Sufficiency Economy:
Thailand's Answer to Globalization
UNDP Report Hails Thai "Middle Path" as key to fighting poverty, coping with
economic risk, and promoting corporate social responsibility
Thailand's "Sufficiency Economy" holds the key for reducing poverty, combating corruption, and buffering the country against financial crises, according to a timely report launched today in Bangkok. Sufficiency Economy and Human Development demystifies this economic philosophy and shows how its practical applications in business, politics, education, farming, and even everyday conduct have a wide global relevance.
"Gaining momentum in Thailand after the 1997 financial crisis . . . Sufficiency Economy thinking
advocates economic stability over unbridled growth. It celebrates sustainable development, sound macro-economic policies, and the equitable sharing of the benefits of economic prosperity," says Thailand's Prime Minister Surayud Chulanont in the foreword to the report.
Thailand Human Development Report 2007: Sufficiency Economy and Human Development, published by the United Nations Development Programme, is the result of a year-long collaboration between Thai and international experts, and the contribution of many Thai officials and academics committed to bringing Sufficiency Economy thinking to a wider audience. The report was launched today at Government House presided over by the Prime Minister.
The report highlights the stark contrast between Thailand's impressive overall economic and social
progress and the many deep-rooted development challenges that remain. Incomes are highly skewed, many people still live in poverty, and the provision of essential services differs greatly in quality and quantity in different areas of the country. At the same time the natural environment is under great stress and family and community life is strained by migration and urbanization.
It is against such a backdrop of rapid growth and its attendant problems that the Sufficiency
Economy philosophy - based on the principles of moderation, reasonableness and self-immunity - was formulated by His Majesty King Bhumibol Adulyadej of Thailand. The report is a timely contribution to the on-going debate in Thailand on how to translate Sufficiency Economy thinking into practical policies and concrete action. The report also aims to help disseminate and explain Sufficiency Economy to a wider global audience.
Sufficiency Economy is a set of tools and principles that help communities, corporations and governments manage globalization -- maximizing its benefits and minimizing its costs - by making wise decisions that promote sustainable development, equity, and resilience against shocks. As such, the Sufficiency Economy is a much needed `survival strategy' in a world of economic uncertainty and environmental threats.
"We believe that Sufficiency Economy principles are applicable around the world, especially for
rapidly-developing countries that are experiencing some of the same pressures as Thailand," said Joana Merlin-Scholtes, UNDP Resident Representative and UN Resident Coordinator in Thailand.
"This is a set of tools that can be used by governments, civil society and individuals to work towards sustainable growth, environmental protection and a better quality of life for all."
This report explains what Sufficiency Economy means in practice:
For communities, Sufficiency Economy principles are fundamental to empowerment and building
resilience. The report cites a number of cases of communities developing long-term self-help schemes such as savings groups, revolving credit lines, and local safety nets, organizing with other communities and moving towards sustainable economic activity to build immunity to outside shocks. The report cites the Inpaeng Network in Thailand's Northeast as an example of wide-scale organization that has allowed these communities to diversify their economic base, weather shocks like the 1997 crisis, and develop a pride in local organization and culture that is passed down to the next generation.
For private businesses, Sufficiency Economy "takes corporate responsibility to the next level".
Several firms, both large and small, have adopted the Sufficiency Economy approach as a guide to management and planning. "This approach encourages them to focus on sustainable profit, to adhere to an ethical approach to business, to pay special attention to their employees, to respect nature, to have careful risk management, and to grow where possible from internal resources," explains the report. Firms which have adopted this approach have enjoyed success over the long term. The report cites a number of examples, including Siam Cement, which was able to rebound from the devastating crisis of 1997 by developing a high-quality workforce in which each individual is valued, and by managing from core principles, such as a code of ethics that includes concern for social responsibility and fairness in business relationships.
For governments, the Sufficiency Economy is central to alleviating poverty, promoting good
governance, and guiding macroeconomic policies to immunize against shocks. The report argues that rather than invest in large-scale top-down initiatives to combat poverty, governments should support communities in their own self-help schemes, conserve the environment, promote sustainable development, and maintain a stable macroeconomic course that minimizes risks. The report points out that corruption is the enemy of all these efforts, and that the poor and vulnerable are often the first victims of poor governance.
"The Sufficiency Economy is a sophisticated model for managing growth that is born out of Thailand's many decades of experience with development," said Merlin-Scholtes. "This thinking is a gift of Thailand to the world; something Thailand should be proud of."
For more information, please contact:
Nick Keyes: nick.keyes@undp.org ; 02 288 1814; 085 115 7236
Cherie Hart: cherie.hart@undp.org ; 02 288 2133, 081 918 1564
Punnipa Ruangtorsak: punnipa.ruangtorsak@undp.org , 02 288 2130; 081 398 6064
--National Economic and Social Development Board--
-PM-
Thailand's Answer to Globalization
UNDP Report Hails Thai "Middle Path" as key to fighting poverty, coping with
economic risk, and promoting corporate social responsibility
Thailand's "Sufficiency Economy" holds the key for reducing poverty, combating corruption, and buffering the country against financial crises, according to a timely report launched today in Bangkok. Sufficiency Economy and Human Development demystifies this economic philosophy and shows how its practical applications in business, politics, education, farming, and even everyday conduct have a wide global relevance.
"Gaining momentum in Thailand after the 1997 financial crisis . . . Sufficiency Economy thinking
advocates economic stability over unbridled growth. It celebrates sustainable development, sound macro-economic policies, and the equitable sharing of the benefits of economic prosperity," says Thailand's Prime Minister Surayud Chulanont in the foreword to the report.
Thailand Human Development Report 2007: Sufficiency Economy and Human Development, published by the United Nations Development Programme, is the result of a year-long collaboration between Thai and international experts, and the contribution of many Thai officials and academics committed to bringing Sufficiency Economy thinking to a wider audience. The report was launched today at Government House presided over by the Prime Minister.
The report highlights the stark contrast between Thailand's impressive overall economic and social
progress and the many deep-rooted development challenges that remain. Incomes are highly skewed, many people still live in poverty, and the provision of essential services differs greatly in quality and quantity in different areas of the country. At the same time the natural environment is under great stress and family and community life is strained by migration and urbanization.
It is against such a backdrop of rapid growth and its attendant problems that the Sufficiency
Economy philosophy - based on the principles of moderation, reasonableness and self-immunity - was formulated by His Majesty King Bhumibol Adulyadej of Thailand. The report is a timely contribution to the on-going debate in Thailand on how to translate Sufficiency Economy thinking into practical policies and concrete action. The report also aims to help disseminate and explain Sufficiency Economy to a wider global audience.
Sufficiency Economy is a set of tools and principles that help communities, corporations and governments manage globalization -- maximizing its benefits and minimizing its costs - by making wise decisions that promote sustainable development, equity, and resilience against shocks. As such, the Sufficiency Economy is a much needed `survival strategy' in a world of economic uncertainty and environmental threats.
"We believe that Sufficiency Economy principles are applicable around the world, especially for
rapidly-developing countries that are experiencing some of the same pressures as Thailand," said Joana Merlin-Scholtes, UNDP Resident Representative and UN Resident Coordinator in Thailand.
"This is a set of tools that can be used by governments, civil society and individuals to work towards sustainable growth, environmental protection and a better quality of life for all."
This report explains what Sufficiency Economy means in practice:
For communities, Sufficiency Economy principles are fundamental to empowerment and building
resilience. The report cites a number of cases of communities developing long-term self-help schemes such as savings groups, revolving credit lines, and local safety nets, organizing with other communities and moving towards sustainable economic activity to build immunity to outside shocks. The report cites the Inpaeng Network in Thailand's Northeast as an example of wide-scale organization that has allowed these communities to diversify their economic base, weather shocks like the 1997 crisis, and develop a pride in local organization and culture that is passed down to the next generation.
For private businesses, Sufficiency Economy "takes corporate responsibility to the next level".
Several firms, both large and small, have adopted the Sufficiency Economy approach as a guide to management and planning. "This approach encourages them to focus on sustainable profit, to adhere to an ethical approach to business, to pay special attention to their employees, to respect nature, to have careful risk management, and to grow where possible from internal resources," explains the report. Firms which have adopted this approach have enjoyed success over the long term. The report cites a number of examples, including Siam Cement, which was able to rebound from the devastating crisis of 1997 by developing a high-quality workforce in which each individual is valued, and by managing from core principles, such as a code of ethics that includes concern for social responsibility and fairness in business relationships.
For governments, the Sufficiency Economy is central to alleviating poverty, promoting good
governance, and guiding macroeconomic policies to immunize against shocks. The report argues that rather than invest in large-scale top-down initiatives to combat poverty, governments should support communities in their own self-help schemes, conserve the environment, promote sustainable development, and maintain a stable macroeconomic course that minimizes risks. The report points out that corruption is the enemy of all these efforts, and that the poor and vulnerable are often the first victims of poor governance.
"The Sufficiency Economy is a sophisticated model for managing growth that is born out of Thailand's many decades of experience with development," said Merlin-Scholtes. "This thinking is a gift of Thailand to the world; something Thailand should be proud of."
For more information, please contact:
Nick Keyes: nick.keyes@undp.org ; 02 288 1814; 085 115 7236
Cherie Hart: cherie.hart@undp.org ; 02 288 2133, 081 918 1564
Punnipa Ruangtorsak: punnipa.ruangtorsak@undp.org , 02 288 2130; 081 398 6064
--National Economic and Social Development Board--
-PM-