Wednesday, October 21, 2009

PHEU THAI'S NEW RECRUITS IMPRESS FEW

       Although the Pheu Thai Party is hyping up some 20 new party members as a political scoop to signal dissension within the military's ranks, political observers point out these ex-soldiers-turned-politicians have never been a major voice of the military. The 20 may have been classmates of fugitive ex-premier Thaksin Shinawatra from Pre-Cadet Class 10, but Thaksin often treated them with indifference and chose to dispense favours only to those classmates with clout when he was in power.
       The observers say of the 20 new Pheu Thai members, only three can be counted as 'somebody'- Manas Paorik, former deputy commander of the Third Army Region; Jirasit Kesakomol, former commander of the First Army Corps and Sumeth Phomanee, retired Air Force officer and former chief of staff to the defence minister.
       Sumeth served last year under Samak Sundaravej when he held the concurrent positions of prime minister and defence minister. "We decided to join Pheu Thai because of its practical policies to improve on the people's livelihood," he said.
       All 20 Pheu Thai newcomers are military retirees.
       The clique of Pre-Cadet Class 10, seen as pro-Thaksin, held a reunion dinner on Monday and Thaksin phoned-in to greet his classmates and thank them for their support. But his call failed apparently to convince the 'stars' of the class to join Pheu Thai.
       General Pornchai Kranlert, once a Thaksin favourite for the position of Army chief, and Lt General Prin Suwanthat, once powerful commander of the First Army Division, begged for more time to form a decision.
       More than 80 per cent of Thaksin's classmates failed to show up for the dinner. The no-shows are apparently linked to a clique led by Army chief General Anupong Paochinda.
       Even though most of Class 10 have been sidelined since the 2006 coup, Anupong has made sure those distancing themselves from Thaksin had their ranks elevated before retirement.
       Yesterday Yongyuth hosted a luncheon for his new party members, billed to number more than 40 although 20 showed up.
       Sumeth admitted that Thaksin had convinced the old classmates to support him by joining the party, but
       dismissed concern about Class 10 being seen as taking the opposite side to chief royal adviser General Prem Tinsulanonda.
       "We are retired officers and once out of military service, we are like other civilians who can choose to join a political party," he said.
       Veteran Pheu Thai member General Panlop Pinmanee said Prem had no right to monopolise patriotism by putting Pheu Thai members in a bad light.
       Pheu Thai newcomer Amnuay Thirachunha said he expected the political mercury to rise after Class 10's teaming up with the opposition.
       He claimed more than 50 graduates from Class 10 would eventually adopt the Pheu Thai banner, although some key graduates like General Pornchai Kranlert had not shown up.
       He also dismissed speculation about a rift between his clique and class president and Army chief General Anupong Paochinda.
       "We focus on our common ground and not our differences, he said.

Saturday, October 17, 2009

PAIN AND PENNY-PINCHING TO COME IN UK

       It's the deficit, stupid. That was the message, though not in exactly those words, that George Osborne,the ambitious finance ministerin-waiting for the UK's Conservative Party, delivered to the Tory faithful last week as he warned of Britain's mushrooming debt burden.
       "The government borrowed too much, the banks borrowed too much,"he said in a long-awaited speech at the party conference setting out the Conservative agenda going into next spring's election against the Labour government of Prime Minister Gordon Brown."Let's tell the truth: We all borrowed too much. We are sinking in a sea of debt."
       It is rare for a major party anywhere to run for office on a platform of pain and penny-pinching. But Mr Osborne and his fellow Tories, in adapting a variation of the slogan that carried Bill Clinton to victory in 1992, are betting that voters will not just accept a dose of harsh medicine, but will actually appreciate his honesty in offering it.
       Mr Osborne has even gone against a core Tory constituency, the wealthy financiers who fill the offices in the City of London, by saying that he will not reduce the top 50% tax rate recently imposed by Labour on Britain's richest.
       "We have to show that we are fair to all parts of society," Mr Osborne said in an interview in Manchester."It would be impossible to cut taxes now while we are asking others to sacrifice so much."
       It is a cheeky, unproven strategy.Republicans in the United States are also focusing on the country's similarly large deficit, forecast at 12.3% of gross domestic product this year, the highest since World War Two. So the extent to which Mr Osborne can persuade the British public to embrace a programme of reduced social services and public-sector wage freezes - without base-rallying tax cuts - may serve as a model for a 2012 campaign against President Barack Obama.
       At the moment, because of the sharp economic recession there and widespread disenchantment with the Labour Party, the Conservatives are far ahead in the polls. They are widely expected to return to power after more than a decade out of office.
       But that may be the easy part. As Mr Osborne made clear in his speech,Britain, whose currency in recent months has taken a beating even worse than the dollar has, is expected to generate a deficit of 13% of GDP this year,with its government debt forecast to reach 100% of GDP by 2014, according to the International Monetary Fund.
       By comparison, the debt burden in the United States is forecast to increase to 66%, from about 40%, over the same period, according to the Congressional Budget Office.
       Just last week, the European Commission termed Britain's debt "unsustainable" in a devastating report that compared public finances there with those of countries like Ireland, Latvia,Lithuania and Romania.
       According to the report, which has been latched on to by the Conservatives as a further sign of Britain's economic decline, the government needs to find ฃ200 billion.
       Mr Osborne, in setting out the Conservative fiscal agenda, is playing bad cop to the good cop role of David Cameron, the Tory leader. And with his penchant for delivering bad news with little sugar-coating, it is no surprise that Mr Osborne, who is only 38, almost proudly confesses that he is looking forward to being the most reviled man in Britain.
       "You have to be honest with people,"Mr Osborne said in the interview."There is so much distrust in the system that I believe there is a premium on straight talking."
       Mr Osborne, though, is not a naturally gifted political salesman. Indeed,while his Tory colleagues were inclined to push into the conference crowd, he tended to keep his distance. And on television, he often projects the clammy, awkward persona of a schoolboy making his first speech.
       Mr Cameron, who is close to Mr Osborne and comes from a similar background, has transcended the ignominy of his membership in the Bullingdon Club, the elite drinking enclave at Oxford. By contrast, Mr Osborne seems far less removed from the haughty picture of himself and his club members, garbed in bow ties and tails,that has come to define the view that the recast Conservatives still lack a common touch.
       What Mr Osborne does not lack,however, is what even his toughest critics recognise as an acute sense of how to play for keeps in the rough and tumble sandpit of British politics that is at odds with his aristocratic demeanor.
       The first of his political calculations came during his early teenage years when he had his name legally changed from Gideon to George, explaining to a schoolmate at the time that one could not become prime minister with a name like Gideon.
       But it is the more recent gamble persuading Mr Cameron that the Tories must relentlessly attack Mr Brown on Britain's debt - that will most likely define him and the Conservative Party,for better or for worse.
       It has left him open to plenty of personal attacks from the party in power.
       "Cutting spending at the height of a recession - I have never heard of such nonsense," said Peter Mandelson,the business secretary, who has been a senior strategist to Mr Brown and his predecessor, Tony Blair."This is not an economic philosophy; it is crude objectionism."
       Even in the financial district, concerns have been raised that Mr Osborne is too doctrinaire.
       "He comes across as callow and rich," said Andrew Hilton, who runs CSFI, a research center focused on financial issues."The City wants Labour out, but there is trepidation. If we cut spending right now it would be a lot worse."
       At a luncheon for Tory business supporters, Mr Osborne struck a more relaxed tone. But his main focus was the same.
       Britain's deficit "is a clear and present threat; we have to deal with it", he said. Acknowledging the tough measures he laid out during his speech and the criticism that followed, he added:"You have to bring the public with you. To get elected on a false prospectus would be catastrophic. All this will help ensure a democratic mandate."
       To meet his goals, Mr Osborne will have to rely on financial institutions in London and abroad (close to 40%of Britain's debt is held by foreigners)to keep buying government bonds at reasonable interest rates.
       "Osborne is dealing with the hard realities," said Michael Hintze, a prominent Tory financial supporter and founder of the hedge fund CQS, who suggested that Mr Osborne would bring a much-needed business sensibility to the challenges facing the British government."It is a UK PLC issue at this point. You can't just keep spending."

Tuesday, October 13, 2009

Karzai's rival "softens" stance

       Afghan President Hamid Karzai's main election challenger on Monday opened the door to working with his rival in a unity government,softening his opposition to future collaboration with the incumbent.
       Abdullah Abdullah, 49, who served as Mr Karzai's foreign minister from 2001 to 2006, said that when the result of the Aug 20 vote was known it was possible to "talk about different scenarios".
       "At this stage my whole focus will be on the [electoral] process, yes, to get it right and get it on track so the outcome will be acceptable to the people of Afghanistan," said Mr Abdullah.
       "Post announcement [of the result]there will be a new environment."
       Mr Abdullah has in the past ruled out returning to a Karzai government, but suggested his stance could soften after the election result is announced. Asked if he still ruled it out, he replied:"At the moment that is my position."
       When asked if that position could change, he responded:"Take it as it is,but different ideas and different scenarios could be talked about in their context rather than the context of today's situation where we have to focus on the [election] process."
       Hundreds of ballot boxes are still being checked for cheating, nearly two months after Afghans trudged to the polls. The vote was widely condemned as highly fraudulent and state bodies systematically acted to favour Mr Karzai, says Mr Abdullah.
       Rows have erupted over how the fraud can be corrected. Mr Abdullah said he was satisfied with the election watchdog's procedures and remained convinced it would declare sufficient votes invalid to require a run-off round between him and Mr Karzai.
       "It looks like it will be impossible for him to win [in the first round]," said Mr Abdullah, an urbane, fluent Englishspeaking eye doctor."Fraud will not be ignored."
       Mr Karzai won a preliminary 54.6%of the vote, to Mr Abdullah's 27.8%.Around one million of the 5.66 million votes cast would have to be found fraudulent to push Mr Karzai below the 50%level needed to trigger a second round.
       Mr Abdullah said the next government needs to reclaim the legitimacy lost to fraud and misrule under Mr Karzai, giving Western powers the "credible" partner they must have to justify the money and troops sent to stabilise Afghanistan.
       Setting out his conditions for cooperation, Mr Abdullah said he wanted a government formed that would have "an agenda of change", be staffed on the basis of competence rather than personal loyalty and have a clear vision for the country.
       In the fierce pre-vote battle for allegiances, Mr Karzai secured the backing of ethnic chiefs and ex-warlords, some with notorious human rights records.
       Mr Abdullah said Mr Karzai had effectively offered government posts in return for votes, which would frustrate the government's Western backers who want competent technocrats rather than corrupt loyalists in senior positions.
       "It's a clear-cut deal - ministries,authorities in exchange for votes,regardless of the issues of good governance, competence and effectiveness," said Mr Abdullah.
       Meanwhile Mr Abdullah's campaign manager, Saleh Mohammad Registani,said Mr Karzai engineered this week's resignation of a chief fraud investigator to cast doubt over a process that may force a run-off vote.
       One of the two Afghans on the Electoral Complaints Commission (ECC), Maulavi Mustafa Barakzai, resigned on Monday because, he said, the three foreigners on the panel were making all decisions on their own."Barakzai's resignation has direct connection to Karzai. It was Karzai's idea," Mr Registani said."Karzai is trying to bring the work of the ECC into question."

Monday, October 12, 2009

Poll shows Labour lags far behind

       Britain's opposition Conservatives remain on course for a return to power following the annual party conference season, an ICM Poll for the News of the World Sunday newspaper said.Support for the centre-right Conservatives stands at 45%,19 points ahead of Labour, and enough to give them a strong majority in parliament in an election due by next June. The Liberal Democrats are in third place with 18%.
       The Conservatives have extended their lead by five points since the previous ICM poll, taken two weeks ago before Labour held its annual conference.
       The conferences give the main parties huge media exposure and were seen as the starting point for election campaigns.
       The Conservatives warned at their conference that they would cut spending in order to reduce a huge budget deficit,outlining plans for a freeze on public sector pay beginning in 2011 and to raise the age at which people can get their state pension.
       A rapid recovery from deep recession is seen as the only chance of salvation for Prime Minister Gordon Brown and his Labour party, in power since 1997.
       Mr Brown said in a podcast on Saturday that action taken by the government,including spending billions of pounds on bailing out banks, had prevented the recession from tipping into a depression.
       "I believe that we have reached only the half way point on the road to rebuilding the global economy," he said.
       Mr Brown said he would give more details about how he plans to ensure the economy will grow in an enduring and sustainable way.
       The Labour PM, who has faced media questions in recent weeks over his health and eyesight, has two minor tears in his retina but will not require surgery, his office said on Saturday.
       Mr Brown, who lost the sight in one eye following a rugby injury as a teenager,has repeatedly said he is fit enough to lead he country.
       The ICM Research poll interviewed 1,008 adults on Oct 7-8.

Sunday, October 11, 2009

ALL EYES ON WHICH WAY NEW POLITICS WILL GO

       A new party, led by Sondhi Limthongkul, has further blurred the confused political landscape The increasingly sour relationship between the Democrat Party and the People's Alliance for Democracy, which has transformed itself into a political party and thus the most direct competitor of the main government coalition partner, will further complicate Thai politics. The landscape already looks blurred, with both camps taking opposite stances on proposed constitutional amendments. What will dictate future developments, however, depends less on the Democrats than on how far the PAD decides to go to push its causes.
       The most significant development of late is not PAD leader Sondhi Limthongkul's bashing of Prime Minister Abhisit Vejjajiva, whom he described as ungrateful, but the PAD's threat to resume street protests to protect the Constitution. Since the PAD has founded the New Politics Party, thus committing itself to mainstream parliamentary politics, we have to wonder how this movement will manage to have the best of both worlds.
       Political parties are entitled to organise rallies, but obviously not the sort of rallies the PAD was known for. Sondhi, the extremist credited for so many changes - positive and negative - that have happened in Thailand over the past few years, will have found that his new role requires a balancing act. He used to deplore parliamentary democracy, but what will he do now after deciding to become a part of it?
       In an exclusive interview with The Nation on Friday, Sondhi vigorously defended the fact that the New Politics Party would be backed up by a |political movement remembered for its long occupation of Government House and seizure of Suvarnabhumi Airport. "New politics", he insisted, meant a truly "bottom-up" formation of a political party. No party had |ever been formed this way, starting as a political movement and then, |thanks to a solid consensus of its followers, evolving into a political party, |he said.
       That arguably noble transformation, however, has to be followed by a reform of how the PAD puts forth its agenda. And having closely identified the PAD with the New Politics Party, admitting that the former has evolved into the latter, it will be hard for Sondhi to distance himself from the PAD if, say, its members stage another controversial act of aggression.
       Another part of the intriguing backdrop is the red shirts, the political base of the Pheu Thai Party. Ironically, the rival camps - the red shirts and yellow shirts - are finding themselves in the same boat because both are reluctant participants in the current parliamentary democracy. The yellow shirts believe the present parliamentary democracy is not strong enough to guard against Thaksin Shinawatra, but their red rivals think the opposite, claiming that Thaksin's opponents have taken the existing system and twisted it so as to block him from returning to power.
       How Sondhi with a new hat can fit into this increasingly complex picture remains to be seen. Logically speaking, he will be forced to be more cool-headed and take the middle path in order to get things done. If he can change, so can his supporters. If he cannot, it is very doubtful the New Politics Party will be able to set the ball rolling for a new political course that everyone yearns for.

Thursday, October 8, 2009

ACADEMIC WARNS OF BLOODBATH IF SOCIAL RIFT NOT HEALED

       A respected academic warned yesterday that a chronic social division could eventually lead to a clash and bloodbath if no attempts were made to avert it.
       Nidhi Eoseewong, a profesor in history,said that the problem has become "deep-rooted" after 20 years of social division, not just the three past years as had been believed.
       He said the problem of unbalanced society began since the time of King Rama V more than a century ago. The on going social division does not involve only the elite, the middle class and the grassroots, as in the past, but also a lare portion of the lowest group that has become a lower middle class both in the rural and urban adreas.
       "This group of people want more participation in public policy-making. In the future, these people will demand not only political equality but also othe rthings, which will cause furthe rstress in society. And I am not sure if the middle class will be able to accept it," Nidhi said.
       Some observers say Thai society has become severely divided over the past three years folsowing the 2006 military coup that overthrew the government of Thaksin Shinawatra.
       Nidhi was speaking during an academic meeting entitled "A Balanced Path for the Thai Ecomy,Politics and Society", at the Sasin Graduate Institute of Business Administration of Chulalongkorn University.
       He said that a "terrifying spectre" would be unnecessary and unreasonable bloodshed. "Are we going to prevent that from happening? Thai people will kill each other unreasonably. What to be done now is to reduce factors that can lead to bloodbath in the short and long terms," Nidhi said.
       In the short term, he suggested a stronger system of political scrutiny to give the people more power to scrutinise politicians, in addition to allowing more freedom of expression.
       He expressed opposition against issuing a law to regulate public gatherings.
       In the long term, he said a genuine rule of law and a welfare state should be established to provide security for the lower middle-class people.
       Another panel speaker Vishanu Kruea-ngam, who is formerly secretary-general to the Cabinet,said that Thai society shouls adopt His Majesty the King's philosophy of sufficiency economy to maintain social equilibrium.
       "There should be no extremes, no surplus and no shortage. The philosonable way," he said.
       Pisit Lee-ahtham,formerly a deputy finance minister, told yesterday's Sasin meeting that the government should spend more money on social projects in order to build up security for people in the middle and lower tiers of society.