On Friday, February 23, 2024, the Office of the National Economic and Social Development Council (NESDC) organized a workshop on raising awareness about Thailand’s membership in the Organisation for Economic Co-operation and Development (OECD) for the private sector at the JW Marriott Hotel Bangkok. The event was honored by Dr. Prommin Lertsuridej, Secretary-General to the Prime Minister, who delivered a keynote speech on “Thailand and OECD Membership”. Mr. Pongsan Asavachaiyoson, Deputy Secretary-General to the Prime Minister, also attended. The workshop had over 120 participants, including representatives from the private sector such as the Thai Chamber of Commerce and Board of Trade of Thailand, the Federation of Thai Industries, the Thai Bankers’ Association, and the Thai SME Council, as well as representatives from government agencies and the media. The meeting was also live-streamed on NESDC’s Facebook page.
On this occasion, the Secretary-General to the Prime Minister presented on the necessity of Thailand’s OECD membership, particularly regarding standards that will align Thailand with international rules, regulations, and norms. This will increase opportunities and enhance the competitiveness of Thai entrepreneurs in the global arena. The OECD is considered an international organization that represents the high standards of developed countries. If Thailand becomes an OECD member, it will help develop and elevate Thailand’s domestic standards in areas such as the economic system, governance, education, environment, and the quality of life for all Thai people. Furthermore, the Secretary-General to the Prime Minister discussed the government’s policy framework that aligns with OECD membership conditions, including establishing the rule of law, improving regulations to support ease of doing business, transforming the government from an obstacle to a supportive and transparent entity, using data-driven governance, economic diplomacy, and human capital development, which is considered the most crucial issue for national development. He emphasized that Thailand will benefit throughout the process of becoming an OECD member, and successful membership requires cooperation from all sectors, including government, private sector, civil society, and all citizens.
Subsequently, Mr. Wanchat Suwankitti, Deputy Secretary-General of the National Economic and Social Development Council, gave a presentation on Thailand’s efforts to become an OECD member. This was to inform the private sector about the background and importance of membership, as well as the government’s action plans that require cooperation from the private sector to drive implementation. This includes strengthening cooperation between Thai private sector and OECD member countries’ private sectors through participation in the Business at OECD (BIAC) network, which will reflect Thailand’s holistic commitment to OECD membership. Additionally, the Deputy Secretary-General moderated a discussion with government agency representatives on the topic of “Benefits and Impacts of OECD Membership and Guidelines for Private Sector Preparation to Address and Adapt to Thailand’s OECD Membership”. Key sub-topics included: (1) Services and Investment by Mr. Suthiket Thatpitakkul, Investment Advisor, Board of Investment; (2) Small and Medium Enterprises by Dr. Apiradee Khaothiear, Deputy Director of the Office of Small and Medium Enterprises Promotion; and (3) Trade Competition by Dr. Akarapon Houbcharoen, Director of International Affairs, Office of Trade Competition Commission. Government representatives presented on the public sector’s adaptation to OECD membership, including regulatory improvements and measures to assist the private sector and SMEs. This crucial information will help the private sector understand how the government plans to support, promote, and mitigate potential impacts from OECD membership, allowing businesses to plan and adjust their strategies to align with OECD member countries’ business standards.
In the afternoon session, video clips from OECD representatives were presented on the role of the private sector in the OECD. These included: (1) Cooperation between OECD and Thailand, and perspectives on the private business sector by Alexander Bohmer, Head of Division, South Asia and Southeast Asia, Global Relations and Co-operation Directorate; (2) The role of the private sector in the OECD and benefits for the private sector by Hanni Rosenbaum, Executive Director, Business at OECD (BIAC); and (3) Opportunities and challenges for SMEs from OECD membership by Ms. Lucia Cusmano, Acting Head of Division, Entrepreneurship SME and Tourism Division, Center for Entrepreneurship, SMEs, Regions and Cities. OECD representatives emphasized that the private sector plays a crucial role in providing policy recommendations that lead to the establishment of OECD standards that are comprehensive and up-to-date with global changes. These include protecting free markets, addressing skill shortages, building resilience in public health and food systems, and developing digital policies to lead to sustainable transitions.
This was followed by a panel discussion with private sector representatives on the topic of “The Role of the Private Sector in Driving Thailand through OECD Membership and Issues that the Private Sector Wants the Government to Address”. Panelists included Dr. Nilsuwarn Leelarasamee, Vice Chairman of the Federation of Thai Industries; Dr. Supharoek Chomchan, Advisor to the Thai Chamber of Commerce; and Dr. Pacharapot Nantharamas, Senior Executive Vice President of Krungthai Bank PCL and Chairman of the Economist Club, Thai Bankers’ Association. The private sector representatives agreed that OECD membership would enhance Thailand’s competitiveness and highlighted key issues for the government to address. These include accelerating the liberalization of service sector laws, establishing mechanisms and processes to develop Thai SMEs to meet OECD standards, and using digital technology to drive entrepreneurs and bring the informal economy into the formal system as much as possible. These efforts will help entrepreneurs operate within international standards and compete effectively upon OECD membership.
The final session featured an exchange of views between private sector representatives and SME entrepreneurs. This exchange helped create mutual understanding between the two parties. SME entrepreneurs expressed concerns that OECD membership would lead to service sector liberalization and an influx of foreign investors with high capital and standards, which could further impact already vulnerable Thai SMEs. Private sector representatives reassured SMEs that Thailand can negotiate reservations for sectors not yet ready for liberalization during the OECD membership process. At the same time, the private sector is ready to provide advice and assistance to SMEs, such as the “Big Brother” project of the Thai Chamber of Commerce, which aims to have large enterprises help smaller ones. They emphasized that SME entrepreneurs must also cooperate with the public and private sectors by forming groups to identify problems and issues for which SMEs need advice and assistance, enabling all parties to be informed and plan operations together.
Regarding Thailand’s internal proceedings, the Prime Minister has signed a letter of intent for the Kingdom of Thailand to become an OECD member. Additionally, a committee has been appointed to drive Thailand’s efforts to become an OECD member, which will serve as a coordination mechanism with all sectors. The NESDC will coordinate further details and foster participation from all groups in driving Thailand towards OECD membership, connecting Thailand to the world, to elevate the quality of life for all Thai people.
Progress on Thailand’s OECD membership can be followed at bit.ly/43SdmE0
bit.ly/43SdmE0 (TH2OECD)
