Thailand Weekly News

Due to the holiday period, the next Market Updates will be w/c 5th January 2009.

Week ended 12 December 2008

Consumer confidence fell to the lowest level in almost six years in November on Bangkok’s airports closure, slowdown in exports and weakening labour market. The National Economic & Social Development Board (NESDB) expects unemployment rate may more than double next year to 2.5 percent as companies cut jobs amid weakening demand for exports and political turmoil. On the political front, A royal command was issued during the past week for a special House meeting on Monday to elect a new prime minister with Democrat Party's leader, Abhisit Vejjajiva, likely to win the vote from 242 MPs from coalition with 3 minor parties and the Newin Chidchob faction to head the new administration. In a related news, the Constitutional Court will make a ruling on Tuesday whether the caretaker PM, Chaovarat Charnveerakul, has the legal authority to dissolve the House and call a new election.

On the corporate front, Central Pattana announced that it has entered into a memorandum of understanding with Central International Development (CID), the lessee of Lad Prao land plot from the State Railway Authority of Thailand (SRT) in a contract worth 21 billion Baht, to reserve the right to continue to sub-lease the land from CID for another 20 years. We hold CPN.