Cabinet Meeting Synopsis - March 09, 2021

Politics News Tuesday March 9, 2021 15:43 —Cabinet Meeting Synopsis (English)

The cabinet met on March 9, 2021 at the Government House. Some of the resolutions are as follows:

Title: Draft Act Amending Civil and Commercial Code (No. ?), B.E. ? (revision on interest rates)

The cabinet approved the draft Act Amending Civil and Commercial Code (No. ?), B.E. ?, as proposed by Office of Council of State.

Gist

The proposed draft Act Amending Civil and Commercial Code (No. ?), B.E. ? prescribed revision of interest rate, that is, the interest rate that is not fixed by a juristic act, and the interest for default, as follows:

1. Revision of the interest rate that is not fixed by a juristic act or by an express provision in the law from ?7.5% per annum? to ?3% per annum?. The rate may further be revised by issuance of a royal decree.

2. Revision of the interest rate for default, from ?7.5% per annum? to ?the rate prescribed in Section 7 of the Civil and Commercial Code plus 2% per annum? (equivalent to 5% per annum).

The calculation method for default interest has also been revised to be relevant with the current economic condition, and to promote social justice and national economic security.

Title: Request for the FY2021 contingency fund for emergency for repair of road infrastructure damaged by flood disaster in the South

The cabinet approved the request for the FY2021 contingency fund for emergency (central budget), for the total budget of 1,372.41 million Baht for repair of road infrastructure damaged by flood disaster in 5 Southern provinces, as proposed by Ministry of Transport. The budget will be allocated to the Department of Highway (985.32 million Baht), and the Department of Rural Roads (387.09 million Baht).

Gist

Ministry of Transport reported that during November 27- December 18, 2020, flood disaster has caused widespread damage to 5 provinces in the South, namely, Trang, Nakhon Si Thammarat, Phatthalung, Narathiwat, and Surat Thani provinces, especially to highways and rural roads in the provinces.

The FY2021 contingency fund for emergency, at the total amount of 1,372.41 million Baht is requested for the repair of roads and other infrastructures, damaged by flood disaster in the 5 Southern provinces

Title: Industrial Economic Report for December 2020

The cabinet acknowledged the Industrial Economic Report for December 2020, as proposed by Ministry of Industry.

Gist

The industrial economic status in December 2020, when considered from the Manufacturing Production Index (MPI), contracted by 2.4 percent yoy as a result of the 2nd wave of the COVID-19 pandemic, making the MPI contraction of 8.8% for the year 2020.

Key industries that contributed to the contraction are: 1) Manufacture of sugar (50.55% contracted), 2) Manufacture of refined petroleum products (9.75% contracted), and 3) Rubber and Rubber Products except automotive tyres (16.72% contracted)

Key industries that grew relatively well in December 2020 when comparing to same month of the previous year were: 1) Electronics industry (12.03% growth), and 2) Automotive and Part industry (4.49% growth)

Title: Outcome of 5/2020 meeting of Eastern Economic Corridor Policy Committee on revision of regulation regarding meeting and voting (Draft Regulation of the Eastern Economic Corridor Policy Committee on Meeting and Voting (No. ?), B.E. ?)

The cabinet acknowledged the outcome of the 5/2020 meeting of Eastern Economic Corridor Policy Committee on revision of regulation regarding meeting and voting, and the draft Regulation of the Eastern Economic Corridor Policy Committee on Meeting and Voting (No. ?), B.E. ?. This is as proposed by Office of the Eastern Economic Corridor.

Gist

The draft Regulation of the Eastern Economic Corridor Policy Committee on Meeting and Voting (No. ?), B.E. ?, stipulates that meetings via teleconferences be in accordance with the Royal Decree on Electronic Media Conference B.E. 2563.

Title: Memorandum of Understanding on Rice Trade between Ministry of Commerce of the Kingdom of Thailand and Ministry of Trade of the Republic of Indonesia

The cabinet approved the drafting of Memorandum of Understanding on Rice Trade between Ministry of Commerce of the Kingdom of Thailand and Ministry of Trade of the Republic of Indonesia, and authorized Minister of Commerce or a representative to as signatory of the MOU. Should there be an amendment in parts that are not gist, Minister of Commerce or a representative may proceed as appropriate. This is as proposed by Ministry of Commerce.

Gist

The Memorandum of Understanding on Rice Trade between Ministry of Commerce of the Kingdom of Thailand and Ministry of Trade of the Republic of Indonesia prescribes G to G rice trade agreement, whereby Thailand agrees to sell white rice to the Government of Indonesia up to 1 million tons/year, pending the production condition and price level at the global market. The MOU takes effect for 4 years.

Source: Cabinet Meeting (Prayut Chan-o-cha) March 09, 2021

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