until new elections in September 1992. In those elections, the political parties that had opposed the military in May 1992 won by a narrow majority, and Chuan Leekpai, a leader of the Democratic Party, became Prime Minister. Chuan dissolved Parliament in May 1995, and the Thai Nation Party won the largest number of parliamentary seats in subsequent elections. Party leader Banharn Silpa-Archa became Prime Minister but held the office only little more than a year. Following elections held in November 1996, Chavalit Young-chaiyudh formed a coalition government and became Prime Minister. The onset of the Asian financial crisis caused a loss of confidence in the Chavalit government and forced him to hand over power to Chuan Leekpai in November 1997. Chuan formed a coalition government based on the themes of prudent economic management and institution of political reforms mandated by Thailand’s 1997 constitution.

In January 2001, telecommunications multimillionaire Thaksin Shinawatra and his Thai Rak Thai (TRT) party won a decisive victory on a populist platform of economic growth and development. In the February 2005 elections, Thaksin was re-elected by an even greater majority, sweeping 377 out of 500 parliamentary seats.

Soon after Prime Minister Thaksin’s second term began, allegations of corruption emerged against his government. Peaceful anti-government mass demonstrations grew, and thousands marched in the streets to demand Thaksin’s resignation. Prime Minister Thaksin dissolved the Parliament in February 2006 and declared snap elections in April. The main opposition parties boycotted the polls, and the judiciary subsequently annulled the elections.

On September 19, 2006, a group of top military officers overthrew the caretaker administration of Thaksin Shinawatra in a non-violent coup d’etat. Soon thereafter, the coup leaders issued an interim constitution and appointed Surayud Chulanont as interim Prime Minister for the approximately one-year period until a new constitution could be written and ratified and new democratic elections held.

Principal Government Officials

Last Updated: 10/30/2006

King: PHUMIPHON Adunyadet

Prime Minister: SURAYUT Chulanon

Dep. Prime Min.: KHOSIT Panpiamrat

Dep. Prime Min.: PRIDIYATHON Thewakun

Min. of Agriculture & Cooperatives: THIRA Sutabut Itsarangkun na Ayutthaya

Min. of Commerce: KROEKRAI Chiraphaet

Min. of Culture: KHAISI Si-arun

Min. of Defense: BUNROT Somthat, Gen.

Min. of Education: WICHIT Sisa-an

Min. of Energy: PIYASAWAT Ammaranan

Min. of Finance: PRIDIYATHON Thewakun

Min. of Foreign Affairs: NIT Phibunsongkram

Min. of Industry: KHOSIT Panpiamrat

Min. of Information & Communication Technology: SITTHICHAI Phokhaiya-udom

Min. of Interior: AREE Wongareeya

Min. of Justice: CHANCHAI Likhitjittha

Min. of Labor: APHAI Chanthanajunlaka

Min. of Natural Resources & Environment: KASEM Sanitwong na Ayutthaya

Min. of Public Health: MONGKHON na Songkhla, Dr.

Min. of Science & Technology: YONGYUT Yutthawong

Min. of Social Development & Human Security: PHAIBUN Wattanasiritham

Min. of Tourism & Sports: SUWIT Yotmanee

Min. of Transport: THIRA Haocharoen, Gen.

Governor, Bank of Thailand: THARISA Watthanaket

Ambassador to the US: VIRASAK Futrakul

Permanent Representative to the UN, New York: LAKSANACHANTHON Laohaphan

Thailand maintains an embassy in the United States at 1024 Wisconsin Ave. NW, Washington DC 20007 (tel. 202-944-3600). Consulates are located in New York City, Chicago, and Los Angeles.

ECONOMY

The Thai economy is export-dependent, with exports accounting for 60% of GDP. Thailand’s recovery from the 1997-98 Asian financial crisis relied largely on external demand from the United States and other foreign markets. The Thaksin government took office in February 2001 with the intention of stimulating domestic demand and reducing Thailand’s reliance on foreign trade and investment. Since then, the Thaksin administration has refined its economic message, embracing a “dual track” economic policy that combines domestic stimulus with Thailand’s traditional promotion of open markets and foreign investment. Weak export demand held 2001 GDP growth to 2.1%. Beginning in 2002, however, domestic stimulus and export revival fueled a better performance, with real GDP growth at 7.0% in 2003 and 6.2% in 2004. In 2005, the economy decelerated to a 4.5% annual GDP growth rate due to the tsunami catastrophe, drought, and violence in the three southernmost provinces. For the first quarter of 2006, the rebound of production in agriculture and manufacturing coupled with soaring numbers of tourists increased GDP by 6.0% (year-on-year).

Before the financial crisis, the Thai economy had years of manufacturing-led economic growth—averaging 9.4% for the decade up to 1996. Relatively abundant and inexpensive labor and natural resources, fiscal conservatism, open foreign investment policies, and encouragement of the private sector underlay the economic success in the years up to 1997. The economy is essentially a free-enterprise system. Certain services—such as power generation, transportation, and communications—are state-owned and operated, but the government is considering privatizing them in the wake of the financial crisis. The timetable for privatization of some state-owned enterprises, however, has slipped due to resistance from labor unions and parts of civil society. Despite the resistance, some firms were successfully privatized, such as Airports of Thailand (renamed from Airport Authority of Thailand) and MCOT (renamed from Mass Communication Authority of Thailand).

The Royal Thai Government welcomes foreign investment, and investors who are willing to meet certain requirements can apply for special investment privileges through the Board of Investment. To attract additional foreign investment, the government has modified its investment regulations.

The organized labor movement remains weak and divided in Thailand; less than 2% of the work force is unionized. In 2000, the State Enterprise Labor Relations Act (SELRA) was passed, giving public sector employees similar rights to those of private sector workers, including the right to unionize.

Roughly 60% of Thailand’s labor force is employed in agriculture. Rice is the country’s most important crop; Thailand is a major exporter in the world rice market. Other agricultural commodities produced in significant amounts include fish and fishery products, tapioca, rubber, corn, and sugar. Exports of processed foods such as canned tuna, pineapples, and frozen shrimp are on the rise.

Thailand’s increasingly diversified manufacturing sector made the largest contribution to growth during the economic boom. Industries registering rapid increases in production included computers and electronics, garments and footwear, furniture, wood products, canned food, toys, plastic products, gems, and jewelry. High-technology products such as integrated circuits and parts, electrical appliances, and vehicles are now leading Thailand’s strong growth in exports.

The United States is Thailand’s largest export market and second-largest supplier after Japan. While Thailand’s traditional major markets have been North America, Japan, and Europe, economic recovery among Thailand’s regional trading partners has helped Thai export growth (21.6% in 2004, 15.0% in 2005, and 17.9% in the first quarter of 2006). Further recovery from the financial crisis depends heavily on increased exports to the rest of Asia and the United States.

Machinery and parts, vehicles, electronic integrated circuits, chemicals, crude oil and fuels, and iron and steel are among Thailand’s principal imports. The recent increase in import levels (26% in 2005) reflects the need to fuel the production of high-technology items and vehicles as well as soaring oil prices.

Thailand is a member of the World Trade Organization (WTO) and the Cairns Group of agricultural exporters. Tourism contributes significantly to the Thai economy (about 4%), and the industry has benefited from the Thai baht’s depreciation and Thailand’s stability. Tourist arrivals in 2005 declined from the previous year due to the tsunami catastrophe. Bangkok and its environs are the most prosperous part of Thailand, and the infertile northeast is the poorest. An overriding concern of successive Thai Governments, and a particularly strong focus of the current government, has been to reduce these regional income differentials, which have been exacerbated by rapid economic growth in and around Bangkok and the financial crisis. The government is trying to stimulate provincial economic growth with programs such as the Eastern Seaboard project and the development of an alternate deep-sea port on Thailand’s southern peninsula. It also is conducting discussions with Malaysia to focus on economic development along the Thai-Malaysian border.

Although the economy has demonstrated moderate positive growth since 1999, future performance depends on continued reform of the financial sector, corporate debt restructuring, attracting foreign investment, and increasing exports. Telecommunications, roadways, electricity generation, and ports showed increasing strain during the period of sustained economic growth and may pose a future challenge. Thailand’s growing shortage of engineers and skilled technical personnel may limit its future technological creativity and productivity.

FOREIGN RELATIONS

Thailand’s foreign policy includes support for ASEAN in the interest of regional stability and emphasis on a close and longstanding security relationship with the United States.

Thailand participates fully in international and regional organizations. It has developed increasingly close ties with other ASEAN members—Indonesia, Malaysia, the Philippines, Singapore, Brunei, Laos, Cambodia, Burma, and Vietnam—whose foreign and economic ministers hold annual meetings. Regional cooperation is progressing in economic, trade, banking, political, and cultural matters.

In recent years, Thailand has taken an increasingly active role on the international stage. When East Timor gained independence from Indonesia, Thailand, for the first time in its history, contributed troops to the international peacekeeping effort. As part of its effort to increase international ties, Thailand has reached out to such regional organizations as the Organization of American States (OAS) and the Organization for Security and Cooperation in Europe (OSCE). Thailand has contributed troops to reconstruction efforts in Afghanistan and Iraq.

U.S.-THAI RELATIONS

Since World War II, the United States and Thailand have developed close relations, as reflected in several bilateral treaties and by both countries’ participation in UN multilateral activities and agreements. The principal bilateral arrangement is the 1966 Treaty of Amity and Economic Relations, which facilitates U.S. and Thai companies’ economic access to one another’s markets. Other important agreements address civil uses of atomic energy, sales of agricultural commodities, investment guarantees, and military and economic assistance. In June 2004 the United States and Thailand initiated negotiations on a free trade agreement which, when concluded, will reduce and eliminate barriers to trade and investment between the two countries. These negotiations were placed on hold following the dissolution of the Thai Parliament in February 2006 and the subsequent coup in September.

The United States and Thailand are among the signatories of the 1954 Manila pact of the former Southeast Asia Treaty Organization (SEATO). Article IV(1) of this treaty provides that, in the event of armed attack in the treaty area (which includes Thailand), each member would “act to meet the common danger in accordance with its constitutional processes.” Despite the dissolution of the SEATO in 1977, the Manila pact remains in force and, together with the Thanat-Rusk communiqué of 1962, constitutes the basis of U.S. security commitments to Thailand. Thailand continues to be a key security ally in Asia, along with Australia, Japan, the Philippines, and South Korea. In December 2003, Thailand was designated a Major Non-NATO Ally.

Thailand’s stability and independence are important to the maintenance of peace in the region. Economic assistance has been extended in various fields, including rural development, health, family planning, education, and science and technology. The formal U.S. Agency for International Development (USAID) program ended in 1995. However, there are a number of targeted assistance programs which continue in areas of mutually defined importance, including: health and HIV/AIDS programming; refugee assistance; and trafficking in persons. The U.S. Peace Corps in Thailand has approximately 100 volunteers, focused on primary education, with an integrated program involving teacher training, health education, and environmental education.

Thailand has received U.S. military equipment, essential supplies, training, and assistance in the construction and improvement of facilities and installations for much of the period since 1950. In recent years, U.S. security assistance included military training programs carried out in the United States and elsewhere. A small U.S. military advisory group in Thailand oversaw the delivery of equipment to the Thai Armed Forces and the training of Thai military personnel in its use and maintenance. Funding for the International Military Education and Training and the Foreign Military Financing programs, along with selected other programs totaling $29 million, was suspended following the September 19, 2006 coup d’etat in Thailand. As part of their mutual defense cooperation over the last decade, Thailand and the United States have developed a vigorous joint military exercise program, which engages all the services of each nation and now averages 40 joint exercises per year.

Thailand is a route for Golden Triangle—the intersection of Burma, Laos, and Thailand—narcotics trafficking to international markets. While Thailand is no longer a significant opium producer, money laundering, police and military corruption, and a continuing narcotics flow out of Burma have hindered efforts to limit its role as a transfer point. The United States and Thailand work closely together and with the United Nations on a broad range of programs to halt the flow of narcotics. A memorandum of understanding was signed in 1971 affirming U.S.-Thai cooperation, resulting in a strengthened Thai enforcement program. The U.S. has extended financial support for the International Law Enforcement Academy (ILEA) in Bangkok, which provides counternarcotics and anti-crime training to participants from regional countries. With U.S. support, Thailand has a good record in crop control, law enforcement, and demand reduction.

Trade and Investment

The United States is Thailand’s second largest trading partner after Japan; in 2005 merchandise imports from Thailand totaled $19.9 billion, and merchandise exports totaled $7.3 billion. The U.S., Japan, Taiwan, Singapore, and the European Union are among Thailand’s largest foreign investors. American investment, concentrated in the petroleum and chemicals, finance, consumer products, and automobile production sectors, is estimated at $21 billion.

Principal U.S. Embassy Officials

BANGKOK (E) Address: 120/122 Wireless Road, Bangkok; APO/FPO: APO AP 96546; Phone: 66-2-205-4000; Fax: 66-2-205-4306; Workweek: 7:00 a.m. to 4:00 p.m.; Website: www.usa.or.th.

Last Updated: 1/30/2007

CHIANG MAI (CG) Address: 387 Wichayanond Road, Muang, Chiang Mai, Thailand 50300; APO/FPO: AmEmbassy Bankok, Box C, APO AP 96546; Phone: 66 53 252 629; Fax: 66 53 252 633; Workweek: M-F, 07:30– 16:30; Website: http://bangkok.usembassy.gov/consulcm/consulcm.htm.

Last Updated: 12/6/2006

TRAVEL

Consular Information Sheet : February 23, 2007

Country Description: Thailand is a constitutional monarchy. A Thai military group took control of the government in a peaceful coup on September 19, 2006. In October 2006 the group appointed a civilian Prime Minister and National Assembly as first steps in a planned return to democratically elected government. Most of the population is Buddhist and ethnically Thai. Standard Thai is the official language of Thailand and is spoken in every province, though many areas also have a local dialect. Most Thais working in the tourist industry and in businesses dealing with foreigners can speak at least rudimentary English. Thailand is a popular travel destination, and tourist facilities and services are available throughout the country. At many tourist attractions, including national parks, foreigners are charged admission fees up to ten times higher than those charged to Thais.

Exit/Entry Requirements: U.S. citizen tourists staying for fewer than 30 days do not require a visa, but must possess a passport and may be asked to show an onward/return ticket. Effective October 1, 2006, persons entering Thailand without a visa will be allowed to stay in Thailand for 30 days per visit. The total duration of stay in Thailand for persons who enter Thailand without a visa cannot exceed 90 days during any six-month period, counting from the date of first entry. Travelers must pay a Passenger Service Charge in Thai baht when departing from any of Thailand’s international airports.

When a traveler enters the country, Thai Immigration stamps in his or her passport the date on which the traveler’s authorized stay in Thailand will expire. Any traveler remaining in Thailand beyond this date without having received an official extension will be assessed an immediate cash fine when departing Thailand. Any foreigner found by police to be out of legal status prior to departure (during a Thai Immigration “sweep” through a guesthouse, for example) will be jailed, fined, and then deported at his or her own expense, and may be barred from reentering Thailand.

In this regard, American citizens should be aware that private “visa extension services,” even those advertising in major periodicals or located close to Immigration offices or police stations, are illegal. A number of Americans are arrested at border crossings each year when the visas and entry stamps they have obtained through these illegal services are discovered to be counterfeit.

Thailand’s Entry/Exit information is subject to change without notice. For further information on Thailand’s entry/exit requirements, contact the Royal Thai Embassy, 1024 Wisconsin Avenue, N.W., Washington, D.C., 20007, telephone (202) 944-3600, or contact the Thai consulates in Chicago, Los Angeles, or New York City. Visit the Embassy of Thailand website at http://www.thaiembdc.org for the most current visa information.

Safety and Security: The State Department is concerned that there is an increased risk of terrorism in Southeast Asia, including in Thailand. American citizens traveling to Thailand should therefore exercise caution, especially in locations where Westerners congregate, such as clubs, discos, bars, restaurants, hotels, places of worship, schools, outdoor recreation venues, tourist areas, beach resorts, and other places frequented by foreigners. They should remain vigilant with regard to their personal security and avoid crowds and demonstrations. For more information on terrorist threats against Americans worldwide, and steps that U.S. citizens should take as a result of these threats, please see the Worldwide Caution Public Announcement.

On September 19 a military group calling itself the Council for National Security (CNS) seized control of the Thai government and declared martial law. Businesses, stores, parks, hotels and resorts were not affected by the coup and are open as normal. An interim civilian Prime Minister, Cabinet and National Assembly have been appointed. Martial law has been lifted in many provinces in Thailand.

A series of eight bombs exploded in the Bangkok metropolitan area during the evening on December 31, 2006, and shortly after midnight. The bombs exploded at six different locations throughout Bangkok, including Bangkok’s Victory Monument, various police traffic-control booths, the parking lot of a shopping mall, and near the Central World Plaza (formerly World Trade Center) on Rama 1 Road in Bangkok’s main shopping district. The bombs killed three Thai citizens and injured dozens, including six foreign tourists. It remains unclear who is behind the bombings. Given the fluidity of the situation, the Department of State advises all American citizens residing in or traveling to Bangkok to continue to monitor events closely, to avoid any large public gatherings, and to exercise discretion when moving about Bangkok.

Two grenades were fired at the offices of a local newspaper along Vipayadee Rangsit Road in northern Bangkok and a nearby hotel car park on January 30, 2007. There were no reports of casualties, and a police investigation is underway.

The far south of Thailand has been experiencing almost daily incidents of criminally and politically motivated violence, including incidents attributed to armed local separatist/extremist groups. In February 2007, Thai press reported that senior Thai officials expressed concern the violence in the south could move to Bangkok, particularly during Thai holidays and special occasions. Although the extremist groups focus primarily on Thai government interests in the southern provinces, some of the recent violence in the area has targeted public places, including areas where tourists may congregate. The Department of State urges U.S. citizens to defer non-emergency travel to the far south of Thailand: Narathiwat, Pattani, Yala and Songkhla provinces, including the town of Hat Yai. If U.S. citizens must travel to these areas, they should exercise special caution and remain vigilant with regard to their personal security. Since January 2004, a series of incidents in the far southern provinces has included arson attacks directed at schools and other buildings associated with the government; the placement of bombs in public areas, including the Hat Yai International airport, and near local government offices; killings of police and other officials; and the theft of weapons and explosives. Attacks in the area have increasingly been targeted against commercial areas where foreigners congregate. In 2005 two American citizens were injured when a bomb detonated in the Hat Yai airport. On August 31, 2006, a series of 22 bombs exploded inside commercial banks in Yala province, injuring 28 people. On September 17, 2006, a series of bombs detonated in a commercial district of Hat Yai, killing one American citizen and injuring another. Travelers should be aware that Thai authorities have on occasion instituted special security measures in affected areas, such as curfews, military patrols, or random searches of train passengers.

Travelers should be aware that over the past several years a number of Lao- and Hmong-American citizens have been murdered in northern and northeastern Thailand near the border with Laos. In September 2004, a Lao-American was shot and killed by two unidentified males in Nong Khai, Thailand. In January 2005, a Hmong-American citizen was murdered in Nong Khai along with three Hmong-Thai citizens. In November 2005, a Hmong-American was murdered in front of his hotel in Nong Khai by a man wearing a balaclava to hide his identity. In January 2006, a Lao-American husband and wife were murdered at a temple in Nong Khai, and, in December 2006, in Ubon Ratchathani two Lao-Americans were shot as they exited a bus from Laos by a man on a motorcycle. During this same period, a number of non-Americans with ties to Laos have also been murdered in this region of Thailand. In addition, in March 2006, a Hmong-American disappeared from his residence along with seven other individuals. No arrests have been made in many of these cases. If U.S. citizens—particularly Lao-Americans or Hmong-Americans—must travel to these areas, they should exercise caution and remain vigilant with regard to their personal security. It is also recommended that persons wishing to travel to border areas check first with the Thai Tourist Police and the U.S. Consulate General in Chiang Mai or the U.S. Embassy in Bangkok.

Tourists should also exercise caution in remote areas along the border with Burma. The Thai/Burma border is the site of on-going conflicts between the Burmese Army and armed opposition groups as well as clashes between Thai security forces and armed drug traffickers. In addition, pirates, bandits and drug traffickers operate in these border areas. In light of the continuing unsettled situation along Thailand border with Burma, which is subject to frequent closings to all traffic, the Department of State recommends that all Americans exercise caution when traveling in remote or rural areas immediately adjacent to the Burma border. There remains a possibility of significant flare-ups of military activity on the Burmese side of the border that could spill over into immediately adjacent areas of northern Thailand. Visitors should travel off-road in undeveloped areas only with local guides who are familiar with the area. Border closings and reopenings occur frequently, and U.S. citizens considering traveling into Burma from Thailand should be aware that in the event of a border closure they may not be able to reenter Thailand.

Tourists should obtain information from Thai authorities about whether official border crossing points are open, and should cross into neighboring countries only at designated crossing points. Licensed guides can help ensure that trekkers do not cross inadvertently into a neighboring country.

Travelers should be aware that there have been occasional incidents of criminal violence on Thailand’s northern and eastern borders with Laos. Four American citizens have been murdered on the Lao-Thai border since 2005. Caution remains advisable. It is recommended that persons wishing to travel to border areas check first with the Thai Tourist Police and the U.S. Consulate General in Chiang Mai or the U.S. Embassy in Bangkok.

Strong seasonal undercurrents at popular beach resorts pose a sometimes-fatal threat to surfers and swimmers. During the monsoon season from May through October, drowning is the leading cause of death for tourists visiting the resort island of Phuket. Some, but not all, beaches have warning flags to indicate the degree of risk (red flag: sea condition dangerous for swimming; yellow flag: sea condition rough, swim with caution; green flag: sea condition stable).

Boat safety has become an increasing concern in Thailand. Ferries and speedboats used to transport tourists and local nationals to and from the many islands off the Thai mainland are often overcrowded and carry insufficient safety equipment. In January 2005, three U.S. citizen tourists died when the over-crowded speedboat they were in capsized and sank off the coast of Koh Samui. Three months later, two U.S. citizens narrowly escaped death when their dive boat sank off the coast near Phuket. The Department of State encourages U.S. citizens to avoid travel on overcrowded boats, and to ensure that proper safety equipment (including life preservers) is available before boarding any boat or ferry.

In the months prior to the September 2006 military coup, Thailand experienced a number of large, public demonstrations, primarily in Bangkok and Chiang Mai. The protests were mainly peaceful and often included several diverse groups of demonstrators who assembled with no set starting or ending times. However, all demonstrations are unpredictable, and any demonstration can turn violent without warning. For this reason, the Embassy encourages all Americans to monitor local media for announcements of possible demonstrations and to avoid the areas where demonstrations might occur. If a demonstration is expected to pass near U.S. Embassy facilities, Embassy entrances and functions may be restricted, depending on circumstances.

For the latest security information, Americans traveling abroad should regularly monitor the Department’s Internet web site, where the current Travel Warnings and Public Announcements, including the Worldwide Caution Public Announcement, can be found. Up-to-date information on safety and security can also be obtained by calling 1-888-407-4747 toll free in the U.S. and Canada, or for callers outside the U.S. and Canada, a regular toll-line at 1-202-501-4444. These numbers are available from 8:00 a.m. to 8:00 p.m. Eastern Time, Monday through Friday (except U.S. federal holidays).

Crime: Although the crime threat in Bangkok remains lower than that in many American cities, crimes of opportunity such as pick-pocketing, purse-snatching, and burglary have become more common in recent years. Travelers should be especially wary when walking in crowded markets, tourist sites and bus or train stations. Many American citizens have reported having passports, wallets, and other valuables stolen in Bangkok’s Chatuchak Weekend Market, usually by thieves who cut into purses or bags with a razor and remove items surreptitiously. Police at the Market usually refuse to issue police reports for foreign victims of theft, requiring them instead to travel several miles to the central Tourist Police office. Violent crimes against foreigners are relatively rare.

Reports of serious crimes involving taxis or “tuk-tuks” (three-wheeled taxis) are also relatively rare, although attempts to charge excessive fares occur regularly. Several taxi-related incidents involving foreign passengers occur in Bangkok each year. Americans should not hesitate to ask to be let out of a taxi immediately if the driver is acting suspiciously or driving erratically.

When arriving at Bangkok’s airport, travelers should use only taxis from the airport’s official taxi stand, cars from the airport limousine counters, or airport buses. All major hotels in Bangkok can also arrange to have a car and driver meet incoming flights. It is not common for Thai taxis to pick up additional passengers. Travelers should be wary of drivers seeking to do so, and should never enter a cab that has someone besides the driver in it.

Americans frequently encounter taxi drivers and others who tout gem stores or entertainment venues. These touts receive kickbacks or commissions that drive up the prices of the goods or services, and travelers should not accept tours or other offers from them. Scams involving gems, city tours, entertainment venues and credit cards are common, especially in areas heavily visited by tourists. Credit cards should be used only in reputable, established businesses, and the amount charged should be checked for accuracy.

The Tourism Authority of Thailand (TAT) receives over 1,000 complaints each year from visitors who have been cheated on gem purchases. Gem scams usually follow a predictable pattern. Someone will approach a tourist outside of a well-known tourist attraction such as the Grand Palace or the Jim Thompson House and will say that the attraction is closed. The friendly stranger will quickly gain the tourist’s confidence, and will suggest a visit to a temple that is supposedly open only one day per year; the stranger will then mention in passing that a special once-a-year government-sponsored gem sale is going on, and will direct the tourist to a waiting tuk-tuk. At the temple, another stranger – sometimes a foreigner – will engage the tourist in conversation and will, by seeming coincidence, also mention the “special” gem sale. The tourist agrees to go look at the gem shop, and is soon convinced to buy thousands of dollars worth of jewels that can supposedly be sold in the U.S. for a 100% profit. When the tourist actually has the goods appraised, they turn out to be of minimal value, and the shop’s money-back guarantee is not honored. No matter what a tout may say, no jewelry stores are owned, operated, or sponsored by the Thai Government or by the Thai royal family. Lists of gem dealers who have promised to abide by TAT guidelines are available online at http://www.tat-news.org/special_interest/shopping/979.asp, while detailed information on gem scams can be found on numerous Internet websites. A traveler who has fallen victim to a gem scam should contact the local branch of the Tourist Police, or call their countrywide toll-free number: 1155.

Although most bars and entertainment venues operate honestly, some, especially in tourist areas such as Patpong, at times try to charge exorbitant amounts for drinks or unadvertised cover charges, and threaten violence if the charges are not paid. If victimized in this fashion, travelers should not attempt to resolve the problem themselves, but should instead pay the price demanded and then seek out a nearby Tourist Police officer for help in getting restitution. (If no officer is nearby, the Tourist Police may be contacted toll-free by dialing 1155.)

There have been occasional reports of scopolamine drugging perpetrated by prostitutes or unscrupulous bar workers for the purpose of robbery. (Scopolamine is a powerful sedative.) Tourists have also been victimized by drugged food and drink, usually offered by a friendly stranger, sometimes posing as fellow traveler on an overnight bus or train. In addition, casual acquaintances met in a bar or on the street may pose a threat. Travelers are advised to avoid leaving drinks or food unattended, and should avoid going alone to unfamiliar venues. Some trekking tour companies, particularly in Northern Thailand, have been known to make drugs available to trekkers. Travelers should not accept drugs of any kind, as the drugs may be altered or harmful, and the use or sale of narcotic drugs is illegal in Thailand.

Information for Victims of Crime: The loss or theft abroad of a U.S. passport should be reported immediately to the local police and the nearest U.S. Embassy or Consulate. If you are the victim of a crime while overseas, in addition to reporting to local police, please contact the nearest U.S. embassy or consulate for assistance. The embassy/consulate staff can, for example, assist you to find appropriate medical care, to contact family members or friends and explain how funds could be transferred. Although the investigation and prosecution of the crime is solely the responsibility of local authorities, consular officers can help you to understand the local criminal justice process and to find an attorney if needed.

Medical Facilities and Health Information: Medical treatment is generally adequate throughout Thailand. In Bangkok, excellent facilities exist for routine, long-term and emergency health care.

Information on vaccinations and other health precautions, such as safe food and water precautions and insect bite protection, may be obtained from the Centers for Disease Control and Prevention’s hotline for international travelers at 1-877-FYI-TRIP (1-877-394-8747); or via CDC’s Internet site at http://www.cdc.gov/travel. For information about outbreaks of infectious diseases abroad, consult the World Health Organization’s (WHO) website at http://www.who.int/en. Further health information for travelers is available at http://www.who.int/iht.

Avian Influenza: The CDC, WHO, and Thai authorities have confirmed human cases of the H5N1 strain of avian influenza, commonly known as the “bird flu.” Travelers to Thailand and other countries affected by the virus are cautioned to avoid poultry farms, contact with animals in live food markets, and any surfaces that appear to be contaminated with feces from poultry or other animals. In addition, the CDC and WHO recommend eating only fully cooked poultry and eggs. For the most current information and links on avian influenza in Thailand, see the State Depart-ment’s Avian Influenza Fact Sheet or visit the website of the U.S. Embassy in Thailand.

Medical Insurance: The Department of State strongly urges Americans to consult with their medical insurance company prior to traveling abroad to confirm whether their policy applies overseas and whether it will cover emergency expenses such as a medical evacuation.

Other Health Information: Thailand has been experiencing an epidemic of HIV infection and AIDS. Heterosexual transmission accounts for most HIV infections, and HIV is common among prostitutes of both sexes, as well as among injection drug users. HIV infections among men who have sex with other men appear to be on the rise. Additionally, alcoholic beverages, medications and drugs may be more potent or of a different composition than similar ones in the United States. Several U.S. citizen tourists die in Thailand each year of apparent premature heart attacks after drinking alcohol or using drugs.

Traffic Safety and Road Conditions: While in a foreign country, U.S. citizens may encounter road conditions that differ significantly from those in the United States. The information below concerning Thailand is provided for general reference only, and may not be totally accurate in a particular location or circumstance:

Traffic moves on the left in Thailand, although motorcycles and motorized carts often drive (illegally) against the traffic flow. The city of Bangkok has heavy traffic composed of motorcycles, cars, trucks, buses, and three-wheeled tuk-tuks. For safety, pedestrians should use overhead walkways whenever possible and should look carefully in both directions before crossing streets, even when using a marked crosswalk with a green “walk” light illuminated. This is particularly true in front of the U.S. Embassy on Bangkok’s Wireless Road, where many pedestrians have died crossing the street, and where several American citizens have been seriously injured. The Embassy has instructed its employees to use the pedestrian bridge to cross the road at all times, and other Americans should do the same.

Traffic accidents are common in Thailand, and those involving motorcycles can be particularly deadly. The Embassy has sent a notice to Embassy staff and family members strongly recommending that they refrain from using motorcycles (especially motorcycle taxis), mopeds, and tuk-tuks in Bangkok, and the Embassy advises American visitors and residents to follow this recommendation as well. Use of motorcycle helmets is mandatory, but this law is seldom enforced. The accident rate in Thailand is particularly high during long holidays, when alcohol use and traffic are both heavier than normal. During the Songkran (Thai New Year) holiday in April, the problem is further exacerbated by people throwing water at passing vehicles as part of the traditional celebration.

Paved roads, many of them four lanes wide, connect Thailand’s major cities. On the country’s numerous two-lane roads, however, slow-moving trucks limit speed and visibility. Speeding, reckless passing, and failure to obey traffic laws is common in all regions of Thailand, as is the consumption by commercial drivers of alcohol, amphetamines and other stimulants. Serious bus crashes occur frequently, especially on overnight trips, and sometimes result in fatalities. Congested roads and a scarcity of ambulances can make it difficult for accident victims to receive timely medical attention. Thailand requires that all vehicles be covered by third-party liability insurance for death or injury, but there is no mandatory coverage for property damage. The Embassy strongly encourages its employees to obtain liability insurance coverage over and above the minimum third party liability insurance required by the Thai Government. American citizen motorists should consider this as well, as the more affluent driver, even if not at fault, is frequently compelled to cover the expenses of the other party in an accident in Thailand.

Travelers in Bangkok may wish to travel about the city using the BTS “Skytrain” elevated mass transit system, or the underground Metro system, which operate daily, from 6 a.m. to midnight. Bangkok also has an extensive bus system, but buses can be overcrowded, and are often driven with little or no regard for passenger safety. Cities elsewhere in Thailand typically have only rudimentary public transportation, and usually do not have metered taxis. In many cases, motorcycle taxis, tuk-tuks, bicycle-powered rickshaws, and pick-up trucks will be the only options available for travelers without their own transport. Americans should be cautious when using these services, as all can be dangerous in fast or heavy traffic.

Aviation Safety Oversight: The U.S. Federal Aviation Administration (FAA) has assessed the Government of Thailand’s Civil Aviation Authority as being in compliance with International Civil Aviation Organization (ICAO) aviation safety standards for oversight of Thailand’s air carrier operations. For further information, travelers may visit the FAA’s Internet website at http://www.faa.gov.

On September 29, 2006, Bangkok’s main airport, Don Muang, ceased operations, and all inbound and outbound flights were shifted to the Suvarnabhumi International Airport. Suvarnabhumi International Airport is located 18 miles (30 kilometers) east of downtown Bangkok and is approximately a thirty-minute drive to/from downtown Bangkok in light traffic. Traffic conditions may result in longer drive times. Information on the new airport can be found at: http://www.bangkokairportonline.com/. Some flights may be moved back to Don Muang airport while repairs are being completed at the Suvarnabhumi airport.

Customs Regulations: Thai customs authorities may enforce strict regulations concerning temporary importation into or export from Thailand of items such as firearms, explosives, narcotics and drugs, radio equipment, books or other printed material and video or audio recordings which might be considered subversive to national security, obscene, or in any way harmful to the public interest and cultural property. It is advisable to contact the Embassy of Thailand in Washington, D.C., or one of the Thai consulates in the United States for specific information regarding customs requirements.

Criminal Penalties: While in a foreign country, a U.S. citizen is subject to that country’s laws and regulations, which sometimes differ significantly from those in the United States and may not afford the protections available to the individual under U.S. law. Penalties for breaking the law can be more severe than in the United States for similar offenses. Persons violating Thai laws, even unknowingly, may be expelled, arrested or imprisoned.

In this connection, it is a criminal offense to make negative comments about the King or other members of the royal family. Thais hold the King in the highest regard, and it is a serious crime to make critical or defamatory comments about him. This particular crime, called “lese majeste,” is punishable by a prison sentence of three to fifteen years. Purposely tearing or destroying Thai bank notes, which carry an image of the King, may be considered such an offense, as can spitting on or otherwise defiling an official uniform bearing royal insignia.

The Thai Government has publicly stated that it will not tolerate the use of Thai territory as a base by groups trying to overthrow or destabilize the governments of nearby countries. Numerous American citizens have been arrested or detained under suspicion of carrying out such activities; sometimes these detentions are carried out by military authorities, and the Embassy does not learn of them until many days after the fact. Many other Americans suspected of advocating the armed overthrow of other governments have been “blacklisted” from entering the country. Americans should be aware that attempts to overthrow foreign governments by force may violate U.S. law as well as Thai law.

Penalties for the possession of, use of, or trafficking in illegal drugs in Thailand are severe. Convicted offenders can expect long prison sentences under harsh conditions, and often heavy fines as well. Thailand also has a death penalty for serious drug offenses, and has executed convicted traffickers. The U.S. Embassy frequently does not learn of the arrest of U.S. citizens for minor drug offenses, particularly in southern Thailand, until several days after the incident. Engaging in sexual conduct with children or using or disseminating child pornography in a foreign country is a crime, prosecutable in the United States.

Thai police occasionally raid discos, bars, or nightclubs looking for underage patrons and drug users. During the raids, they typically check the IDs of all customers in the establishment, and then make each person provide a urine sample to be checked for narcotics. Foreigners are not excused from these checks, and anyone whose urine tests positive for drugs is arrested and charged. Although some Thai civil libertarians have questioned the constitutionality of these forced urine tests, the Embassy is unaware of any successful challenge to the practice, and customers can be jailed if they do not cooperate.

Children’s Issues: For information on international adoption of children and international parental child abduction, see the Office of Children’s Issues website at http://travel.state.gov/family.

Registration/Embassy and Consulate Locations: Americans living in or visiting Thailand are encouraged to register with the U.S. Embassy in Bangkok or the U.S. Consulate in Chiang Mai through the State Department’s travel registration website, and to obtain updated information on travel and security within Thailand. Americans without Internet access may register directly with the nearest U.S. Embassy or Consulate. By registering, American citizens make it easier for the Embassy or Consulate to contact them in case of emergency. The Consular Section of the U.S. Embassy is located at 95 Wireless Road in Bangkok; the U.S. mailing address is APO AP 96546-0001. The central switchboard number is (66-2) 205-4000; the American Citizen Services Unit number is (66-2) 205-4049; and the fax number is (66-2) 205-4103. The website for the U.S. Embassy is http://usa.or.th. American citizens can register online via the web site. Questions regarding American Citizens Services can be submitted by E-mail to [email protected]. The U.S. Consulate General in Chiang Mai is located at 387 Wichayanond Road; the U.S. mailing address is Box C, APO AP 96546. The telephone number is (66-53) 252-629 and the fax number is (66-53) 252-633.

International Adoption : February 2007

The information below has been edited from a report of the State Department Bureau of Consular Affairs, Office of Overseas Citizens Services. For more information, please read the International Adoption section of this book and review current reports online at www.travel.state.gov/family.

Disclaimer: The information in this flyer relating to the legal requirements of specific foreign countries is based on public sources and current understanding. Questions involving foreign and U.S. immigration laws and legal interpretation should be addressed respectively to qualified foreign or U.S. legal counsel.

Availability of Thai Children for Adoption: Please review current reports online at www.travel.state.gov/family.

Thai Adoption Procedures: All adoptions in Thailand must be processed through the Child Adoption Center of the Department of Public Welfare (DPW), which is the sole governmental social welfare agency responsible for adoption of Thai children. Four non-governmental organizations (NGOs) are licensed to deal with DPW’s Child Adoption Center in cases where a child is to be placed abroad, but only three of these NGOs process cases for prospective adoptive parents who reside in the United States. Please review current reports online at travel.state.gov/family for a list of agencies.

For complete information and application forms, prospective adoptive parents should contact one of the above agencies or DPW directly at:

Child Adoption Center
Department of Public Welfare
Rajvithee Home for Girls
Rajvithee Road
Bangkok 10400
Tel. (66)(2) 246-8651

Qualifications: Thai law (Adoption Act, April 1979) stipulates strict requirements and procedures for adoption of children in Thailand. While some of these requirements are currently under review, the U.S. Embassy is not aware of any completed adoption to date in which these basic requirements have been waived. Consequently, inquirers who do not meet the following criteria should contact the DPW before pursuing the matter further. Basic criteria for adoptive parents:

• You are married;
• Both you and your spouse are at least 25 years of age;
• Both you and your spouse are at least 15 years older than the child to be adopted;
• You are legally qualified under your state law to adopt a child.

Regulations Regarding Adoptive Children: It is not possible to apply for more than one child at a time, except twins, siblings, or in cases of adoption of the children of the applicant’s Thai spouse. Parents adopting from Thailand for a second time may request that a DPW social worker escort the child to the U.S. instead of appearing before the Child Adoption Board as outlined below. All costs of such travel are the responsibility of the adoptive parents.

DPW advises that it is extremely unlikely that an abandoned child under the age of one year would be available for foreign adoption. (NOTE: In the Embassy’s experience, it is quite rare for a child under two years of age to be available for foreign adoption.)

Adoption Procedures: Prospective adoptive parents obtain official DPW application forms (these forms may be obtained from DPW or from one of the above NGOs). These forms elicit biographical, health, and financial information about the prospective adoptive parents. Prospective adoptive parents then engage an adoption agency or child welfare organization licensed by their state of U.S. residence to perform a home study (this agency must also be recognized by DPW—a list of recognized agencies is available from DPW).

The licensed agency or organization in the U.S. assembles the application forms for submission to DPW. The application must be accompanied by the following:

• Completed home study;
• Confirmation from a competent authority that after the adoption is finalized under Thai law, it will also be legalized under the laws of the applicants’ state of residence;
• Formal commitment by the licensed adoption agency in the U.S. to supervise a pre-adoption placement of at least six months, during which at least three bimonthly progress reports will be provided to DPW;
• Medical certificate verifying good physical health, mental stability, and infertility (if applicable) for both prospective adoptive parents;
• Birth certificates for both parents;
• Marriage certificate;
• Proof of termination of any previous marriages (death certificate of spouse or divorce decree);
• Proof of occupation and income (letter from employer);
• Complete financial statement indicating all assets and liabilities;
• Recommendations from two responsible persons;
• Current license of the involved adoption agency;
• Photographs of both prospective adoptive parents (4 each), 4.5 cm x 6 cm, and of their children (if applicable);
• Statement from USCIS or consular officer confirming that the child to be adopted will be the beneficiary of an immigrant visa.

If the above documentation is acceptable, DPW (or one of the three NGOs) matches the prospective adoptive parents with a child. The prospective adoptive parents must advise DPW whether they wish to proceed with the adoption of the proposed child. The application will then be given to the Child Adoption Board (CAB) for review. If the Child Adoption Board agrees to the suitability of the prospective adoptive parents for pre-adoption placement of the child, the case is referred to the Minister of Labor and Social Welfare for official authorization.

When the pre-adoption placement is approved, a definite appointment is made by DPW (or one of the NGOs) for the prospective parents to be interviewed by the Child Adoption Board. If one of the prospective adoptive parents is unable to attend this meeting, he or she must provide written consent.

DPW will issue documents necessary for the child’s travel, including a Thai passport. These documents will normally be issued on the same day as the meeting with the Board. The parents will also receive the child on the same day. At this point, the parents will be eligible to apply for an orphan immigrant visa to the U.S.

When the prospective adoptive parents have returned to the U.S. with the child and at least three bimonthly reports on the pre-adoption placement have been submitted to DPW, DPW will refer the case to the Child Adoption Board for approval of final adoption under Thai law. The adoptive parents have to register their adoption under Thai law within six months of notification of finalization by the Board. This can be done at the Thai Embassy or Consulates in the U.S.

Please see the International Adoption section of this book for more details and review current reports online at www.travel.state.gov/family.

U.S. Adoption Procedures: Comprehensive information regarding international adoptions by U.S. citizens is available through the State Department’s Consular Affairs Bureau and through the U.S. Bureau of Citizenship and Immigration Services in the Department of Homeland Security (USCIS). For further information on international inter-country adoption, contact the Office of Children’s Issues at 202-736-7000, visit the State Department home page on the Internet at http://travel.state.gov, or send a nine-by-twelve-inch, self-addressed envelope to: Office of Children’s Issues, 2401 E Street, N.W., Room L127, Washington, D.C. 20037; Phone: (202) 736-7000; Fax: (202) 312-9743.

American Embassy Assistance: The IV Unit strongly urges adoptive parents to call or visit as soon as they arrive in Thailand to pick up immigrant visa forms and instructions. Making contact early is the best way to ensure that there are no unexpected delays later in the application process. Upon arrival in Thailand, U.S. adoptive parents should also register at the American Embassy, Consular Section, American Citizens Services. The Embassy will be able to provide information about any outstanding travel advisories and to provide other information about Thailand, including lists of physicians, attorneys, interpreters and translators.

Questions: Specific questions regarding adoptions in Thailand may be addressed to the Consular Section of the U.S. Embassy or Consulate. You may also contact the Office of Children’s Issues with specific adoption questions.

While in Thailand, inquires should be addressed to:

Immigrant Visa Unit
Consular Section
U.S. Embassy Bangkok
95 Wireless Road
Bangkok, Thailand 10330

U.S. Mailing Address:
U.S. Embassy Bangkok
APO AP 96546
Tel: (66)(2) 205-4287, (66)(2) 205-4753
Fax: (66)(2) 254-1171
Home Page: http://www.usa.or.th/embassy/consul.htm.

International Parental Child Abduction : February 2007

The information below has been edited from the report of the State Department Bureau of Consular Affairs, Office of Overseas Citizens Services. For more information, please read the International Child Abduction section of this book and review current reports online at www.travel.state.gov.

Disclaimer: The information in this flyer relating to the legal requirements of specific foreign countries is provided for general information only. Questions involving interpretation of specific foreign laws should be addressed to foreign legal counsel.

General Information: Parental kidnapping is not a crime in Thailand and Thai authorities will not issue a warrant or become involved should one parent take a child without the other parent’s authorization. The Hague Convention on the Civil Aspects of International Child Abduction cannot be invoked if a child is taken from the United States to Thailand, or vice versa, by one parent against the wishes of the other parent or in violation of a U.S. custody order.

Child Custody: Under Thai law, the question of child custody is addressed in Book Five of the Thai Civil and Commercial Code under the general headings Termination of Marriage and Rights and Duties of Parent and Child. For more information, please review current reports online at www.travel.state.gov.

Enforcement of Foreign Orders: Foreign orders (including U.S. custody orders) are not enforced/enforceable in Thailand. American citizens who travel to Thailand place themselves under the jurisdiction of Thai courts. If a taking parent chooses to remain in Thailand with a child or leave a child behind in Thailand, the U.S. Embassy cannot force either the taking parent or the Thai Government to return the child to the United States. American citizens planning a trip to Thailand with dual national children should bear this in mind.

Special Courts: Juvenile and Family Courts to hear custody cases can be found only in Bangkok and a few of the larger cities in Thailand.

For further information on international parental child abduction, contact the Office of Children’s Issues, U.S. Department of State at 1-888-407-4747 or visit its website on the Internet at http://travel.state.gov. You may also direct inquiries to: Office of Children’s Issues; U.S. Department of State; Washington, DC 20520-4811; Phone: (202) 736-9090; Fax: (202) 312-9743.

THAILAND

Kingdom of Thailand

Major Cities:
Bangkok, Chiang Mai, Songkhla, Udorn

Other Cities:
Khon Kaen, Lampang, Nakhon Pathom, Nakhon Ratchasima, Phet Buri, Phuket, Yala

EDITOR'S NOTE

This chapter was adapted from the Department of State Post Report dated April 1994. Supplemental material has been added to increase coverage of minor cities, facts have been updated, and some material has been condensed. Readers are encouraged to visit the Department of State's web site at http://travel.state.gov/ for the most recent information available on travel to this country.

INTRODUCTION

THAILAND is an exotic kingdom where the past and present mingle in harmony. The country once known as Siam came into being more than 1,000 years ago, when the Thai people descended from the hilly hinterlands of Burma (now Myanmar) and southern China. Here, in the fertile central plain and basin of the Chayo Phraya River, they created a number of independent kingdoms that were continually besieged by their Burmese and Khmer neighbors. Although the Thai were never colonized, they were forced to fight through the centuries to maintain their freedom.

In 1238, the Thai inflicted a devastating defeat on the Khmers and created the kingdom of Sukhothai. At that time, Bangkok (the present capital) lay entirely beneath the waters of the Gulf of Thailand. In 1350, when the capital was moved to Ayutthaya, Bangkok was only a series of mud banks raised by alluvial deposits from the Chao Phraya.

Just 200 years ago, Siamese warriors, mounted on elephants, drove out the Burmese who had killed their king and sacked and destroyed Ayutthaya. The new king established a capital in Thonburi. Fifteen years later, Rama I, founder of the present Chakri dynasty, moved the seat of government across the river to Bangkok.

MAJOR CITIES

Bangkok

Bangkok, capital of Thailand, is the largest city in the kingdom and one of the largest in Southeast Asia. About seven and a half million people live in Bangkok and the surrounding metropolitan area. The city lies within a great bend of the Chao Phraya River (River of Kings), which empties into the Gulf of Thailand 35 miles to the south. Thonburi, on the west bank, is considered part of the metropolitan area.

Bangkok became the Thai capital in 1782. Called by the Thai "the city of angels," it is a national treasure house, containing most of the country's historic temples and major landmarks.

Bangkok is an exotic, energetic city of contrasts: high-rise apartment buildings and ancient temples; air-conditioned, modern department stores and crowded, narrow stalls of local markets; wide avenues teeming with traffic and crooked lanes bordered by canals, where small children bathe and fish; the blare of pop music and the tinkle of temple bells; spacious homes and primitive, thatched huts; the scents of jasmine and of fish drying in the sun; international restaurants, and food vendors squatting over small charcoal cooking pots on the sidewalk. A lifetime could be spent exploring Bangkok and its delightful mixture of cultures, customs, and peoples.

Bangkok (in Thai, Krung Thep) suffered heavy damage during World War II. It was seized by the Japanese in December 1941, only a few days after Pearl Harbor and, in 1944 and 1945, it became the target of frequent bombing raids by Allied planes.

Clothing

In Thailand's tropical climate, cotton and other lightweight washable clothing is comfortable and practical. Most types of summer fabrics, including lightweight knits, are worn for business, since all offices are air-conditioned.

Men find that shirts and ties, without jackets, are acceptable, as are wash-and-wear or safari suits. A dark business suit is usually worn for evening functions. Thai-style men's shirt-jackets, tailored in silk or cotton, can be worn to some evening events. Sports clothes are popular for casual wear, and can be bought locally. Shoes are available at reasonable prices, although larger sizes may have to be custom made.

Women need more clothing for Thailand than for a more temperate climate. Here, clothes need to be changed more frequently. Dresses in current styles are sold in boutiques and department stores, but usually only in sizes to fit petite Thai figures. Dressmakers can make equally comfortable and fashionable clothing. Prices range from reasonable to expensive, and results vary according to the design and the skill of the dressmaker. A wide variety of fabrics is sold in local shops. Thai cotton and silk are of high quality, and are popular for both daytime and evening wear.

Casual dresses, skirts, blouses, and slacks are suitable for almost all daytime occasions outside the office. Businesswomen will be appropriately dressed if they wear the same style of clothing that is acceptable in city offices in the U.S. Sleeveless and short-sleeved dresses with jackets are convenient for moving from the hot, humid outside air into air-conditioned buildings. Shoes purchased on the local market are reasonably priced, stylish, and comfortable, but are not always available in narrow widths or in larger sizes.

For informal social events, floor-length skirts, trousers, or dresses are popular. Occasionally, more formal attire is needed, and can be easily made by dressmakers. Thais wear black only at funerals and when in mourning, and often show discomfort when a foreigner (not in mourning) wears this color. It is sometimes worn as part of fashion, but never as the dominant color.

Children need the same kind of clothing they would wear during hot summer months in the U.S. With few exceptions, most items can be purchased or made locally. Many parents order items through mail order catalogs.

Supplies & Services

Tailors and dressmakers are numerous; seamstresses will work in the home. Shoe repair services are available, but materials used are not of the quality found in the U.S. Dry cleaning and laundry services are adequate, as is repair service for small appliances.

Beauty salons and barbershops charge reasonable prices, and their personnel generally are well-trained.

Most personal and household items are found in Bangkok. Cosmetics, some toiletries, and bed and bath linens are costly. Attractive, locally made table linens, however, are moderately priced.

Religious Activities

Although Thailand is predominantly Buddhist, religious tolerance is practiced. The constitution requires the king to be a Buddhist, but also makes him the protector of all religions. Government offices and many businesses close on Sunday, not as a religious holiday, but as a day of rest.

Christian churches in Bangkok include many denominations, many of which hold regular services and Sunday school in English. Catholic, Protestant, Interdenominational, Seventh Day Adventist, Christian Science, and Church of Jesus Christ of Latter-Day Saints religious groups are represented in Thailand. A Jewish Center and a Baha'i Center are located in Bangkok. Many up-country areas also have Christian churches, which are often operated by missionaries.

Domestic Help

Most foreigners resident in Thailand employ at least one maid or cook. Single people usually can manage with one domestic who cooks, cleans, and does the laundry, but families often need more help. Drivers are not necessary, although they offer great relief from the strain and stress of driving in city traffic.

Domestics work six days a week, with the free day determined by the employer; most household help live in their own quarters in the employer's house or apartment. Knowledge of English varies. Salary depends on skills and previous experience, and ranges from the equivalent of $115 to $200 monthly. Most are also paid one month's salary bonus, or a fraction if they have worked less than a year, at Christmas.

Before employment, and every year thereafter, each employee should have a complete medical examination (available at local hospitals). The American Women's Club in Bangkok operates a registry to assist Americans in finding household employees. Employee liability insurance is recommended.

Education

The International School of Bangkok (ISB) is the major English-language school in Thailand. It is private, based on the American educational system, and supervised by a board of directors elected by parents. The school's constitution requires that at least three nationalities be represented on the board.

About 50% of the staff are hired locally, but some of the teachers are spouses of U.S. Government personnel stationed in Thailand. ISB's teachers and administrative staff have strong academic and teaching credentials.

The school offers kindergarten through grade 12, is accredited by the Western Association of Colleges and Secondary Schools, and is an academically excellent institution.

There is no longer a formal dress code, but all students are expected to be appropriately dressed and groomed while on campus or attending school-sponsored off-campus activities. Students are permitted to wear the national dress of their native countries. Uniforms are required only for physical education classes.

International School offers primarily a college preparatory program, although a limited number of vocational courses are available. Extracurricular sports and other activities are provided.

ISB participates in, and is a testing center for, the following national testing programs: Preliminary Scholastic Aptitude Test/National Merit Scholarship Qualifying Test (PSAT/NMQT), College Board Scholastic Aptitude Test (SAT), Strong Vocational Interest Inventory (SVII), College Board Achievement Test (ACH), American College Test (ACT), College Board Advanced Placement Test, Secondary School Admission Test (SSAT), and Test of Academic Progress (TAP).

Six psychologist/counselors work with students and parents in academic and personal counseling. ISB's facilities for learning-disabled students are limited. If a child needs a self-contained classroom, a small (10-12 students) classroom, extensive occupational therapy, or psychiatric counseling, these services are not available at ISB or anywhere in Bangkok.

Ruamrudee International School is another institution offering an English-language curriculum. The school, founded in 1963, is affiliated with the Catholic Church. A wide variety of elective and extracurricular activities are offered, as well as various sports.

Other schools in Bangkok include Holy Redeemer (Catholic), the Bangkok Pattana (British system), and La Petite École Française (French system).

Special Opportunities

Schools with instruction in English for handicapped children are not available, but a number of physical therapy clinics and wide range of Thai specialists can provide continuing care.

Several clubs in Bangkok offer English-language classes in the arts, sports, cooking, and crafts. The National Museum Volunteers group sponsors lectures on the ancient and modern history of Thailand, aspects of the country's culture and Buddhism, and Thai art. Qualified music teachers for many instruments are available, and a small music academy in Bangkok teaches theory and composition, and offers instruction in piano, voice, and stringed instruments.

Almost all Thai universities require a special entrance examination (which is in the Thai language) for undergraduate study. Most courses are taught in Thai. For these reasons, it is extremely difficult for an American student to enroll in a college degree program here.

Recreation

Facilities for many sports are available in Bangkok. Several commercial tennis and racquetball courts are located in the Sukhumvit area and in other parts of the city. Most golf courses are open to the public, and charge reasonable fees.

Privately owned health and exercise clubs are scattered throughout the city, some in the Sukhumvit district. Joggers use the paths at Lumpini Park, near the U.S. Embassy. Others jog on city streets in the early morning before traffic becomes heavy, or use the playing field at the International School of Bangkok. The Royal Bangkok Sports Club offers jogging tracks, horseback riding, an 18-hole golf course, and a swimming pool. However, there is a long waiting list (up to five years) for memberships, unless you pay a special, expensive fee.

There are bowling alleys and swimming pools in the residential areas. Ice skating and roller skating are available. Sporting goods can be bought locally, but prices are high.

Ballet, jazz, and aerobic classes for children and adults are offered at various Bangkok locations.

Spectator sports include Thai boxing, as well as other events ranging from tennis matches to gymnastic exhibitions.

Bangkok has a wealth of historic and scenic sites for the tourist to visit and enjoy. Local travel services have daily tours in modern air-conditioned buses. This is the best way, at first, to see the following sights: the Wat Benchamabophit, an ornate marble temple; Wat Po, which holds the large reclining Buddha image; Wat Trai Mitr, temple of the Golden Buddha; Wat Phra Keo, in the Grand Palace where the emerald Buddha is housed; and many other picturesque and exotic temples.

Boat trips and klong (canal) tours can be arranged. These include taxi rides on the Chao Phraya River, and "long tail" boat trips through the klongs (where the visitor can see Thai houses built on stilts, and observe a style of life based on water transportation networks). Cruises on converted rice barges also are possible.

A few examples of old Thai architecture have been preserved and now serve as museums. Among these are the Suan Pakkard Palace, which contains an antique collection of lacquer, pottery, and manuscripts; the Jim Thompson House, with its superb collection of objets d'art; and the Siam Society's Khamthieng House, an example of northern-style teak architecture. At the weekend market one can buy almost any conceivable article, from roasted beetles to antiques.

The following popular tourist attractions are within a day's drive of Bangkok:

The Ancient City and its outdoor museum, with replicas of nearly 100 ancient and modern monuments of Thailand erected on a scale of 1:1 up to 1:3.

The Rose Garden, featuring beautiful flower beds, a selection of hotels and restaurants, and a daily show recreating country life (Thai dancing, boxing, and cock-fighting).

Ayutthaya, the former capital of Thailand, only a two-hour drive from Bangkok. It has numerous ruins, some of which have been restored.

Bang Pa In, a former royal summer retreat with a collection of palaces and pavilions in various Thai, Chinese, Italian, and Victorian architectural styles.

Trips up-country and to the various beach resorts are a relaxing way to spend weekends and holidays. The following are some of the more frequently visited places:

Pattaya, a seaside resort with many excellent hotels and restaurants. Because of the rapid growth, however, the beaches are polluted and, unless one is willing to risk disease, water sports are limited to hotel pools. Scuba diving is popular, but requires long boat rides to the outer islands to avoid the worst of the pollution. Nearby, at Bang Saroy, is the local affiliate of the International Game Fish Association, a point of contact for the serious angler.

Hua Hin, which can be reached by train, car, or bus. This resort, the oldest in Thailand, has beautiful white beaches, and mountain scenery. Golf, swimming, snorkeling, scuba diving, and boating are available.

Phuket, a large offshore island about 560 miles south of Bangkok. It has unspoiled sandy beaches and is a favorite spot for scuba diving and snorkeling. Large tin mines are found here.

Khao Yai, a forest and wildlife preserve, about 125 miles northeast of Bangkok. Accommodations include a hotel, bungalows, and camping facilities.

Pimai, called the Angkor Wat of Thailand. It has ruins dating back to the 11th century.

Chiang Mai, a 50-minute flight or a 13-hour overnight train trip from Bangkok. It can also be reached by car in eight hours. Here, one can visit the northern hill peoples and the villages where artisans make umbrellas, silver bowls and jewelry, pottery, handwoven Thai silk and cotton, and carved teak furniture and other wooden objects. Located nearby is a young elephant training camp.

Tours organized by various groups are frequently offered to places outside the country, including Hong Kong, India, Nepal, Malaysia, Singapore, and Indonesia. Health and visa requirements change constantly, and must be checked before each trip.

Colorful festivals celebrating traditional Thai holidays include the following:

Songkran (mid-April), Thai New Year's Day. Young girls dressed in Thai national costumes go to the banks of the rivers in colorful processions. Water is sprinkled on Buddha images, monks, parents, and elders as a gesture of veneration. Sometimes the participants become too enthusiastic and throw buckets of water on passersby.

The Ploughing Ceremony which takes place during the sixth lunar month (May). It is an important festival, with historical roots embedded deeply in Thailand's traditional dependence on the fertility of the land, and in Buddhist and Hindu rituals of kingship. After the king touches the sacred red and gold plough for good luck, the plough is drawn by garlanded bulls in a circular furrow on the Phra Mane Grounds, site of the weekend market. Brahmin priests chant as the animals are offered seven varieties of crops. The yield of the next year's harvest supposedly depends on which crops the bulls choose.

Loy Kratong, celebrated on the night of the full moon of the 12th lunar month (November). This festival marks the end of the rainy season and the end of hard work in the fields. People float their bad fortune away from them in tiny banana leaf or paper floats (kratongs ), decorated with lit candles, flowers, and incense stick. The kratongs are sailed on rivers, canals, and ponds.

Ok Pansa (late October and early November), the end of the Buddhist Lent, during which monks must stay at a wat (temple) and not travel. At the end of Lent, Thai Buddhists can earn merit by presenting kathin, or offerings of food and other items for the wat, and new saffron robes for the monks. King Bhumibol Adulyadej, or another member of the royal family, presents kathin to several of Bangkok's large temples. Thai usually join together to purchase such offerings, often presenting them to a wat in another part of the country, and traveling there in festive procession.

Entertainment

Many activities and varied types of entertainment exist for children of all ages in Bangkok. Such attractions include Khao Din Zoo, one of the best in Southeast Asia; Magic Land, a Thai version of Disneyland; Siam Park, a combined amusement and water park; the Science Museum and Planetarium, with "hands on" exhibits; the Pasteur Institute's large collection of living poisonous snakes; and the monthly activities for children at the Nelson Hays Library.

Bangkok offers museums, art galleries, and occasional theater, dance, and music performances. The city also has discotheques and nightclubs.

Regular performances are sponsored at the Bangkok Community Theater, Music Society, Combined Choir, Alliance Française, and Bangkok Symphony. Americans interested in performing can join these groups.

The active American University Alumni Association regularly presents films, lectures, and displays, and holds classes in both Thai and English. Often, AUA sponsors performances of chamber music, jazz and popular music, and recitals by visiting American musicians. Various embassies and organizations offer Thai cultural programs throughout the year.

The Bangkok branch of the Interdenominational Christian Women's Club holds regular monthly luncheon programs. All are welcome; no dues are charged.

The Bhirasi Institute presents frequent art exhibits from Thailand and other countries. Local galleries show extensive work produced by Thailand's active artist community.

The Siam Society, organized to promote knowledge of the country's art, history, culture, and archaeology, provides activities toward these ends. The National Museum Volunteers plan trips and special programs.

At the International Club on Soi 21, Sukhumvit, there are tennis courts, a large swimming pool, a library, and a snack bar, open to all nationalities.

The American Women's Club welcomes any American woman or wife of a U.S. citizen residing in Thailand. The club has programs of local interest, operates a thrift shop, and maintains a servants' registry.

Americans participate in the activities of the Foreign Correspondents'Club and the Hilltribe sale. An American who speaks serviceable Thai will have access to an even wider range of activities and local organizations.

Chiang Mai

Chiang Mai, with a population exceeding 160,000 is an important regional center for commerce and tourism. It is about 500 miles north of Bangkok, on a river plain surrounded by mountain ranges. Buddhist temples are found on almost every block, and city streets are crowded with bicycles, motorbikes, and converted pickup trucks used as taxis. Although Chiang Mai is undergoing a modernization process, with high-rise condominiums being constructed throughout the city, it still retains a measure of its traditional charm which makes it a popular tourist stop.

Chiang Mai, founded nearly seven centuries ago, was a major religious, cultural, and commercial center until 1556 when Burmese invasion reduced it to a vassal state. The Burmese were driven out in 1775, and Chiang Mai and the surrounding Lan Na Thai kingdom once again became part of northern Thailand.

The city is noted for its scenic splendor, ancient temples, the lilting dialect of its people and, especially, for its beautiful women. The Thai call it Shangri-La.

January is Chiang Mai's coolest month, and warm clothing is needed at that time. Temperatures start to rise in February, reaching their hottest in April with highs of 107°F. The rainy season, May through October, brings relief and heavy rainstorms. November and December are the best months with bright, sunny days and cool nights.

The northern provinces, where Chiang Mai is located, are mountainous, with transportation lines running primarily on a north-south axis along the wide river valleys. The region produces rice, tobacco, corn, sugarcane, and seasonal delicacies such as strawberries. Opium and jade are major illicit products. Lumber, textiles, mining, cottage industry, and tourism are also important elements in the region's economy. About 500 Americans, many of them missionaries, reside in northern Thailand.

Education

The Chiang Mai International School (CMIS), licensed by the Ministry of Foreign Affairs and operated by the Church of Christ in Thailand, provides instruction from kindergarten through tenth grade. Instruction, using U.S. textbooks, is in English. Uniforms are not required, and jeans are acceptable attire.

The school, founded in 1954, offers classes in Thai language and culture. Currently no programs for either gifted or learning disabled students are available, nor does the school have guidance/vocational counselors.

Depending on the number and ages of preschoolers and the availability of teachers, informal nursery schools and play groups are often organized. Tutors can be found to teach Thai in the home, and the Alliance Française offers classes in French. Special educational opportunities may be available at Chiang Mai or Payap universities, but no organized activities or classes in English are currently offered.

Recreation and Entertainment

Chiang Mai offers the sports enthusiast golf, tennis, windsurfing, swimming, squash, bowling, fishing, horseback riding, and horse racing. Club memberships are available at reasonable rates. Sports equipment and attire are expensive, and both brand and choice of size are limited.

Chiang Mai is a popular tourist and trekking center. The city has many important and interesting Buddhist temples. On the mountain above Chiang Mai is the royal family's winter palace, Phuping, and a well-known Buddhist temple, Suthep. Nearby are villages that specialize in lacquer-ware, silver-smithing, silk and cotton weaving, wood carving, and umbrella making.

Regional touring opportunities include visits to elephant training camps, unusual hill-tribe villages, scenic waterfalls and picnic spots, historic sites along the Mekong River, and the towns of Chiang Rai, Lampang, Mae Hong Son, Lamphun, and Sukhothai. Interesting treks and river trips also can be enjoyed, although security regulations may limit the possibilities.

Several local movie theaters have special sound rooms where original English-language soundtracks are played. The U.S. Air Force detachment here receives films each week from the armed forces film circuit; these are screened for the official U.S. community Friday and Saturday evenings.

Three Thai TV stations are received in Chiang Mai, but unlike Bangkok, no simultaneous English-language FM soundtracks are broadcast. American sets must be converted to the European (PAL) system.

Radio Thailand Chiang Mai has English broadcasts both mornings and evenings. With a shortwave receiver, British Broadcasting Corporation (BBC) and Voice of America (VOA) can be picked up. No English-language newspapers are available, but two Bangkok English-language papers arrive daily.

Social activities among Americans are informal, and depend on individual inclination and initiative. There is an International Women's Group, which holds luncheon meetings, sponsors arts and crafts and cooking classes, and organizes other special activities. Chiang Mai has several Rotary Club and Lion's International chapters with active and multi-national memberships. Many club and sports activities bring together Thai and foreign nationals.

Songkhla

Songkhla lies at the tip of the Thailand peninsula, about 815 miles south of Bangkok. It is served by Thai Airways and has train connections to Bangkok and Malaysia from the rail junction at Hat Yai, a half-hour drive from the city. This port town has regular freight service to Bangkok. The main highway to Bangkok is paved and the main roads leading to other provinces in the south are generally good.

Sea breezes (from an inland sea to the north and the Gulf of Thailand to the east) give Songkhla a pleasant climate. The temperature stays in the 80s year round, with an occasional hot day. Rainfall is heavy from October through December. January through March is dry, with scattered rains.

In this city of about 250,000, the foreign community is small, but it continues to grow as a result of oil exploration efforts in the Gulf of Thailand. Housing is limited, but usually good. There is a first-class hotel on the beach. Electric current (220v, 50 cycles) is basically reliable, but subject to interruptions. City water is undependable, and the better homes have wells.

Songkhla has a provincial hospital. A Seventh-Day Adventist hospital and a new, modern university medical facility are located in nearby Hat Yai. Local markets are well stocked with seafood and fresh foodstuffs. Pork and chicken are readily available, but quality beef is hard to find. Shopping for items not found in Songkhla markets can be done in Hat Yai or Penang, a large northern Malaysian city, only four hours away by car.

The area around Songkhla includes many fine beaches. There are tennis courts and a golf course in the city.

Udorn

Udorn, a city over 100,000, is one of the regional hubs of northeastern Thailand. It is 350 miles northeast of Bangkok and 30 miles south of the Mekong River border with Laos. Udorn (Udorndhani) is connected to Bangkok with daily air, rail, and bus service. The drive from Bangkok takes eight hours on the Friendship Highway.

This part of Thailand, where life moves at a leisurely pace, has three distinct seasons. The cool interval, with clear warm days and cool nights, is from November to February. The hot dry season is like "burning sand under glass," to quote Kipling; it extends from March through May. The rainy season normally begins in June and tapers off in October.

From 1965 to 1976, the Royal Thai Air Force Base in Udorn housed a large contingent of U.S. Air Force personnel. With the withdrawal of this contingent in 1976, the American population dropped drastically; about 50 Americans now live in the Udorn area. These include retired military, missionaries, and Peace Corp volunteers, as well as diplomatic personnel.

Considerable economic growth in Udorn has resulted in the construction of new retail establishments, restaurants, hotels, and housing, although the city is still relatively small in area and does not yet boast any high-rises. Udorn has two Western-style supermarkets, as well as a number of smaller grocery shops selling a variety of Western-style products. In addition, traditional open markets offer a wide variety of fresh vegetables, meats, and other products. Bakeries carry local breads and cakes, but they differ somewhat from American versions.

Udorn's one department store and local shops meet most household needs. Ready-made clothing is difficult to find, but many tailor and seamstress shops offer decent service at inexpensive prices. Auto repair shops perform excellent maintenance on American and foreign-made cars at a reasonable cost. Film may be developed locally, but slides must be sent to Bangkok.

One of Udorn's four cinemas has a sound booth available where one can listen to the English soundtrack when an English-language film is shown. Local TV is in Thai, except for English subtitles during the evening news on one channel. English-language radio broadcasts can be heard on shortwave radio. Bangkok based English-language newspapers are available the evening of the date published. English-language video cassettes can be rented from stores in Bangkok; local shops carry a limited supply.

Udorn has many very good Thai and Chinese restaurants, as well as several acceptable Western ones. Recreational facilities are limited, but numerous tennis courts and a short nine-hole golf course are located just outside of town. Also available are four swimming pools, fishing parks, and a jogging path along the city reservoir. Nearby archaeological digs at Ban Chiang, and mountain campsites at Phu Kadueng National Park in Loei Province offer interesting weekend trips for the adventurous.

General Information

Most of Thailand lies north of Bangkok and is referred to as "up-country." In general, life outside of Bangkok is restful. Those bothered by the noise, smoke, heavy traffic, and crowded conditions of the capital will enjoy the tranquility and spaciousness of the up-country.

North of Bangkok are jade green rice fields that stretch for miles in all directions, crisscrossed by klongs. Beside the klongs, farmers build their houses on stilts, out of reach of the water, and plant a few fruit trees and vegetable gardens. Many plow their fields with the aid of huge, slow-moving water buffalo with long, curving horns, although an increasing number are using small machine plows. After the day's work, the farmers wash the mud of the paddy from their bodies in waters of the klong.

Beyond the rice lands, the teak-covered mountains reach to the northernmost part of Thailand. To the northeast, a high plateau rises abruptly from the plains and slopes eastward to the Mekong River, which separates Thailand from Laos. This plateau is dotted with scrubby trees. In many areas, water is scarce and the soil poor. The dry season makes unpaved roads dusty, and the monsoon turns them to mud.

The climate in the north and northeast varies more than in Bangkok. Lightweight blankets and sweaters are needed for the cool season, and summer clothing for the hot season.

Western-style housing varies up-country but, on the whole, it is good and steadily improving. Some new houses are being built, and ingenuity can make older homes comfortable and attractive. Houses are usually two-story, with airy rooms and at least one air-conditioned bedroom. Most electrical systems are 200v, 50 cycle, but voltage fluctuates sharply. Power failures in some areas are frequent, and water shortages occur during the dry season. Most homes have telephones.

Hotels vary widely. Some are new and modern; others have only cold water and furnish no sheets. For trips around the provinces, one must pack sheets, towels, soap, and plenty of extra changes of clothing.

Provincial hospitals have facilities adequate only for emergency treatment, although Chiang Mai has excellent medical institutions. Routine medical care is available at four hospitals in Udorn. Most expatriates with serious medical problems, or those requiring surgery or extended treatment, seek medical care in Bangkok. Also, most foreigners go to Bangkok for inoculations and dental care.

Since only Bangkok and Chiang Mai have English-language schools, American parents up-country either send their children to boarding school, or teach them at home, using the Calvert system. In some communities with several children, arrangements are made for one parent to act as teacher for all children.

Even the larger up-country towns may have only small Western communities, and may offer limited social activities and recreational facilities. Many people develop hobbies such as painting, writing, and gardening. Others teach English, cooking, or handicrafts to children or adults. Families now living up-country suggest that newcomers bring musical instruments, games, books, and sports equipment. A shortwave radio is useful. Most of these items can be bought in Bangkok.

A few up-country places have only one or two American families, but this isolation seems to draw them closer together. Friendships seem warmer and a spirit of neighborliness prevails, much as in pioneer days in America. English is not widely understood or spoken in the up-country.

A great advantage of living up-country is the chance to become well acquainted with Thai people, to learn their language, customs, and culture. Many Americans who have accepted the challenge of working in rural Thailand feel that the experience gives a satisfaction that far outweighs the occasional inconvenience.

OTHER CITIES

KHON KAEN is the capital of Khon Kaen Province in east-central Thailand. The city lies on a railroad, 100 miles north of Nakhon Ratchasima. A university opened here in 1964. Khon Kaen's population is estimated over 210,000.

The capital of its province, LAMPANG is on the left bank of the Wang River and near a railroad, 45 miles southeast of Chiang Mai. Located in northwestern Thailand, the city is linked by a highway with Chiang Rai. Lampang is a commercial center with sugar-refining facilities.

Situated in southwestern Thailand, NAKHON PATHOM (also spelled Nagara Pathom) is the capital of Nakhon Pathom Province. The city is about 38 miles northwest of Bangkok and has, among its landmarks, a large temple.

Formerly ruled by Cambodia (officially called Democratic Kampuchea), the ancient walled city of NAKHON RATCHASIMA (also called Khorat or Korat) is the capital of its province, and lies on the Mum River, 100 miles east of Phra Nakhon Si Ayutthaya. Nahkon Ratchasima's population exceeds 280,000. A railroad junction point, the city is a trading and distributing center for the eastern region of the country.

PHET BURI (also spelled Petchaburi or Bejraburi) is a seaport and provincial capital on the northwestern shore of the Gulf of Thailand. A railroad connects it with Bangkok, 60 miles southwest.

The seaport town of PHUKET is the capital of Phuket Province in southwestern Thailand. As one of the major Thai ports on the Indian Ocean, Phuket exports fish, rubber, charcoal, and tin.

Situated in southern Thailand, near the Malaysian border and 22 miles south of Pattani, YALA is a provincial capital. It is on the Pattani River and on the railway that runs from Songkhla to northeastern Malaysia. The residents of Yala are Malay in their language and culture and Islamic in religion. The city's exports include rubber and tin.

COUNTRY PROFILE

Geography and Climate

The Kingdom of Thailand, formerly Siam, is located at a strategic crossroads in Southeast Asia. With an area of about 200,000 square miles, it is the region's second largest nation. Its boundaries adjoin Myanmar on the north and west, Laos on the east and northeast, Cambodia on the southeast, and Malaysia and the Gulf of Thailand on the south.

Topographically, Thailand presents a varied landscape of forested mountains, dry plateaus, fertile river plains, and sandy beaches. Mountain ranges run along the border with Myanmar and down to Malaysia. Another range splits the country in half from north to south. Major deforestation has occurred throughout Thailand. However, the government has attempted to save the forests by imposing a ban on commercial logging.

The Chao Phraya River originates in the north and flows southward. It irrigates the fertile rice lands of the central plains through a network of klongs. This long waterway also serves as the main water transportation route through the central part of the country. It empties into the Gulf of Thailand near the international port of Bangkok. Day and night, the river teems with traffic: ships of many lands; round-bottom barges loaded with rice, sugar, rubber, teak, and coconut; brightly painted river taxis; and tiny sampans piled high with fruits and vegetables for the city market.

Because it is located between the equator and about 20°N latitude, Thailand is warm and humid and classified as tropical monsoon. A pronounced rainy season lasts from July through October. From November through February, the northeast monsoon brings a cooler, drier period, when humidity drops from an average high of 95.2% to an average low of 58.5%. During this season, temperatures range from the mid-60s in the morning to the mid-80s during the day. March through June is usually hot and humid, and temperatures often reach 100°F.

Thailand's warm, humid climate, particularly during the rainy season, can cause mildew. However, air-conditioning generally prevents serious problems. The usual tropical insects and small lizards live on ceilings and walls; the lizards eat mosquitoes and other insects and do no damage or harm. Ants of all varieties abound. Ticks are a problem for pet owners.

Population

In 2000, Thailand's population was estimated at 61.2 million. Most people are native-born Thai whose ancestors migrated from southern China in the sixth and seventh centuries A.D. Over the centuries, they have developed an independent culture and identity that is uniquely national in character. The most significant minority are the Chinese, who comprise 14% of the population and live throughout Thailand. Small minorities include the Malays, Mon, Khmer, Indians, Vietnamese, and various hill tribe peoples. About 20% of the population live in cities, with a disproportionately large number—six million—concentrated in metropolitan Bangkok. Villages and small towns dot the greater part of the landscape. The annual population growth rate has declined dramatically from over 3% a year in 1960 to less than 1% in 2001.

The Thai, historically governed by strong central rule tempered by Buddhist precepts of reciprocity between the king and his people, retain a traditional reverence for their monarch. Throughout their history, the Thai have encountered and borrowed selectively from regional and, later, Western civilizations, producing a rich cultural synthesis that is uniquely Thai. That their country maintained its independence despite pressures from colonial powers is a matter of great pride. A strong sense of cultural and national identity has helped to protect this society from massive disruption as it shifts from an agrarian economy to a developing, urbanizing, industrial state.

Social interactions are governed by formal expressions of courtesy, and deference to age and social status. Thais greet one another with a wai, performed by placing the palms of the hands together in front of the face and bowing slightly. The younger, or the one of lower station in life, customarily initiates the greeting. The word used is sa-wat-dee kha, spoken by women, and sa-wat-dee krap, by men. When taking leave, the same words and wai are repeated. It is good manners to remove shoes on entering a Thai home, and this custom is obligatory before entering a temple or shrine.

It is impolite to touch a Thai, even a child, on the head or shoulders, to point or shake a finger at another person, or to talk loudly or shout. To point one's feet at, or step over, another person is considered an insult. A woman should never touch a Buddhist monk, hand anything directly to him, or allow her clothing to brush against his robe. Sitting or standing on Buddha images is considered a sacrilegious act, punishable by a fine or jail sentence. Pointing fingers at, or touching, any image of the Buddha is viewed as an expression of bad manners.

The royal family is of particular importance to all Thais. It is not acceptable to speak out against the King. Such behavior is punishable under lese majeste laws. Talking about any member of the royal family in derogatory terms, even in casual conversation, is also not acceptable. Everyone at a gathering stands when the King's anthem is played.

Thai is a tonal language, with a root monosyllabic vocabulary enriched by the addition of Sanskritic and other loan words. It is not inflected, and the absence of tenses and cases makes it relatively easy for Americans to pick up a rudimentary command of Thai, despite the difficulties introduced by the tone system. The regional dialects, as well as the closely related Lao language, can be hard to understand but, in this age of radio and television, almost all Thai people now understand some Bangkok or Central Thai. English, the second language of most educated Thais, is taught in schools and universities.

Thailand is a religious nation; 95% of its people are Buddhist. A mixture of Theravada Buddhism, Hinduism, and animism permeates all levels and aspects of society. It is a stabilizing force both at national and at local levels, where it provides a focus for community life, particularly in rural areas.

The wat (temple) is used not only for spiritual purposes, but for ceremonies of birth, marriage, and death. It also is used for recreation and welfare activities and, in remote areas, still serves as a school. Thai Buddhist men gain merit by spending from three months to several years in the saffron robes of the monk, adhering to Buddhist moral and religious precepts, or Dhamma, and performing meritorious acts.

Most Chinese and Vietnamese in Thailand are adherents of Mahayana Buddhism. Less than 0.5% of the population are Christian. Thai Muslims, about 4% of the total population, are concentrated in the four southern provinces along the Malaysian border.

Most scholars believe that the Thai (also known as the Siamese) people migrated from the hilly hinterlands of southern China into what is now Thailand over 1,000 years ago. Settling first in the fertile central plain and basin of the Chao Phraya River, they created a series of independent kingdoms that competed with their Burmese and Khmer neighbors.

In the 13th century, the Thai defeated the Khmer and created a kingdom with its capital at Sukhothai. A second kingdom, founded in 1351 at Ayudhaya, later eclipsed Sukhothai in importance. The Burmese, in April 1767, sacked and captured Ayudhaya, killing the Thai king. Six months later the Siamese drove out the Burmese and General Phraya Taksin established a new capital in Thonburi, across the river from what is now Bangkok. In 1782, Rama I, who replaced Taksin and founded the current Chakri dynasty, moved the capital across the river to its present location. Although Westerners have long called the city Bangkok after a small fishing village once nearby, the Thai name of the capital is Krung Thep, or City of Angels. The Grand Palace lies in an area called Rattanakosin, or the Jewel of Indra, the name also used to designate the Chakri era's history and culture.

Government

In Thailand's pre-modern Buddhist state, the king was a living Buddha, or Bodhisatta, for his subjects, and a living embodiment of Buddhist law (Dhamma ). He was protector of the monastic orders, and performed regular ceremonies to assure the progression of the seasons and fertility of the land. Considered to be between human and divine, he was the apex of an earthly hierarchy below which the Thai social and political order was formed. Kings of the Chakri dynasty (late 19th and early 20th centuries) were a powerful modernizing force, introducing important reforms and innovations while protecting the country from encroachment by imperialistic forces in the region.

The modern period began in 1932 with the advent of constitutional monarchy and experiments with the parliamentary system. Since 1946, American-born King Bhumibol Adulyadej (Rama IX), as chief of state, has ruled in conformity with provisions of the constitution. The king has little direct power, but he plays an important symbolic, unifying role, and he continues to be the protector of Buddhism, performing regular ceremonial roles and is the patron of all religions. Legislative power lies with a democratically elected government led by a prime minister.

Since 1932, Thailand has lived under a succession of unstable governments in which the military has played a dominant role. Changes of government frequently came through coups and the groups seizing power rewrote the constitution to suit their own purposes. A relatively stable time occurred in the 1980s when Prime Minister General Prem Tinsulanonda presided over eight years of coalition governments. The military last seized power in 1991, but with citizen protests and royal intervention, civilian rule was restored in 1992.

The most significant development since then was the ratification of the current constitution in 1997. Thailand has revised their Constitution 16 times since 1932. The recent reforms involve the political process as well as expanded the rights and civil liberties of Thai citizens. They include the establishment of a National Counter Corruption Commission, a Constitutional Court, a national Human Rights Commission, and a new national Election Commission.

The Ratha Sapha (National Assembly) has two chambers: the Saphaputhan Ratsadon (House of Representatives), with 438 members, and the Wuthisapha (Senate) with 200 members.

House terms last for four years. However, the prime minister may choose to dissolve the House and call elections before that date. Elections for the country's first elected Senate were held in March 2000. All members of the Senate are elected concurrently for a set term of six years, and members are not eligible for reelection.

With the exception of the Democrat Party, Thailand's oldest organized political party, Thai political parties have tended to be centered on individual personalities rather than ideologies.

Thailand's legal system blends principles of traditional Thai and Western laws; Koranic law is applied in the far south, where Muslims constitute the majority of the population. The Supreme Court is the highest court of appeals, and its judges are appointed by the king.

The flag of Thailand is comprised of five horizontal bands—red, white, dark blue, white, and red, in that order. The central blue band is twice the width of the others.

Arts, Science, Education

The literacy rate for Thais aged 15 and over is 90%. Ninety-seven percent of those eligible for first grade enter school and 65% of these complete the primary grades. 60%, however, enroll in secondary and higher education. Bangkok is the home of 10 state-run universities and numerous private colleges and universities. Chiang Mai, Khon Kaen, and Songkhla each have an important regional university. The language of instruction is Thai, except for selected graduate economics and business programs that offer courses in English.

The predominant sources of modern Thai culture are Hinduism and Theravada Buddhism, as transmitted through contact with ancient Mon, Ceylonese, and Khmer civilizations centered in what are now Myanmar, Sri Lanka, and Cambodia. A perceptible Chinese influence also exerts itself in many aspects of Thai culture. In southern Thailand, long traversed by Muslim traders, elements of the classical Islamic tradition have been incorporated into the culture.

Art objects in Thailand traditionally were created and used for religious purposes—decoration of temples, sacred manuscripts, and religious statues—and for the use of royalty and nobility. As a result of the sacking of Ayutthaya in 1767 and the destruction of many cultural artifacts, Thai art for this period is scarce, but later periods are well represented in museum and other collections. After the late 1940s, schools of modern Thai art began to show marked Western influences. Although many artists paint in styles derived from Western models, others are experimenting with expressing traditional Buddhist themes in contemporary forms. Traditional techniques are preserved and taught at Silpakorn University and the Department of Fine Arts in Bangkok.

The National Museum in Bangkok contains an extensive collection of Thai art, including prehistoric objects, sculpture, pottery, and paintings representing various periods and objects (furnishings, carriages, etc.) from previous royal families. The Jim Thompson House (dedicated to the man who popularized Thai silk throughout the world) and Suan Pakkard Palace exhibit private collections which contain some of the finest examples of Thai antiques.

The Museum Volunteer Group and the Siam Society give lectures and arrange study work groups on Thai culture. A number of cultural societies, including the Alliance Française, British Council, Goethe Institute, Japan Foundation, and American University Alumni Association show movies from their respective countries, usually in their native languages, and sponsor The Bangkok Community Theater, an amateur group, which presents a number of plays each year. The Bangkok Combined Choir presents an annual performance of Handel's Messiah. The Bangkok Music Society schedules recitals all year and the Bangkok Symphony Orchestra's yearly season includes at least four concerts.

Many private galleries show the works of contemporary artists and artisans. Air-conditioned theaters show American, Thai, Indian, and Japanese movies daily. In recent years, the more traditional forms of Thai art, music, and dance have been revived. The Royal Siamese classical dances, now in great demand, are performed frequently by troupes of the Department of Fine Arts, dance schools, and private groups. The more traditional forms of painting and handicrafts, including work with silver, silk, bronze, lacquer, and ceramics, also are enjoying a resurgence.

Commerce and Industry

In the earlier part of the 1990s, the Thailand economy was one of Southeast Asia's strongest. But financial crisis hit, beginning in 1997. By the end of 1998, the economy had collapsed by 10.8%, local currency lost half its value, and about 70% of Thailand's domestic financial institutions were either shut down, taken over by the government, or merged with other institutions. Per capita income dropped from $3,000 in 1996 to $1,800 in 1998.

With over $17 billion dollars of aid from the International Monetary Fund, the economy has stabilized and has begun to move forward at a slow, but relatively steady rate.

About 54% of the labor force is involved in agriculture. The most important crop is rice, which is both the staple food and the principal export. Other agricultural commodities produced in significant amounts include: fish and fishery products, cassava (tapioca), rubber, maize (corn), and sugar. Exports of processed foods such as canned tuna, pineapples, and frozen shrimp are on the rise.

Thailand's manufacturing sector has revived with rapid increases in production of such goods as computers and electronics, garments and footwear, furniture, wood products, canned food, toys, plastic products, gems, and jewelry. High-technology products such as integrated circuits and parts, electrical appliances, and vehicles are now leading Thailand's strong growth in exports.

Tourism is still one of Thailand's single largest earners of foreign exchange. Many new luxury hotels and other tourist facilities have opened in order to serve the growing number of tourists from Japan, Europe, the U.S., and Taiwan.

The U.S. is Thailand's leading export market, followed by Japan and Singapore. Leading Thai exports are fishery products (especially canned tuna), textiles, integrated circuits, jewelry/precious stones, and footwear. Japan supplies most of Thailand's imports, followed by the U.S. Leading Thai imports are machinery and parts, aircraft, chemicals, textile fibers (especially cotton), and fish.

American investment has played a significant role in the Thai economy. Two American companies, ESSO (Exxon) and Caltex (a joint venture of Chevron and Texaco), are among the four largest gasoline retailers in Thailand. Seagate Technology has made Thailand its worldwide base for production of computer disk drives, and AT&T has constructed the world's largest corded telephone manufacturing plant outside Bangkok. American consumer brands such as Coca-Cola, Pepsi, Gillette, Johnson and Johnson, and Colgate-Palmolive are well established in Thailand, selling products that are either imported or manufactured by local subsidiaries. American investment has not increased as rapidly as that of Japan or Taiwan, although the U.S. is still considered the largest or second largest foreign investor in Thailand.

Transportation

Bangkok is served by several international air carriers, and there are domestic airlines providing service between Thai cities. Comfortable, air-conditioned buses also are available, traveling to major cities and resort areas. Daily first-class train service to major cities is also available.

Canals, or klongs, have traditionally provided an important mode of transportation in parts of central and southern Thailand. Although most canals in Bangkok have been filled in, or are no longer navigable, water-taxi routes starting from points along the banks of the Chao Phraya River link the capital city to the large number of klongs in the countryside. Water taxis and small motorboats provide a low-cost and efficient means of transporting passenger and light-cargo traffic, and are a pleasant way to explore a style of Thai life not visible from the roads. These boats do not carry life jackets.

Roads in Bangkok are generally good. However, because the city is below sea level, major drainage problems arise during the rainy season, when certain streets become, or revert to, canals; when others flood; and when large potholes and drain openings go unrepaired for many weeks. Roads vary from the Friendship Highway and the main north-south roads, all in good condition, to unpaved, ungraded surfaces, often impassable by flooding during the rainy season.

Bangkok traffic is heavy and, when not halted at intersections in the city's infamous and interminable traffic jams, moves at a reasonable pace. The billows of black smoke emitted by public buses, exhaust fumes from other vehicles, and the mixture of large passenger cars, motorcycles, bikes, samlors, public buses, and pedestrians make driving one of the least attractive and most fatiguing aspects of life in Bangkok. The perpetual, severe congestion forces people to arrange the day's activities around traffic problems, and often exceeds the limits of time, tolerance, frustration, and fatigue.

Public transportation in Bangkok includes buses (always crowded and driven aggressively); samlors (two-passenger, three-wheel vehicles used in emergencies for short trips); and taxis.

Taxis are usually air-conditioned to some degree. The state of repair of the taxi, the driver's knowledge of the local major destinations, English competence, and basic driving ability (including possession of a drivers license) can vary widely from taxi to taxi. The traveler should negotiate the fare before entering the vehicle and, upon completion of the trip, remain seated in the taxi until change is received. Meters are not required by law.

Taxis dispatched from hotels are air-conditioned and more comfortable, but the rates are two or three times the fare for a regular taxi. Hotel taxis are, however, particularly useful for late night trips or journeys to the airport because they can be booked in advance. You can rent air-conditioned cars and minibuses, with or without drivers, for trips in and out of Bangkok.

Local police cars vary in color; fire trucks are red. Traffic, when directed, is controlled by traffic lights or police officers.

Personally owned vehicles should be air-conditioned for comfort. The extremely hot, humid, and polluted air makes driving with open windows difficult.

Traffic moves on the left. Right-hand-drive cars are safer, especially on the open highways, but left-hand-drive cars can be used. Station wagons and larger vehicles are not recommended, since they are difficult to maneuver or park in certain areas of Bangkok. They also cost more to operate and are difficult to sell.

Japanese and European cars can be purchased locally, although often with a wait of three to four months for delivery. If an American car is shipped, it should have a tropical radiator. Unleaded gas is not available. Adequate repairs are done on the local market. Labor costs are low, but most replacement parts for non-Japanese cars are expensive. Tires are available locally at reasonable prices.

Cars must carry adequate property damage and liability insurance. Several Bangkok firms are licensed to issue policies in Thailand, but many Americans order from well-known firms in the U.S. Third-party liability insurance is required; full comprehensive coverage is recommended.

Automobiles brought into the country must be registered promptly upon arrival, and cannot be driven without Thai license tags. Since it takes up to three months to obtain a Thai driver's license, an international or U.S. permit can be used in the interim.

Communications

Telephone service to the U.S. is good. Sometimes you can be put right through and at other times there is a one-to two-hour delay while the call is routed through the international operator. Calls may be placed from home, hotel, or the Central Radio Telephone Service of the General Post Office on New Road in Bangkok. Telegrams and cables can be sent from any post office and from most hotels; messages must be submitted in written form. Airmail service to the U.S. takes three to 10 days, and transit time for surface mail is from 10 to 20 days.

Thai television operates on the PAL system; American-made color sets must be adjusted before use. Modification to PAL can be done locally, but it is expensive and the results are not always satisfactory. Reception is fair when an outside antenna is used. Sets purchased locally are expensive.

Bangkok has five television stations. The stations carry some American and British programs, and English translations of the news, which the viewer receives by tuning in the appropriate channel and listening to the English soundtrack on FM radio.

A number of Thai-language and a few English-language radio stations operate on FM stereo and regular AM frequencies. Shortwave carries Voice of America (VOA) and the British Broadcasting Corporation (BBC).

Bangkok has two English-language dailies: the Bangkok Post and The Nation Review. Both offer home delivery and use Western wire services to supplement domestic news. Time and Newsweek (international editions), the International Herald Tribune, and USA Today are available by subscription or direct purchase at newsstands.

Health and Medicine

Bangkok has a full range of trained, English-speaking medical and dental specialists. Hospitals used by the American community are modern and well-equipped. In Bangkok, only a limited number of medical specialists are qualified to offer care to the physically handicapped or mentally disabled. In other cities, there are hospitals which are adequate for routine treatment; more complicated cases are often treated in Bangkok.

Most diseases in Thailand are also common in the U.S., but some occur with greater frequency because of climatic and sanitary conditions. Heat rashes, fungus infections, colds and other respiratory infections, and intestinal disorders are common. Careful attention to sanitation and hand cleanliness is the best preventive against intestinal disorders.

Lack of vehicle pollution control plus severe industrial pollution have created a serious air pollution problem in Bangkok. Persons with chronic respiratory problems should seek medical advice before arriving for an extended stay, since these conditions usually become much worse here.

In large cities, household water comes from purification plants, but the possibility of contamination in the distribution system always exists. Boiled or bottled water must be used for drinking, making ice cubes, and brushing teeth. During times of flooding, drinking water becomes contaminated by seepage into the delivery pipes and diarrheal diseases invariably increase in frequency. Since the water here contains no fluoride, pregnant women and all children under 18 should use a fluoride supplement.

Fresh milk and ice cream are sources of many infectious diseases. Canned and powdered milk are safe to use, as are the products of Foremost Dairy, sold in most local supermarkets. Meat, especially pork, should be cooked thoroughly, and raw fruits and vegetables must be washed with soap and water and then soaked in chlorine or an iodine solution prior to cooking or peeling.

Mosquitoes are profuse throughout the country, but malaria is not a problem in the major cities or resort areas. Suppressants are available when traveling to border regions. Hepatitis is transmitted by contaminated food and water, but gamma globulin shots reduce its incidence and severity dramatically.

Rabies shots for pets are not compulsory, but rabid dogs are common here. All foreign residents, especially children, should (in advance of arrival) receive pre-exposure rabies immunizations. Any person> bitten or scratched by a fur-bearing animal or bat should seek medical care immediately. Cats, dogs, and other animals susceptible to rabies should have rabies shots before they are brought to Thailand as pets.

LOCAL HOLIDAYS

Jan. 1… New Year's Day

Feb. … Chinese New Year^*

Apr. 6… Chakri Day

Apr. … Songkran Day^*

May 1… Labor Day

May … Royal Ploughing Ceremony^*

May … Visakha Bucha Day^*

July … Khao Phansa (Buddhist Lent)^*

Aug. 12 … Her Majesty the Queen's Birthday & Mother's Day

Oct. 23 … Chulalongkorn Day

Dec. 5… His Majesty the King's Birthday & Father's Day

Dec. 10… Constitution Day

Dec. 31… New Year's Eve^*

^*variable

NOTES FOR TRAVELERS

Several international air carriers serve Bangkok. The most commonly traveled route for Americans is via Tokyo and Hong Kong.

U.S. citizen tourists staying for less than 30 days do not require a visa, but must possess a passport and onward/return ticket. A Passenger Service Charge, currently 500 baht (USD equivalent as of September 2001: $11.50), must be paid in Thai baht when departing the country from any of Thailand's international airports. Thailand's Entry/Exit information is subject to change without notice. For further information on Thailand's entry/exit requirements, please contact the Royal Thai Embassy, 1024 Wisconsin Avenue, N.W., Washington, D.C. 20007, telephone (202) 944-3600, or the Internet web site http://www.thaiembdc.org, or the Thai consulates in Chicago, Los Angeles, or New York City.

Thai customs authorities may enforce strict regulations concerning temporary importation into or export from Thailand of items such as firearms, explosives, narcotics and drugs, radio equipment, books or other printed material and video or audio recordings which might be considered subversive to national security, obscene, or in any way harmful to the public interest and cultural property. It is advisable to contact the Embassy of Thailand in Washington, D.C. or one of the Thai consulates in the United States for specific information regarding customs requirements.

Americans living in or visiting Thailand are encouraged to register either online or in person at the Consular Section of the U.S. Embassy in Bangkok or the U.S. Consulate General in Chiang Mai. At both locations updated information on travel and security in Thailand is available. The Consular Section of the U.S. Embassy is located at 95 Wireless Road in Bangkok; the U.S. mailing address is APO AP 96546-0001. The central switchboard number is (66-2) 205-4000; the American Citizen Services Unit number is (66-2) 205-4049; and the fax number is (66-2) 205-4103. The web site for the U.S. Embassy is http://usa.or.th. American citizens can register online via the web site. Questions regarding American Citizens Services can be submitted by E-mail to [email protected]. The U.S. Consulate General in Chiang Mai is located at 387 Wichayanond Road; the U.S. mailing address is Box, C, APO AP 96546. The telephone number is (66-53) 252-629 and the fax number is (66-53) 252-633.

Pets

Thailand has no quarantine restrictions on entering pets, but does require a rabies inoculation certificate and a certificate of good health issued not more than one week prior to arrival. Bangkok's tropical climate poses numerous health hazards for pets. Dogs especially are susceptible to such afflictions as heartworm, roundworm, and other parasites. Fleas and ticks also abound. Local veterinary clinics are not always up to U.S. standards. Bangkok has a high incidence of rabies, and local pet purchases are discouraged. Pet goods are available at local pet shops.

Firearms & Ammunition

Any weapon that can be fired must be registered with authorities. Foreigners should not import antique weapons. Firearms imported into Thailand must be exported upon the owners departure, and cannot be disposed of by sale or gift within the country. Weapons are restricted to pistols and revolvers with minimum four-inch barrel length and maximum. 45 caliber bore (one of each caliber); target rifles, not larger than. 22 caliber (one of each type); hunting rifles neither operable in full automatic mode, larger than .375 caliber, nor configured as a military weapon (one of each caliber); shotguns, one of each designed for skeet or trap shooting, and one of each designed for hunting; and a total of 1,000 rounds of ammunition.

Social Customs & Laws

Thailand's traditional greeting is the wai, made by placing the palms together and raising them to a level determined by the relative status of those being greeted. The handshake is becoming more popular among cosmopolitan Thais.

It is a criminal offense to make negative comments about the King or other members of the royal family. Thais hold the King in the highest regard, and it is a serious crime to make critical or defamatory comments about him. This particular crime--dubbed "lese majeste"--is punishable by a prison sentence of three to fifteen years. Purposely tearing or destroying Thai bank notes, which carry an image of the King, may be considered such an offense.

Currency, Banking & Weights and Measures

The time in Thailand is Greenwich Mean Time (GMT) plus seven.

The basic unit of Thai currency is the baht, divided into 100 satangs. All normal banking services are provided by several foreign and Thai banks; many have sidewalk currency exchange windows.

Thailand uses the metric system for most weights and measures, but some local units remain in force, particularly in the provinces. Some of the more important local measures are the rai (.4 acres), the square wah (four square meters), and the picul (60 kilograms).

RECOMMENDED READING

The following titles are provided as a general indication of the material published on this country:

Bowie, Theodore, and Alexander Griswald. The Arts of Thailand. Westport, CT: Greenwood Press, 1975.

Bunnag, Jane. Buddhist Monk, Buddhist Layman. Cambridge: Cambridge University Press, 1973.

Cadet, J.M. Ramakien: The Thai Epic. Palo Alto, CA: Kodansha, 1971.

Coedes, George. The Hinduized States of South-East Asia. Honolulu, HI: University Press, 1975.

Donner, W. Five Faces of Thailand. London: C. Hurst, 1978.

Girling, J. Thailand: Society and Politics. Ithaca, NY: Cornell University Press, 1981.

Keyes, Charles F. Thailand: Buddhist Kingdom as Modern Nation-State. Boulder, CO: Westview Press, 1987.

Klausner, William J. Reflections on Thai Culture. Bangkok: Siam Society, 1983.

Manunet, Banham. Siamese Tales Old and New. Philadelphia: R. West, 1978.

McKinnon, John, and Wanat Bhruksari. Highlanders of Thailand. Kuala Lumpur, Malaysia: Oxford University Press, 1983.

Morell, D., and Chai-Anan Samudvanij. Thailand: Reform, Reaction, and Revolution. Cambridge, MA: Oelgeschlager, Gunn and Hain, 1981.

Na Pombhejra, Vichitwong. Readings in Thailand's Political Economy. Bangkok Printing Enterprise, 1978.

Nuechterlein, Donald Edwin. Thailand and the Struggle for Southeast Asia. Ithaca, NY: Cornell University Press, 1965.

Segaller, Denis. New Thoughts on Thai Ways and Some Old Ones, Too. Bangkok: Mke. Magazine Distribution Service, 1989.

Sivaraksa, S. Siam in Crisis. Bangkok: Komol Keemthong Foundation, distributed by Suksit Siam, 1980.

Smith, Bardwell, ed. Religion and Legitimation of Power in Thailand, Laos, and Burma. Chambersburg, PA: Anima Books, 1978.

Spinks, Nelson. Ceramic Wares of Siam. Bangkok: Siam Society, 1978.

Swearer, Donald K. Buddhism and Society in Southeast Asia. Chambersburg, PA: Anima Books, 1981.

Waugh, Alec. Bangkok: The Story of a City. Boston: Little, Brown, 1971.

Wells, Kenneth Elmer. Thai Buddhism: Rites and Activities. New York: AMS Press, 1982.

Wyatt, David K. Thailand: A Short History. New Haven: Yale University Press, 1984.

Young, Ernest. The Kingdom of the Yellow Robe. London: Oxford University Press, 1982.

Thailand

PROFILE
PEOPLE
HISTORY
GOVERNMENT AND POLITICAL CONDITIONS
ECONOMY
FOREIGN RELATIONS
U.S.-THAI RELATIONS
TRAVEL

Compiled from the October 2007 Background Note and supplemented with additional information from the State Department and the editors of this volume. See the introduction to this set for explanatory notes.

Official Name:

Kingdom of Thailand

PROFILE

Geography

Area: 513,115 sq. km. (198,114 sq. mi.); equivalent to the size of France, or slightly smaller than Texas.

Cities: Capital—Bangkok (population 9,668,854); Nakhon Ratchasima (pop. 437,386 for Muang district and 2,565,685 for the whole province), Chiang Mai (pop. 247,672 for Muang district and 1,595,855 for the whole province).

Terrain: Densely populated central plain; northeastern plateau; mountain range in the west; southern isthmus joins the land mass with Malaysia.

Climate: Tropical monsoon.

People

Nationality: Noun and adjective—Thai.

Population: (2006) 65.28 million. (Data based on Bank of Thailand.)

Work force: (2006) 36.43 million.

Annual population growth rate: (2006 est.) 0.3%.

Ethnic groups: Thai 89%, other 11%.

Religions: Buddhist 94-95%, Muslim 4-5%, Christian, Hindu, Brahmin, other.

Languages: Thai (official language); English is the second language of the elite; regional dialects.

Education: Years compulsory—12. Literacy—94.9% male, 90.5% female.

Health: (2006 est.) Infant mortality rate—19.5/1,000. Life expectancy—68 years male, 75 years female.

Government

Type: Thailand remains a constitutional monarchy. Prime Minister, Cabinet, and National Legislative Assembly were appointed by the leaders of a September 19, 2006 coup d’etat. Military leaders constitute a Council for National Security. The current structure will remain in place until a democratically elected government takes office.

Constitution: Thailand adopted its current constitution following an August 19, 2007 referendum.

Independence: Never colonized; traditional founding date 1238.

Government branches: Executive—King (chief of state), Prime Minister (head of government). Legislative—National Assembly (unicameral, appointed by the military leadership). Judicial—composed of the Constitutional Tribunal, the Courts of Justice, and the Administrative Courts.

Political subdivisions: 76 provinces, including Bangkok municipality, subdivided into 796 districts, 81 subdistricts, 7,255 tambon administration, and 74,435 villages.

Political parties: Multi-party system; Communist Party is prohibited.

Suffrage: Universal and compulsory at 18 years of age.

Economy

GDP: (2006) $206 billion.

Annual GDP growth rate: (2006) 5.0%.

Per capita income: (2006) $3,155.

Unemployment rate: (2006) 1.5% of total labor force.

Natural resources: Tin, rubber, natural gas, tungsten, tantalum, timber, lead, fish, gypsum, lignite, fluorite.

Agriculture: (8.9% of GDP) Products—rice, tapioca, rubber, corn, sugarcane, coconuts, soybeans.

Industry: Types—tourism, textiles, garments, agricultural processing, cement, integrated circuits, jewelry, electronics, and auto assembly.

Trade: (2006) Merchandise exports—$128.2 billion: textiles and footwear, fishery products, computers and parts, electronics, electrical appliances, jewelry, rice, tapioca products, integrated circuits, rubber, automobiles. Major markets—ASEAN, U.S., EU, Japan, China, and Singapore. Merchandise imports—$125.9 billion: machinery and parts, petroleum, iron and steel, chemicals, vehicles and parts, jewelry, fish preparations, electrical appliances, fertilizers and pesticides. Major suppliers—Japan, ASEAN, Middle East, China, EU, and U.S.

PEOPLE

Thailand's population is relatively homogeneous. More than 85% speak a dialect of Thai and share a common culture. This core population includes the central Thai (33.7% of the population, including Bangkok), Northeastern Thai (34.2%), northern Thai (18.8%), and southern Thai (13.3%).

The language of the central Thai population is the language taught in schools and used in government. Several other small Thai-speaking groups include the Shan, Lue, and Phutai.

Up to 12% of Thai are of significant Chinese heritage, but the Sino-Thai community is the best integrated in Southeast Asia. Malay-speaking Muslims of the south comprise another significant minority group (2.3%). Other groups include the Khmer; the Mon, who are substantially assimilated with the Thai; and the Vietnamese. Smaller mountain-dwelling tribes, such as the Hmong and Mein, as well as the Karen, number about 788,024.

The population is mostly rural, concentrated in the rice-growing areas of the central, northeastern, and northern regions. However, as Thailand continues to industrialize, its urban population-31.6% of total population, principally in the Bangkok area—is growing.

Thailand's highly successful government-sponsored family planning program has resulted in a dramatic decline in population growth from 3.1% in 1960 to less than 1% today. Life expectancy also has risen, a positive reflection of Thailand's efforts at public health education. However, the AIDS epidemic has had a major impact on the Thai population. Today, over 500,000 Thais live with HIV or AIDS—approximately 1.4% of the adult population. Each year, 25-30,000 Thais die from AIDS-related causes. Ninety percent of them are aged 20-49, the most productive sector of the workforce. The situation could have been worse; an aggressive public education campaign in the early 1990s reduced the number of new HIV infections from over 100,000 annually to around 15,000 annually now.

The constitution mandates 12 years of free education, however, this is not provided universally. Education accounts for 18.0% of total government expenditures.

Theravada Buddhism is the major religion of Thailand and is the religion of about 95% of its people. The government permits religious diversity, and other major religions are represented. Spirit worship and animism are widely practiced.

HISTORY

Southeast Asia has been inhabited for more than half a million years. Archaeological studies suggest that by 4000 BC, communities in what is now Thailand had emerged as centers of early bronze metallurgy. This development, along with the cultivation of wet rice, provided the impetus for social and political organization. Research suggests that these innovations may actually have been transmitted from there to the rest of Asia, including to China.

The Thai are related linguistically to Tai groups originating in southern China. Migrations from southern China to Southeast Asia may have occurred in the 6th and 7th centuries. Malay, Mon, and Khmer civilizations flourished in the region prior to the arrival of the ethnic Tai.

Thais date the founding of their nation to the 13th century. According to tradition, in 1238, Thai chieftains overthrew their Khmer overlords at Sukhothai and established a Thai kingdom. After its decline, a new Thai kingdom emerged in 1350 on the Chao Praya River. At the same time, there was an equally important Tai kingdom of Lanna, centered in Chiang Mai, which rivaled Sukhothai and Ayutthaya for centuries, and which defines northern Thai identity to this day.

The first ruler of the Kingdom of Ayutthaya, King Rama Thibodi, made two important contributions to Thai history: the establishment and promotion of Theravada Buddhism as the official religion—to differentiate his kingdom from the neighboring Hindu kingdom of Angkor—and the compilation of the Dharmashastra, a legal code based on Hindu sources and traditional Thai custom. The Dharmashastra remained a tool of Thai law until late in the 19th century. Beginning with the Portuguese in the 16th century, Ayutthaya had some contact with the West, but until the 1800s, its relations with neighboring kingdoms and principalities, as well as with China, were of primary importance.

After more than 400 years of power, in 1767, the Kingdom of Ayutthaya was brought down by invading Burmese armies and its capital burned. After a single-reign capital established at Thonburi by Taksin, a new capital city was founded in 1782, across the Chao Phraya at the site of present-day Bangkok, by the founder of the Chakri dynasty. The first Chakri king was crowned Rama I. Rama I's heirs became increasingly concerned with the threat of European colonialism after British victories in neighboring Burma in 1826.

The first Thai recognition of Western power in the region was the Treaty of Amity and Commerce with the United Kingdom in 1826. In 1833, the United States began diplomatic exchanges with Siam, as Thailand was called until 1938. However, it was during the later reigns of Rama IV (or King Mongkut, 1851-68), and his son Rama V (King Chulalongkorn (1868-1910), that Thailand established firm rapprochement with Western powers. The Thais believe that the diplomatic skills of these monarchs, combined with the modernizing reforms of the Thai Government, made Siam the only country in South and Southeast Asia to avoid European colonization.

In 1932, a bloodless coup transformed the Government of Thailand from an absolute to a constitutional monarchy. King Prajadhipok (Rama VII) initially accepted this change but later surrendered the kingship to his 10-year-old nephew. Upon his abdication, King Prajadhipok said that the obligation of a ruler was to reign for the good of the whole people, not for a select few.

Although nominally a constitutional monarchy after 1932, Thailand was ruled by a series of military governments interspersed with brief periods of democracy. Following the 1932 revolution that imposed constitutional limits on the monarchy, Thai politics was dominated for a half-century by a military and bureaucratic elite. Changes of government were effected primarily by means of a long series of mostly bloodless coups. Thailand was occupied by the Japanese during the Second World War until Japan's defeat in 1945.

Beginning with a brief experiment in democracy during the mid-1970s, civilian democratic political institutions slowly gained greater authority, culminating in 1988 when Chatichai Choonavan—leader of the Thai Nation Party—assumed office as the country's first democratically elected Prime Minister in more than a decade. Three years later, yet another bloodless coup ended his term.

Shortly afterward, the military appointed Anand Panyarachun, a businessman and former diplomat, to head a largely civilian interim government and promised to hold elections in the near future. However, following inconclusive elections, former army commander Suchinda Kraprayoon was appointed Prime Minister. Thais reacted to the appointment by demanding an end to military influence in government. Demonstrations were violently suppressed by the military; in May 1992, soldiers killed at least 50 protesters.

Domestic and international reaction to the violence forced Suchinda to resign, and the nation once again turned to Anand Panyarachun, who was named interim Prime Minister until new elections in September 1992. In those elections, the political parties that had opposed the military in May 1992 won by a narrow major-

ity, and Chuan Leekpai, a leader of the Democratic Party, became Prime Minister. Chuan dissolved Parliament in May 1995, and the Thai Nation Party won the largest number of parliamentary seats in subsequent elections. Party leader Banharn Silpa-Archa became Prime Minister but held the office only little more than a year. Following elections held in November 1996, Chavalit Young-chaiyudh formed a coalition government and became Prime Minister. The onset of the Asian financial crisis caused a loss of confidence in the Chavalit government and forced him to hand over power to Chuan Leekpai in November 1997. Chuan formed a coalition government based on the themes of prudent economic management and institution of political reforms mandated by Thailand's 1997 constitution.

In January 2001, telecommunications multimillionaire Thaksin Shi-nawatra and his Thai Rak Thai (TRT) party won a decisive victory on a populist platform of economic growth and development. In the February 2005 elections, Thaksin was re-elected by an even greater majority, sweeping 377 out of 500 parliamentary seats. Soon after Prime Minister Thaksin's second term began, allegations of corruption emerged against his government. Peaceful anti-government mass demonstrations grew, and thousands marched in the streets to demand Thaksin's resignation. Prime Minister Thaksin dissolved the Parliament in February 2006 and declared snap elections in April. The main opposition parties boycotted the polls, and the judiciary subsequently annulled the elections. A new round of elections was anticipated in November 2006.

On September 19, 2006, a group of top military officers overthrew the caretaker administration of Thaksin Shinawatra in a non-violent coup d’etat. Soon thereafter, the coup leaders issued an interim constitution and appointed Surayud Chulanont as interim Prime Minister for the approximately one-year period until a new constitution could be written and ratified and new democratic elections held. On August 19, 2007, Thai voters approved a new constitution in a national referendum. The government subsequently announced that general elections would take place December 23, 2007.

Since the end of the Second World War in 1945, Thailand has had very close relations with the United States. Threatened by communist revolutions in neighboring countries such as Vietnam, Cambodia, and Laos, Thailand actively sought U.S. assistance to contain communist expansion in the region. Thailand also has been an active member in multilateral organizations like the Association of Southeast Asian Nations (ASEAN) and the Asia-Pacific Economic Cooperation (APEC) forum.

GOVERNMENT AND POLITICAL CONDITIONS

Thailand is a constitutional monarchy. From 1992 until the 2006 coup, the country was a functioning democracy with constitutional changes of government. Elections for a democratically elected government are expected in December 2007. The King has been given little direct power under Thailand's constitutions but is a symbol of national identity and unity. King Bhumibol (Rama IX)— who has been on the throne since 1946—commands enormous popular respect and moral authority, which he has used on occasion to resolve political crises that have threatened national stability.

Under the interim constitution in force between the 2006 coup and the enactment of the 2007 constitution, a unicameral National Legislative Assembly was appointed by the military leadership. Under the 1997 constitution, the National Assembly consisted of two chambers—the Senate and the House of Representatives. The Senate was a non-partisan body with limited legislative powers, composed of 200 directly elected members from constituent districts, with every province having at least one Senator. The House of Representatives had 500 members, 400 of whom were directly elected from constituent districts, and the remainder drawn proportionally from party lists. Under the 2007 constitution, the Senate will have 150 members, 76 of whom will be directly elected (one per district). The remaining 74 will be appointed by a panel comprised of judges and senior independent officials from a list of candidates compiled by the Election Commission. The House will have 480 members, 400 of whom will be directly elected from constituent districts and the remainder drawn proportionally from party lists.

Thailand's legal system blends principles of traditional Thai and Western laws. Under the 1997 constitution, the Constitutional Court was the highest court of appeals, though its jurisdiction was limited to clearly defined constitutional issues. Its members were nominated by the Senate and appointed by the King. The Courts of Justice have jurisdiction over criminal and civil cases and are organized in three tiers: Courts of First Instance, the Court of Appeals, and the Supreme Court of Justice.

Administrative courts have jurisdiction over suits between private parties and the government, and cases in which one government entity is suing another. In the current environment, the court system is largely the same, with the exception that the Constitutional Court has been replaced by a Constitutional Tribunal composed of judges from the other high courts. In Thailand's southern border provinces, where Muslims constitute the majority of the population, Provincial Islamic Committees have limited jurisdiction over probate, family, marriage, and divorce cases.

Thailand's 76 provinces include the metropolis of greater Bangkok. Bangkok's governor is popularly elected, but those of the remaining provinces are career civil servants appointed by the Ministry of Interior.

Principal Government Officials

Last Updated: 2/1/2008

Interim Prime Minister Surayut Chulanon was appointed on 1 Oct 2006 and selected an interim cabinet on 9 Oct 2006. Thai officials are addressed by the first element in their names.

King: PHUMIPHON Adunyadet

Prime Min.: SURAYUT Chulanon

Dep. Prime Min.: KHOSIT Panpiamrat

Dep. Prime Min.: PHAIBUN Wattanasiritham

Dep. Prime Min.: SONTHI Boonyarataglin

Min. of Agriculture & Cooperatives: THIRA Sutabut Itsarangkun na Ayutthaya

Min. of Commerce: KROEKRAI Chiraphat

Min. of Culture: KHAISI Si-arun

Min. of Defense: BUNROT Somthat, Gen.

Min. of Education: WICHIT Sisa-an

Min. of Energy: PIYASAWAT Ammaranan

Min. of Finance: CHALONGPHOB Sussangkan

Min. of Foreign Affairs: NIT Phibunsongkhram

Min. of Industry: KHOSIT Panpiamrat

Min. of Information & Communication Technology: SITTHICHAI Phokhaiya-udom

Min. of Interior: SURAYUT Chulanon

Min. of Justice: CHANCHAI Likhitjittha

Min. of Labor: APHAI Chanthanajunlaka

Min. of Natural Resources & Environment: KASEM Sanitwong na Ayutthaya

Min. of Public Health: MONGKHON Na Songkhla, Dr.

Min. of Science & Technology: YONGYUT Yutthawong

Min. of Social Development & HumanSecurity: PHAIBUN Wattanasiritham

Min. of Tourism & Sports: SUWITYotmanee

Min. of Transport: THIRA Haocharoen,Gen.

Governor, Bank of Thailand: THARISAWatthanaket

Ambassador to the US: KRITKanchanakunchon

Permanent Representative to the UN, NewYork: DON Pramudwinai

Thailand maintains an embassy in the United States at 1024 Wisconsin Ave. NW, Washington DC 20007 (tel. 202-944-3600). Consulates are located in New York City, Chicago, and Los Angeles.

ECONOMY

The Thai economy is export-dependent, with exports of goods and services accounting for 68.6% of GDP in 2006. Thailand's recovery from the 1997-98 Asian financial crisis relied largely on external demand from the United States and other foreign markets. The Thaksin government took office in February 2001 with the intention of stimulating domestic demand and reducing Thailand's reliance on foreign trade and investment. From 2001-2006, the Thaksin administration embraced a “dual track” economic policy that combined domestic stimulus with Thailand's traditional promotion of open markets and foreign investment. Weak export demand held 2001 GDP growth to 2.2%. Beginning in 2002, however, domestic stimulus and export revival fueled a better performance, with real GDP growth at 7.1% in 2003 and 6.3% in 2004. In 2005, the economy decelerated to a 4.5% annual GDP growth rate due to the tsunami catastrophe, drought, and violence in the three southernmost provinces. For 2006, the rebound of production in agriculture and manufacturing coupled with soaring numbers of tourists increased GDP by 5.0% (year-on-year).

Before the financial crisis, the Thai economy had years of manufacturing-led economic growth—averaging 9.4% for the decade up to 1996. Relatively abundant and inexpensive labor and natural resources, fiscal conservatism, open foreign investment policies, and encouragement of the private sector underlay the economic success in the years up to 1997. The economy is essentially a free-enterprise system. Certain services— such as power generation, transportation, and communications—are state-owned and operated, but the government is considering privatizing them in the wake of the financial crisis. The timetable for privatization of some state-owned enterprises, however, has slipped due to resistance from labor unions and parts of civil society. Despite the resistance, some firms were successfully privatized, such as Airports of Thailand (renamed from Airport Authority of Thailand), PTT Public Company Limited (renamed from the Petroleum Authority of Thailand), and MCOT (renamed from Mass Communication Authority of Thailand).

The Royal Thai Government welcomes foreign investment, and investors who are willing to meet certain requirements can apply for special investment privileges through the Board of Investment. To attract additional foreign investment, the government has modified its investment regulations. In a reaction to former Prime Minister Thaksin's sale of his telecommunications company to foreign investors, the interim Thai government introduced amendments to its Foreign Business Act during 2007 which would apply greater restrictions on the ability of non-Thais to own or control businesses operating in the Thai services sector.

The organized labor movement remains weak and divided in Thailand; less than 2% of the work force is unionized. In 2000, the State Enterprise Labor Relations Act (SELRA) was passed, giving public sector employees similar rights to those of private sector workers, including the right to unionize.

Roughly 40% of Thailand's labor force is employed in agriculture (data based on Bank of Thailand.) Rice is the country's most important crop; Thailand is the largest exporter in the world rice market. Other agricultural commodities produced in significant amounts include fish and fishery products, tapioca, rubber, corn, and sugar. Exports of processed foods such as canned tuna, canned pineapples, and frozen shrimp are on the rise.

Thailand's increasingly diversified manufacturing sector is the largest contributor to growth. Industries registering rapid increases in production included computers and electronics, furniture, wood products, canned food, toys, plastic products, gems, and jewelry. High-technology products such as integrated circuits and parts, hard disc drives, electrical appliances, vehicles, and vehicle parts are now leading Thailand's strong growth in exports. The appreciation of the Thai baht to the U.S. dollar relative to other regional currencies during the 2006-2007 period has dampened some of Thailand's exports, and export sector margins have been affected. To help arrest baht appreciation, the Bank of Thailand applied controls on the import of capital into the country in December 2006. Nevertheless, the baht continued to appreciate.

The United States is Thailand's largest export market and third-largest supplier after Japan and China. While Thailand's traditional major markets have been North America, Japan, and Europe, economic recovery among Thailand's regional trading partners has helped Thai export growth (21.6% in 2004, 15.0% in 2005, and 17.4% in 2006, and 16.6% in the first half of 2007). Due to domestic political uncertainty and concern about government's economic policies, Thai domestic demand and private investment were flat from early 2006 and remained flat at mid-2007.

Machinery and parts, vehicles, electronic integrated circuits, chemicals, crude oil and fuels, and iron and steel are among Thailand's principal imports. The moderation in import levels (7.0% increase in 2006 versus 26.0% in 2005) reflects the low confidence of both consumers and investors.

Thailand is a member of the World Trade Organization (WTO) and the Cairns Group of agricultural exporters. Tourism contributes significantly to the Thai economy (about 6%). Tourist arrivals, which declined in 2005 due to the tsunami catastrophe, recovered strongly in 2006.

Bangkok and its environs are the most prosperous part of Thailand, and the barren northeast is the poorest. An overriding concern of successive Thai Governments, and a particularly strong focus of the Thaksin government, has been to reduce these regional income differentials, which have been exacerbated by rapid economic growth in and around Bangkok and the financial crisis. The government has tried to stimulate provincial economic growth with programs such as the Eastern Seaboard project and the development of an alternate deep-sea port on Thailand's southern peninsula. It also is conducting discussions with Malaysia to focus on economic development along the Thai-Malaysian border.

Although the economy has demonstrated moderate positive growth since 1999, future performance depends on continued reform of the financial sector, corporate debt restructuring, attracting foreign investment, and increasing exports. Telecommunications, transportation networks, and electricity generation showed increasing strain during the period of sustained economic growth and may pose a future challenge. Thailand's growing shortage of engineers and skilled technical personnel may limit its future technological creativity and productivity.

FOREIGN RELATIONS

Thailand's foreign policy includes support for ASEAN in the interest of regional stability and emphasis on a close and longstanding security relationship with the United States.

Thailand participates fully in international and regional organizations. It has developed increasingly close ties with other ASEAN members—Indonesia, Malaysia, the Philippines, Singapore, Brunei, Laos, Cambodia, Burma, and Vietnam—whose foreign and economic ministers hold annual meetings. Regional cooperation is progressing in economic, trade, banking, political, and cultural matters.

Thailand continues to take an active role on the international stage. When East Timor gained independence from Indonesia, Thailand, for the first time in its history, contributed troops to the international peace-keeping effort. As part of its effort to increase international ties, Thailand has reached out to such regional organizations as the Organization of American States (OAS) and the Organization for Security and Cooperation in Europe (OSCE). Thailand has contributed troops to reconstruction efforts in Afghanistan and Iraq.

U.S.-THAI RELATIONS

Since World War II, the United States and Thailand have developed close relations, as reflected in several bilateral treaties and by both countries’ participation in UN multilateral activities and agreements. The principal bilateral arrangement is the 1966 Treaty of Amity and Economic Relations, which facilitates U.S. and Thai companies’ economic access to one another's markets. Other important agreements address civil uses of atomic energy, sales of agricultural commodities, investment guarantees, and military and economic assistance. In June 2004 the United States and Thailand initiated negotiations on a free trade agreement which, when concluded, will reduce and eliminate barriers to trade and investment between the two countries. These negotiations were placed on hold following the dissolution of the Thai Parliament in February 2006 and the subsequent coup in September.

The United States and Thailand are among the signatories of the 1954 Manila pact of the former Southeast Asia Treaty Organization (SEATO). Article IV(1) of this treaty provides that, in the event of armed attack in the treaty area (which includes Thailand), each member would “act to meet the common danger in accordance with its constitutional processes.” Despite the dissolution of the SEATO in 1977, the Manila pact remains in force and, together with the Thanat-Rusk communiqué of 1962, constitutes the basis of U.S. security commitments to Thailand. Thailand continues to be a key security ally in Asia, along with Australia, Japan, the Philippines, and South Korea. In December 2003, Thailand was designated a Major Non-NATO Ally.

Thailand's stability and independence are important to the maintenance of peace in the region. Economic assistance has been extended in various fields, including rural development, health, family planning, education, and science and technology. The formal U.S. Agency for International Development (USAID) program ended in 1995. However, there are a number of targeted assistance programs which continue in areas of mutually defined importance, including: health and HIV/AIDS programming; refugee assistance; and trafficking in persons. The U.S. Peace Corps in Thailand has approximately 100 volunteers, focused on primary education, with an integrated program involving teacher training, health education, and environmental education.

Thailand has received U.S. military equipment, essential supplies, training, and assistance in the construction and improvement of facilities and installations for much of the period since 1950. Over recent decades, U.S. security assistance included military training programs carried out in the United States and elsewhere. A small U.S. military advisory group in Thailand oversaw the delivery of equipment to the Thai Armed Forces and the training of Thai military personnel in its use and maintenance. Funding for the International Military Education and Training and the Foreign Military Financing programs, along with selected other programs totaling $29 million, was suspended following the September 19, 2006 coup d’etat in Thailand. As part of their mutual defense cooperation over the last decade, Thailand and the United States have developed a vigorous joint military exercise program, which engages all the services of each nation and averages 40 joint exercises per year. Thailand remains a trafficking route for narcotics from the Golden Triangle—the intersection of Burma, Laos, and Thailand—to both the domestic Thai and international markets. The large-scale production and shipment of opium and heroin shipments from Burma of previous years have largely been replaced by widespread smuggling of methamphetamine tablets, although heroin seizures along the border continue to take place with some frequency. The United States and Thailand work closely together and with the United Nations on a broad range of programs to halt illicit drug trafficking and use and other criminal activity. The U.S. supports the International Law Enforcement Academy (ILEA) in Bangkok, which provides counter-narcotics and anticrime capacity-building programs to law enforcement and judicial officials from a number of regional countries.

Trade and Investment

The United States is Thailand's second largest trading partner after Japan; in 2006 merchandise imports from Thailand totaled $22.5 billion, and merchandise exports totaled $8.2 billion. The U.S., Japan, Taiwan, Singapore, and the European Union are among Thailand's largest foreign investors. American investment, concentrated in the petroleum and chemicals, finance, consumer products, and automobile production sectors, is estimated at $21 billion.

Principal U.S. Embassy Officials

Last Updated: 2/19/2008

BANGKOK (E) 120/122 Wireless Road, Bangkok, APO/FPO APO, AP 96546, 66-2-205-4000, Fax 66-2-205-4306, Workweek: 7:00 a.m. to 4:00 p.m., Website: http://bangkok.usembassy.gov.

CHIANG MAI (CG) 387 Wichayanond Road, Muang, Chiang Mai, Thailand 50300, APO/FPO AmEmbassy Bankok, Box C, APO, AP 96546, 66 53 252 629, Fax 66 53 252 633, Workweek: M-F, 07:30–16:30, Website: http://chiangmai.usconsulate.gov.

TRAVEL

Consular Information Sheet

November 6, 2007

Country Description: Thailand is a constitutional monarchy. A Thai military group took control of the government in a peaceful coup on September 19, 2006. In October 2006 the group appointed a civilian Prime Minister and National Assembly as first steps in a planned return to democratically elected government. Most of the population is Buddhist and ethnically Thai. Standard Thai is the official language of Thailand and is spoken in every province, though many areas also have a local dialect. Most Thais working in the tourist industry and in businesses dealing with foreigners can speak at least rudimentary English. Thailand is a popular travel destination, and tourist facilities and services are available throughout the country. At many tourist attractions, including national parks, foreigners are charged admission fees up to ten times higher than those charged to Thais.

Entry Requirements: U.S. citizen tourists staying for fewer than 30 days do not require a visa, but must possess a passport and may be asked to show an onward/return ticket. Effective October 1, 2006, persons entering Thailand without a visa will be allowed to stay in Thailand for 30 days per visit. The total duration of stay in Thailand for persons who enter Thailand without a visa cannot exceed 90 days during any six-month period, counting from the date of first entry. Travelers must pay a Passenger Service Charge in Thai baht when departing from any of Thailand's international airports.

When a traveler enters the country, Thai Immigration stamps in his or her passport the date on which the traveler's authorized stay in Thailand will expire. Any traveler remaining in Thailand beyond this date without having received an official extension will be assessed an immediate cash fine when departing Thailand. Any foreigner found by police to be out of legal status prior to departure (during a Thai Immigration “sweep” through a guesthouse, for example) will be jailed, fined, and then deported at his or her own expense, and may be barred from reentering Thailand.

In this regard, American citizens should be aware that private “visa extension services,” even those advertising in major periodicals or located close to Immigration offices or police stations, are illegal. A number of Americans are arrested at border crossings each year when the visas and entry stamps they have obtained through these illegal services are discovered to be counterfeit.

Thailand's Entry/Exit information is subject to change without notice. For further information on Thailand's entry/exit requirements, contact the Royal Thai Embassy, 1024 Wisconsin Avenue NW, Washington, DC 20007, telephone (202) 944-3600, or contact the Thai consulates in Chicago, Los Angeles, or New York City. Visit the Embassy of Thailand web site at http://www.thaiembdc.org for the most current visa information.

Safety and Security: The State Department is concerned that there is an increased risk of terrorism in Southeast Asia, including in Thailand. American citizens traveling to Thailand should therefore exercise caution, especially in locations where Westerners congregate, such as clubs, discos, bars, restaurants, hotels, places of worship, schools, outdoor recreation venues, tourist areas, beach resorts, and other places frequented by foreigners. They should remain vigilant with regard to their personal security and avoid crowds and demonstrations.

In September 2006 a military group calling itself the Council for National Security (CNS) seized control of the Thai government and declared martial law. Businesses, stores, parks, hotels and resorts were not affected by the coup and are open as normal. An interim civilian Prime Minister, Cabinet and National Assembly have been appointed. Martial law has been lifted in many provinces in Thailand. General elections are scheduled for December 23, 2007.

A series of eight bombs exploded in the Bangkok metropolitan area during the evening on December 31, 2006, and shortly after midnight. The bombs exploded at six different locations throughout Bangkok, including Bangkok, Victory Monument, various police traffic-control booths, the parking lot of a shopping mall, and near the Central World Plaza (formerly World Trade Center ) on Rama 1 Road in Bangkok's main shopping district. The bombs killed three Thai citizens and injured dozens, including six foreign tourists. It remains unclear who is behind the bombings.

Two grenades were fired at the offices of a local newspaper along Vipayadee Rangsit Road in northern Bangkok and a nearby hotel car park on January 30, 2007. There were no reports of casualties. A small bomb exploded near the Chitralada Palace on May 6, 2007, and another small bomb exploded near the Army headquarters on September 30, 2007. Police reported that passersby sustained minor injuries when the bombs detonated. The Department of State advises all American citizens residing in or traveling to Bangkok to continue to monitor events closely, to avoid any large public gatherings, and to exercise discretion when moving about Bangkok.

The far south of Thailand has been experiencing almost daily incidents of criminally and politically motivated violence, including incidents attributed to armed local separatist/ extremist groups. In February 2007, Thai press reported that senior Thai officials expressed concern the violence in the south could move to Bangkok, particularly during Thai holidays and special occasions. Although the extremist groups focus primarily on Thai government interests in the southern provinces, some of the recent violence in the area has targeted public places, including areas where tourists may congregate. The Department of State urges U.S. citizens to defer non-emergency travel to the far south of Thailand: Narathiwat, Pattani, Yala and Songkhla provinces, including the town of Hat Yai. If U.S. citizens must travel to these areas, they should exercise special caution and remain vigilant with regard to their personal security. Since January 2004, a series of incidents in the far southern provinces has included arson attacks directed at schools and other buildings associated with the government; the placement of bombs in public areas, including the Hat Yai International airport, and near local government offices; killings of police and other officials; and the theft of weapons and explosives. Attacks in the area have increasingly been targeted against commercial areas where foreigners congregate. In 2005 two American citizens were injured when a bomb detonated in the Hat Yai airport. On August 31, 2006, a series of 22 bombs exploded inside commercial banks in Yala province, injuring 28 people. On September 17, 2006, a series of bombs detonated in a commercial district of Hat Yai, killing one American citizen and injuring another. Travelers should be aware that Thai authorities have on occasion instituted special security measures in affected areas, such as curfews, military patrols, or random searches of train passengers.

Travelers should be aware that over the past several years a number of Lao-and Hmong-American citizens have been murdered in northern and northeastern Thailand near the border with Laos. In September 2004, a Lao-American was shot and killed by two unidentified males in Nong Khai, Thailand. In January 2005, a Hmong-American citizen was murdered in Nong Khai along with three Hmong-Thai citizens. In November 2005, a Hmong-American was murdered in front of his hotel in Nong Khai by a man wearing a balaclava to hide his identity. In January 2006, a Lao-American husband and wife were murdered at a temple in Nong Khai, and, in December 2006, in Ubon Ratchathani two Lao-Americans were shot as they exited a bus from Laos by a man on a motorcycle. During this same period, a number of non-Americans with ties to Laos have also been murdered in this region of Thailand. In addition, in March 2006, a Hmong-American disappeared from his residence along with seven other individuals. No arrests have been made in many of these cases. If U.S. citizens—particularly Lao-Americans or Hmong-Americans—must travel to these areas, they should exercise caution and remain vigilant with regard to their personal security. It is also recommended that persons wishing to travel to border areas check first with the Thai Tourist Police and the U.S. Consulate General in Chiang Mai or the U.S. Embassy in Bangkok. Tourists should also exercise caution in remote areas along the border with Burma. The Thai/Burma border is the site of on-going conflicts between the Burmese Army and armed opposition groups as well as clashes between Thai security forces and armed drug traffickers. In addition, pirates, bandits and drug traffickers operate in these border areas.In light of the continuing unsettled situation along Thailand border with Burma, which is subject to frequent closings to all traffic, the Department of State recommends that all Americans exercise caution when traveling in remote or rural areas immediately adjacent to the Burma border. There remains a possibility of significant flare-ups of military activity on the Burmese side of the border that could spill over into immediately adjacent areas of northern Thailand. Visitors should travel off-road in undeveloped areas only with local guides who are familiar with the area. Border closings and re-openings occur frequently, and U.S. citizens considering traveling into Burma from Thailand should be aware that in the event of a border closure they may not be able to reenter Thailand.

Tourists should obtain information from Thai authorities about whether official border crossing points are open, and should cross into neighboring countries only at designated crossing points. Licensed guides can help ensure that trekkers do not cross inadvertently into a neighboring country.

Travelers should be aware that there have been occasional incidents of criminal violence on Thailand's northern and eastern borders with Laos. Four American citizens have been murdered on the Lao-Thai border since 2005. Caution remains advisable. It is recommended that persons wishing to travel to border areas check first with the Thai Tourist Police and the U.S. Consulate General in Chiang Mai or the U.S. Embassy in Bangkok.

In the previous year, Thailand experienced a number of large, public demonstrations, primarily in Bangkok and Chiang Mai. The protests were mainly peaceful and often included several diverse groups of demonstrators who assembled with no set starting or ending times. The number of demonstrations may increase as the scheduled elections grow closer. All demonstrations are unpredictable, and any demonstration can turn violent without warning. For this reason, the Embassy encourages all Americans to monitor local media for announcements of possible demonstrations and to avoid the areas where demonstrations might occur. If a demonstration is expected to pass near U.S. Embassy facilities, Embassy entrances and functions may be restricted, depending on circumstances.

For the latest security information, Americans traveling abroad should regularly monitor the Department of State, Bureau of Consular Affairs’ web site, where the current Travel Warnings and Travel Alerts including the Worldwide Caution Travel Alert, can be found. Up-to-date information on safety and security can also be obtained by calling 1-888-407-4747 toll free in the U.S. and Canada, or for callers outside the U.S. and Canada, a regular toll-line at 1-202-501-4444.

Crime: Although the crime threat in Bangkok remains lower than that in many American cities, crimes of opportunity such as pick-pocketing, purse-snatching, and burglary have become more common in recent years. Travelers should be especially wary when walking in crowded markets, tourist sites and bus or train stations. Many American citizens have reported having passports, wallets, and other valuables stolen in Bangkok's Chatuchak Weekend Market, usually by thieves who cut into purses or bags with a razor and remove items surreptitiously. Police at the Market usually refuse to issue police reports for foreign victims of theft, requiring them instead to travel several miles to the central Tourist Police office. Violent crimes against foreigners are relatively rare.

Reports of serious crimes involving taxis or “tuk-tuks” (three-wheeled taxis) are also relatively rare, although attempts to charge excessive fares occur regularly. Several taxi-related incidents involving foreign passengers occur in Bangkok each year. Americans should not hesitate to ask to be let out of a taxi immediately if the driver is acting suspiciously or driving erratically.

When arriving at Bangkok's airport, travelers should use only taxis from the airport's official taxi stand, cars from the airport limousine counters, or airport buses. All major hotels in Bangkok can also arrange to have a car and driver meet incoming flights. It is not common for Thai taxis to pick up additional passengers. Travelers should be wary of drivers seeking to do so, and should never enter a cab that has someone besides the driver in it.

Americans frequently encounter taxi drivers and others who tout gem stores or entertainment venues. These touts receive kickbacks or commissions that drive up the prices of the goods or services, and travelers should not accept tours or other offers from them. Scams involving gems, city tours, entertainment venues and credit cards are common, especially in areas heavily visited by tourists. Credit cards should be used only in reputable, established businesses, and the amount charged should be checked for accuracy.

The Tourism Authority of Thailand (TAT) receives over 1,000 complaints each year from visitors who have been cheated on gem purchases. Gem scams usually follow a predictable pattern. Someone will approach a tourist outside of a well-known tourist attraction such as the Grand Palace or the Jim Thompson House and will say that the attraction is closed. The friendly stranger will quickly gain the tourist's confidence, and will suggest a visit to a temple that is supposedly open only one day per year; the stranger will then mention in passing that a special once-a-year government-sponsored gem sale is going on, and will direct the tourist to a waiting tuk-tuk. At the temple, another stranger—sometimes a foreigner—will engage the tourist in conversation and will, by seeming coincidence, also mention the “special” gem sale. The tourist agrees to go look at the gem shop, and is soon convinced to buy thousands of dollars worth of jewels that can supposedly be sold in the U.S. for a 100% profit. When the tourist actually has the goods appraised, they turn out to be of minimal value, and the shop's money-back guarantee is not honored. No matter what a tout may say, no jewelry stores are owned, operated, or sponsored by the Thai Government or by the Thai royal family. Lists of gem dealers who have promised to abide by TAT guidelines are available online at http://www.tat-news.org/special_interest/shopping/979.asp, while detailed information on gem scams can be found on numerous Internet websites. A traveler who has fallen victim to a gem scam should contact the local branch of the Tourist Police, or call their country-wide toll-free number: 1155.

Although most bars and entertainment venues operate honestly, some, especially in tourist areas such as Patpong, at times try to charge exorbitant amounts for drinks or unadvertised cover charges, and threaten violence if the charges are not paid. If victimized in this fashion, travelers should not attempt to resolve the problem themselves, but should instead pay the price demanded and then seek out a nearby Tourist Police officer for help in getting restitution. (If no officer is nearby, the Tourist Police may be contacted toll-free by dialing 1155.)

There have been occasional reports of scopolamine drugging perpetrated by prostitutes or unscrupulous bar workers for the purpose of robbery. (Scopolamine is a powerful sedative.) Tourists have also been victimized by drugged food and drink, usually offered by a friendly stranger, sometimes posing as fellow traveler on an overnight bus or train. In addition, casual acquaintances met in a bar or on the street may pose a threat. Travelers are advised to avoid leaving drinks or food unattended, and should avoid going alone to unfamiliar venues. Some trekking tour companies, particularly in Northern Thailand, have been known to make drugs available to trekkers. Travelers should not accept drugs of any kind, as the drugs may be altered or harmful, and the use or sale of narcotic drugs is illegal in Thailand

Information for Victims of Crime: The loss or theft abroad of a U.S. passport should be reported immediately to the local police and the nearest U.S. Embassy or Consulate. If you are the victim of a crime while over-seas, in addition to reporting to local police, please contact the nearest U.S. Embassy or Consulate for assistance. The Embassy/Consulate staff can, for example, assist you to find appropriate medical care, contact family members or friends and explain how funds could be transferred. Although the investigation and prosecution of the crime is solely the responsibility of local authorities, consular officers can help you to understand the local criminal justice process and to find an attorney if needed.

Medical Facilities and Health Information: Medical treatment is generally adequate throughout Thailand. In Bangkok, excellent facilities exist for routine, long-term and emergency health care.

Information on vaccinations and other health precautions, such as safe food and water precautions and insect bite protection, may be obtained from the Centers for Disease Control and Prevention's hotline for international travelers at 1-877-FYI-TRIP (1-877-394-8747) or via the CDC's web site at http://wwwn.cdc.gov/travel. For information about out-breaks of infectious diseases abroad consult the World Health Organization's (WHO) web site at http://www.who.int/en. Further health information for travelers is available at http://www.who.int/ith/en

Medical Insurance: The Department of State strongly urges Americans to consult with their medical insurance company prior to traveling abroad to confirm whether their policy applies overseas and whether it will cover emergency expenses such as a medical evacuation.

Other Health Information: Thailand has been experiencing an epidemic of HIV infection and AIDS. Heterosexual transmission accounts for most HIV infections, and HIV is common among prostitutes of both sexes, as well as among injection drug users. HIV infections among men who have sex with other men appear to be on the rise. Additionally, alcoholic beverages, medications and drugs may be more potent or of a different composition than similar ones in the United States. Several U.S. citizen tourists die in Thailand each year of apparent premature heart attacks after drinking alcohol or using drugs.

The CDC, WHO, and Thai authorities have confirmed human cases of the H5N1 strain of avian influenza, commonly known as the “bird flu.” Travelers to Thailand and other countries affected by the virus are cautioned to avoid poultry farms, contact with animals in live food markets, and any surfaces that appear to be contaminated with feces from poultry or other animals. In addition, the CDC and WHO recommend eating only fully cooked poultry and eggs.

Traffic Safety and Road Conditions: While in a foreign country, U.S. citizens may encounter road conditions that differ significantly from those in the United States. The information below concerning Thailand is provided for general reference only, and may not be totally accurate in a particular location or circumstance.

Traffic moves on the left in Thailand, although motorcycles and motorized carts often drive (illegally) against the traffic flow. The city of Bangkok has heavy traffic composed of motorcycles, cars, trucks, buses, and three-wheeled tuk-tuks. For safety, pedestrians should use overhead walkways whenever possible and should look carefully in both directions before crossing streets, even when using a marked crosswalk with a green “walk” light illuminated. This is particularly true in front of the U.S. Embassy on Bangkok's Wireless Road, where many pedestrians have died crossing the street, and where several American citizens have been seriously injured. The Embassy has instructed its employees to use the pedestrian bridge to cross the road at all times, and other Americans should do the same.

Traffic accidents are common in Thailand, and those involving motorcycles can be particularly deadly. The Embassy has sent a notice to Embassy staff and family members strongly recommending that they refrain from using motorcycles (especially motorcycle taxis), mopeds, and tuk-tuks in Bangkok, and the Embassy advises American visitors and residents to follow this recommendation as well. Use of motorcycle helmets is mandatory, but this law is seldom enforced. The accident rate in Thailand is particularly high during long holidays, when alcohol use and traffic are both heavier than normal. During the Songkran (Thai New Year) holiday in April, the problem is further exacerbated by people throwing water at passing vehicles as part of the traditional celebration.

Paved roads, many of them four lanes wide, connect Thailand's major cities. On the country's numerous two-lane roads, however, slow-moving trucks limit speed and visibility. Speeding, reckless passing, and failure to obey traffic laws is common in all regions of Thailand, as is the consumption by commercial drivers of alcohol, amphetamines and other stimulants. Serious bus crashes occur frequently, especially on overnight trips, and sometimes result in fatalities. Congested roads and a scarcity of ambulances can make it difficult for accident victims to receive timely medical attention. Thailand requires that all vehicles be covered by third-party liability insurance for death or injury, but there is no mandatory coverage for property damage. The Embassy strongly encourages its employees to obtain liability insurance coverage over and above the minimum third party liability insurance required by the Thai Government. American citizen motorists should consider this as well, as the more affluent driver, even if not at fault, is frequently compelled to cover the expenses of the other party in an accident in Thailand. Travelers in Bangkok may wish to travel about the city using the BTS “Skytrain” elevated mass transit system, or the underground Metro system, which operate daily, from 6 a.m. to midnight. Bangkok also has an extensive bus system, but buses can be overcrowded, and are often driven with little or no regard for passenger safety. Cities elsewhere in Thailand typically have only rudimentary public transportation, and usually do not have metered taxis. In many cases, motorcycle taxis, tuk-tuks, bicycle-powered rickshaws, and pick-up trucks will be the only options available for travelers without their own transport. Americans should be cautious when using these services, as all can be dangerous in fast or heavy traffic.

Aviation Safety Oversight: The U.S. Federal Aviation Administration (FAA) has assessed the Government of Thailand's Civil Aviation Authority as being in compliance with International Civil Aviation Organization (ICAO) aviation safety standards for oversight of Thailand's air carrier operations. For more information, travelers may visit the FAA's web site at http://www.faa.gov.

On September 16, 2007, One-Two-Go flight OG269 crashed at Phuket International Airport, killing 90 people, including five American citizens. The cause of the accident is still under investigation.

Special Circumstances: Thai customs authorities may enforce strict regulations concerning temporary importation into or export from Thailand of items such as firearms, explosives, narcotics and drugs, radio equipment, books or other printed material and video or audio recordings which might be considered subversive to national security, obscene, or in any way harmful to the public interest and cultural property. It is advisable to contact the Embassy of Thailand in Washington, D.C., or one of the Thai consulates in the United States for specific information regarding customs requirements.

Strong seasonal undercurrents at popular beach resorts pose a sometimes-fatal threat to surfers and swimmers. During the monsoon season from May through October, drowning is the leading cause of death for tourists visiting the resort island of Phuket. Some, but not all, beaches have warning flags to indicate the degree of risk (red flag: sea condition dangerous for swimming; yellow flag: sea condition rough, swim with caution; green flag: sea condition stable).

Boat safety has become an increasing concern in Thailand. Ferries and speedboats used to transport tourists and local nationals to and from the many islands off the Thai mainland are often overcrowded and carry insufficient safety equipment. In January 2005, three U.S. citizen tourists died when the over-crowded speedboat they were in capsized and sank off the coast of Koh Samui. Three months later, two U.S. citizens narrowly escaped death when their dive boat sank off the coast near Phuket. The Department of State encourages U.S. citizens to avoid travel on overcrowded boats, and to ensure that proper safety equipment (including life preservers) is available before boarding any boat or ferry.

Criminal Penalties: While in a foreign country, a U.S. citizen is subject to that country's laws and regulations, which sometimes differ significantly from those in the United States and may not afford the protections available to the individual under U.S. law. Penalties for breaking the law can be more severe than in the United States for similar offenses. Persons violating Thai laws, even unknowingly, may be expelled, arrested or imprisoned.

In this connection, it is a criminal offense to make negative comments about the King or other members of the royal family. Thais hold the King in the highest regard, and it is a serious crime to make critical or defamatory comments about him. This particular crime, called “lese majeste,” is punishable by a prison sentence of three to fifteen years. Purposely tearing or destroying Thai bank notes, which carry an image of the King, may be considered such an offense, as can spitting on or otherwise defiling an official uniform bearing royal insignia.

The Thai Government has publicly stated that it will not tolerate the use of Thai territory as a base by groups trying to overthrow or destabilize the governments of nearby countries. Numerous American citizens have been arrested or detained under suspicion of carrying out such activities; sometimes these detentions are carried out by military authorities, and the Embassy does not learn of them until many days after the fact. Many other Americans suspected of advocating the armed overthrow of other governments have been “blacklisted” from entering the country. Americans should be aware that attempts to overthrow foreign governments by force may violate U.S. law as well as Thai law.

Penalties for the possession of, use of, or trafficking in illegal drugs in Thailand are severe. Convicted offenders can expect long prison sentences under harsh conditions, and often heavy fines as well. Thailand also has a death penalty for serious drug offenses, and has executed convicted traffickers. The U.S. Embassy frequently does not learn of the arrest of U.S. citizens for minor drug offenses, particularly in southern Thailand, until several days after the incident. Engaging in illicit sexual conduct with children or using or disseminating child pornography in a foreign country is a crime, prosecutable in the United States.

Thai police occasionally raid discos, bars, or nightclubs looking for under-age patrons and drug users. During the raids, they typically check the IDs of all customers in the establishment, and then make each person provide a urine sample to be checked for narcotics. Foreigners are not excused from these checks, and anyone whose urine tests positive for drugs is arrested and charged. Although some Thai civil libertarians have questioned the constitutionality of these forced urine tests, the Embassy is unaware of any successful challenge to the practice, and customers can be jailed if they do not cooperate.

Children's Issues: For information on international adoption of children and international parental child abduction, see the Office of Children's Issues website at http://travel.state.gov/family.

Registration and Embassy Locations: Americans living in or visiting Thailand are encouraged to register with the U.S. Embassy in Bangkok or the U.S. Consulate in Chiang Mai through the State Department's travel registration web site, and to obtain updated information on travel and security within Thailand. Americans without Internet access may register directly with the nearest U.S. Embassy or Consulate. By registering, American citizens make it easier for the Embassy or Consulate to contact them in case of emergency. The Consular Section of the U.S. Embassy is located at 95 Wireless Road in Bangkok; the U.S. mailing address is APO AP 96546-0001. The central switchboard number is (66-2) 205-4000; the American Citizen Services Unit number is (66-2) 205-4049; and the fax number is (66-2) 205-4103. The web site for the U.S. Embassy is http://bangkok.usembassy.gov. American citizens can register online via the web site. Questions regarding American Citizens Services can be submitted by E-mail to [email protected]. The U.S. Consulate General in Chiang Mai is located at 387 Wichayanond Road; the U.S. mailing address is Box C, APO AP 96546. The telephone number is (66-53) 252-629 and the fax number is (66-53) 252-633.

International Adoption

April 2007

The information in this section has been edited from a report of the State Department Bureau of Consular Affairs, Office of Overseas Citizens Services. For more information, please read the International Adoption section of this book and review current reports online at http://travel.state.gov/family.

Disclaimer: The information in this flyer relating to the legal requirements of specific foreign countries is based on public sources and current understanding. Questions involving foreign and U.S. immigration laws and legal interpretation should be addressed respectively to qualified foreign or U.S. legal counsel.

Patterns of Immigration: Please review current reports online at http://travel.state.gov/family.

Adoption Authorities: All adoptions in Thailand must be processed through the Child Adoption Center of the Department of Social Development and Welfare (DSDW), which is the sole governmental social welfare agency responsible for adoption of Thai children. For complete information and application forms, prospective adoptive parent(s) should contact DSDW at:

Child Adoption Center
Department of Social Development and Welfare (DSDW)
225 Ratchawithi Road Bangkok 10400
Tel. (66) (2) 354-7515;
Email: [email protected]

Please see the International Adoption section of this book for more details and review current reports online at http://travel.state.gov/family.

Eligibility Requirements for Adoptive Parents: Thai law (Adoption Act, April 1979) stipulates strict requirements and procedures for adoption of children in Thailand. Consequently, American prospective adoptive parents who do not meet the following criteria should contact DSDW before pursuing the matter further. The basic criteria for adoptive parent(s) are:

• Being at least 25 years of age;
• Being at least 15 years older than the child to be adopted;
• Being legally qualified under your U.S. law to adopt a child; and
• Having a legitimate spouse (if applying as a couple).

Adoption Procedures: It is not possible to apply for more than one child at a time, except for twins, siblings, or in cases of adoption of the children of the applicant's Thai spouse. DSDW advises that it is extremely unlikely that an abandoned child under the age of one year would be available for foreign adoption.

Prospective adoptive parent(s) obtain official DSDW application forms (these forms may be obtained from DSDW or from one of the above NGOs). These forms elicit biographic, health, and financial information about the prospective adoptive parent(s).

Prospective adoptive parent(s) engage an adoption agency or child welfare organization licensed by their state of U.S. residence to perform a home study (this agency must also be recognized by DSDW—a list of recognized agencies is available from DSDW).

The licensed agency or organization in the United States assembles the application forms and supporting documents for submission to DSDW. Please see the International Adoption section of this book for more details and review current reports online at http://travel.state.gov/family.

If the documentation is acceptable, DSDW (or one of the four NGOs listed earlier in this flyer) matches the prospective adoptive parent(s) with a child. The prospective parent(s) are provided with photos and information about the background and health condition of the child. The prospective adoptive parent(s) must advise DSDW whether they wish to proceed with the adoption of the proposed child. The application will then be given to the Child Adoption Board (CAB) for review. If the Child Adoption Board agrees to the suitability of the prospective adoptive parent(s) for pre-adoption placement of the child, the case is referred to the Minister of Social Development and Human Security for official authorization.

When the pre-adoption placement is approved, a definite appointment is made by DSDW (or one of the NGOs) for the prospective parent(s) to be interviewed by the Child Adoption Board. The meeting with the Board is essentially a formality. If married, both prospective adoptive parents must attend this meeting. DSDW will issue documents necessary for the child's travel, including a Thai passport. These documents will normally be issued on the same day as the meeting with the Board. The parent(s) will also receive the child on the same day. At this point, the parent(s) will be eligible to apply for a U.S. orphan immigrant visa. When the prospective adoptive parent(s) have returned to the U.S. with the child and at least three bi-monthly reports on the pre-adoption placement have been submitted to DSDW, DSDW will refer the case to the Child Adoption Board for approval of final adoption under Thai law. The adoptive parent(s) have to register the adoption under Thai law within six months of notification of finalization by the Board. This can be done at the Thai Embassy or Consulates in the United States. Please see the International Adoption section of this book for more details and review current reports online at http://travel.state.gov/family.

The Royal Thai Embassy, Washington, D.C.
1024 Wisconsin Avenue, N.W.
Washington, D.C., 20007
Telephone (202) 944-3600
Website: http://www.thaiembdc.org
Thailand also has consulates in Chicago, Los Angeles and New York City.

U.S. Immigration Requirements: Prospective adoptive parents are strongly encouraged to consult USCIS publicationM-249, The Immigration of Adopted and Prospective Adoptive Children, as well as the Department of State publication, International Adoptions. Please see the International Adoption section of this book for more details and review current reports online at http://travel.state.gov/family.

Embassy of the United States of
America, Bangkok
Consular Section
95 Wireless Road
Bangkok, Thailand 10330
Tel. (66)(2) 205-4000
Fax: (66)(2) 253-6250

Email: [email protected]
Website:
http://bangkok.usembassy.gov/consulcm/index.htm
U.S. Mailing Address:
U.S. Embassy, Bangkok
APO AP 96546

Additional Information: Specific questions about adoption in Thailand may be addressed to the U.S. Embassy in Bangkok. General questions regarding intercountry adoption may be addressed to the Office of Children's Issues, U.S. Department of State, CA/OCS/CI, SA-29, 4th Floor, 2201 C Street, NW, Washington, D.C. 20520-4818, toll-free Tel: 1-888-404-4747.

International Parental Child Abduction

February 2008

The information in this section has been edited from a report of the State Department Bureau of Consular Affairs, Office of Overseas Citizens Services. For more information, please read the International Parental Child Abduction section of this book and review current reports online at http://travel.state.gov/family.

Disclaimer: The information in this flyer relating to the legal requirements of specific foreign countries is provided for general information only. Questions involving interpretation of specific foreign laws should be addressed to foreign legal counsel.

General Information: Parental Kidnapping is not a crime in Thailand and Thai authorities will not issue a warrant or become involved should one parent take a child with-out the other parent's authorization. The Hague Convention on the Civil Aspects of International Child Abduction cannot be invoked if a child is taken from the United States to Thailand, or vice versa, by one parent against the wishes of the other parent or in violation of a U.S. custody order.

Child Custody: Under Thai law, the question of child custody is addressed in Book Five of the Thai Civil and Commercial Code under the general headings Termination of Marriage and Rights and Duties of Parent and Child. For more information, please review current reports online at http://travel.state.gov/family.

Enforcement Of Foreign Orders: Foreign orders (including U.S. custody orders) are not enforced/enforceable in Thailand. American citizens who travel to Thailand place themselves under the jurisdiction of Thai courts. If a taking parent chooses to remain in Thailand with a child or leave a child behind in Thailand, the U.S. Embassy cannot force either the taking parent or the Thai Government to return the child to the United States. American citizens planning a trip to Thailand with dual national children should bear this in mind.

Acquiring Thai Nationality: The Thai Nationality Act, Doc No. 2, B.E. 2535 (1992), states that any child born in Thailand of at least one Thai-citizen parent is a Thai citizen. If the child is born outside of Thailand, and has at least one Thai-citizen parent, the Thai parent can report the birth of the child to the nearest Thai Embassy or Consulate and the child will acquire Thai citizenship.

Special Courts: Juvenile and Family Courts to hear custody cases can be found only in Bangkok and a few of the larger cities in Thailand

Thai Passports For Children: Parents wishing to obtain a Thai passport for their child must present a Birth Certificate (for children under14 years-old) or Thai identity card (for children between 15-20 years-old) of the child, the House Registration Certificate and the identity cards of mother and father. Both parents must accompany their minor child during the application process. In case one of the parents is unable to be present, he/she must sign a letter of consent, which must be brought to the office by the other parent and the minor.

For further information on international parental child abduction, contact the Office of Children's Issues, U.S. Department of State at 1-888-407-4747 or visit its web site on the Internet at http://travel.state.gov/family. You may also direct inquiries to: Office of Children's Issues, U.S. Department of State, Washington, DC 20520-4811; Phone: (202) 736-9090; Fax: (202) 312-9743.