July 23, 2020

Thai Enquirer Summary

Political News

 The Centre for COVID-19 Situation Administration (CCSA) meeting chaired by Prime Minister General Prayuth Chan o-cha yesterday (July 22) approved an extension of the state of emergency for , for the 4th time, by 1 month until the end of August.

 National Security Council Secretary-General, Somsak Roongsita, stressed that the state of emergency is still necessary to effectively control the virus in Thailand reopens its door to selected groups of travellers to help revive the economy.

 “The extension of the state of emergency is only to curb the COVID-19 pandemic. It has nothing to do with political rallies,” he said.

 The government has extended its state of emergency 4 times so far with the first from March 26 to April 30, then to May 31, and then to June 30 to combat COVID-19 before extending it again.

 The decision to extend the State of Emergency was criticized by opposition political parties, while critics said the emergency law was meant to curb large anti-government protests, National Security Council Secretary-General, Somsak said the latest extension won’t include a rule prohibiting them.

 The decision will be presented to the Cabinet next week on July 29.

 In the light of the CCSA’s decision to extend the state of emergency until August 31, opposition chief strategist Sudarat Keyuraphan lashed out at the government calling it to scrap the emergency law immediately.

 In her Facebook post, Sudarat questioned the need to extend the state of emergency, citing 2 reasons.

 Thailand has reported zero local COVID-19 transmission for 2 months. This means there is no trace of the virus in the country. The government has a job to tighten control over the spread of the virus from imported cases, rather than extending the state of emergency.

 Given severe economic impacts from COVID-19 on Thai people across the country, what Prime Minister and Defence Minister Gen Prayut Chan-o-cha can do is to restore confidence to the general public and foreign investors that the govt. has the ability to effectively control the pandemic, rather than using emergency measures to curb the pandemic which can erode people’s confidence and obstruct people’s livelihoods.

 Sudarat called on the Prime Minister to scrap the extension of the emergency law immediately to allow all businesses to reopen and speed up measures to rehabilitate the economy.

 The flash mob seems likely to be now in full swing once again as more students are set to join anti-government flash-mob style protests. It is not just universities but schools have also started to join the movement

 University students and the general public have mapped out flash-mob rallies in various spots across the country to ratchet up pressure on the government to resignation.

 The Free Youth Group announced to stage rallies in Bangkok, Khon Kaen, Pathum Thani, Ayutthaya and Rayong today (July 23), followed by Patthalung, Lamphun and Udon Thani from 17:00 hrs tomorrow (July 24).

 The Coalition of Salaya Students is set to hold a rally at 11.00 hrs in front of Government House tomorrow (July 24).

 Rallies organised by the Free Youth Group are set to continue throughout the rest of this month and early next month in provinces like Samut Prakan, Nakhon Sawan, Ratchaburi and Roi Et.

The list of venues where the protest is set to be held until August 2, 2020

 The Free Youth group’s protest set to be held from 17.00 hrs yesterday (July 22) had to be scrapped after the management of Mahasarakham University issued a letter banning the group from using its Hexagon Field as the rally venue on fears over virus transmission and the need to comply with the state of emergency.

 Students at the Prince of Songkla University Pattani Campus vowed to go ahead with their planned rally set from 16.00 hours today (July 23) despite the university management’s order to ban students from holding protests on the campus site. Students now take aim at both the university rector and the government, calling for their resignation.

 On the same day, the “nolongerslavesth” Group led more than 500 students and members of the general public to rally in the Laem Thaen multi-purpose ground in Tambon Saen Suk, Mueang District of Chon Buri.

 Protestors, most of whom donned black, put up signs calling for a dissolution of the House, an end to harassment of the opposition and a new constitution. The rally went on for 1 hour amid tight security of around 100 police officers.

 In what is spreading like a wildfire on social media, a young university student in Phrae province took to Facebook live to go alone to a police station to ask the police on why 4 police officers had gone to his house and threatened his mother not to allow him to go to last evening’s protest in the province.

 Political commentators are saying that such a move could instigate the students to be bolder and braver to stand up to intimidation by authorities.

 Media outlets are covering this bold student named ‘Nueng’

 Link to Story - https://www.khaosod.co.th/politics/news_4556244

 Link to VDO –  https://www.facebook.com/100011111164289/videos/1135580000155695/

 A parliamentary session chaired by House Speaker was held yesterday (July 22) to discuss 6 urgent issues which include a motion to allow student protesters to have their political opinions heard through parliament. The motion was submitted by Phalang Pracharath Party MP for Bangkok Chakkrapan Pornnimit.

 Similar motions were also filed by other parties, namely the Move Forward Party, Pheu Thai Party, Democrat Party and Bhumjai Thai Party.

 Justice Minister Somsak Thepsuthin, also deputy leader of the Phalang Pracharat Party (PPRP), came out to warn that Phalang Pracharat which means “People’s State Power” may lose its power if his Saam Mitr faction’s demand for cabinet posts were not met.

 Somsak’s comment came following strong speculation that 2 leaders of the Saam Mitr Group inside the Phalang Pracharat Party (PPRP) Suriya Jungrungreangkij, the incumbent industry minister, and Anucha Nakhasai, the PPRP secretary- general, will not be given cabinet seats that they want.

 On a separate issue, the National Anti-Corruption Commission (NACC)’ set up a subcommittee to probe into Anongwan Thepsuthin relating to alleged irregularities in a soil and forest resource project worth 770 million baht when serving as natural resources and environment minister.

 The NACC’s subcommittee found sufficient grounds to bring charges against Anongwan which will be presented to the NACC main committee.

 The National Anti-Corruption Commission (NACC) identified 75% out of 928 local communities as risk areas for corruption across the country.

 According to its latest data from its Corruption Risk Mapping Project, the NACC said it found graft in projects which have nothing to do with Covid-19 transmission.

 The data shows corruption engaging in various forms such as procurement of equipment for use in battling virus transmission, hoarding of medical supplies, price-gouging, misuse of relief funds and donations.

 Former prime minister Yingluck, her former PM’s Office Minister Niwatthamrong Boonsongpaisarn and Suranand Vejjajiva, former Secretary-General to the Prime Minister, have been found guilty by the National Anti-Corruption Commission (NACC) yesterday (July 22) of malfeasance in office relating to a 240-million-baht roadshow campaign to publicise her government’s infrastructure development projects in 2013 under the so-called “Thailand 2020” roadshow project.

 Yingluck, Suranand and Niwatthamrong stand accused of violating 2 laws — Section 151 and Section 157 of the Criminal Code and Section 12 and Section 13 of the law on offences relating to the submission of contract bids to state agencies, NACC spokesman Niwatchai Kasemmongkol announced.

 The NACC said the 240 million baht spent on the “Building Future of Thailand 2020” project at Yingluck’s instruction as prime minister was a complete waste, causing damage to the state.

 Previously in 2014, the Constitutional Court ruled the bill sponsored by the Yingluck government to authorise the Finance Ministry to seek 2 trillion baht in loans for infrastructure development projects was unconstitutional.

 Therefore, events held under the roadshow campaign were effectively rendered null and void, and the 240-million budget already spent on the campaign was wasted, causing damage to the state.

 The NACC also concluded that 2 media companies---Matichon Plc and Siam Sport Syndicate Plc---hired to run the roadshow were allegedly complicit in supporting the offences by state authorities in violation of the Criminal Code, the anti-corruption law and the law on offences relating to the submission of contract bids to state agencies.

 In his own defence, Suranand wrote on his Facebook page he had performed his duty honestly and carefully in the state and public interest, insisting that all procurement processes were made in line with state regulations.

 Sira Jenjakha, as the chairman of the House committee on law, justice and human rights, threatened to dismiss Pannika Wanich, a leading figure in the Progressive Movement and former Future Forward Party spokeswoman, from the committee’s advisory panel due to her inappropriate behaviour and impolite manners.

 Sira said Pannika acted inappropriately and impolitely when she requested the police to clarify to the committee about the arrest of 2 political activists who put up signs criticising the government in Rayong.

 Sira said he had informed Pannika about the matter and asked her to resign. He plans to seek a vote at the committee’s meeting if Pannika refused to resign.

 The ongoing cabinet reshuffle is still there somewhere but this saga is likely to continue until mid-August when the actual swearing in may happen.

 Until then all names that come in and go are all speculation

 But what is interesting is the fact that the street protest leader that toppled the Yingluck Shinawatra government – Suthep Thaugsuban, came out to accept that the Prime Minister Prayut had called him to get his proxy party’s current Ministry of Labour quota to give it to someone else and that the Action for Coalition party (Suthep’s proxy party) will get some other portfolio.

Economic News

 The Supreme Administrative Court yesterday (July 22) upheld the Central Administrative Court’s decision to reject a petition by the Ministry of Transport and the State Railway of Thailand (SRT) for a retrial. The ruling put an end to a long legal battle in the Hopewell Project that dated back to 1990.

 The court ordered the Transport Ministry and the SRT to pay 24 billion baht in compensation to Hopewell Holdings Company for the 1998 cancellation of the 80-billion-baht elevated highway and train project.

 The Hopewell Project was commenced in 1990 by Hopewell Thailand, a subsidiary of Hong Kong-based Hopewell Holdings but was ordered to be ceased in 1997 during the Asian financial crisis, with only about 10% of the project

complete. The cabinet during the time ordered the cancellation of the contract in 1998.

 Both sides demanded compensation and fought it out at an arbitration panel and twice in the Central Administrative and Supreme Administrative courts.

 The Transport Ministry and SRT refused to pay the compensation. They asked the Central Administrative Court for a retrial in October last year, claiming that they had obtained new evidence showing that Hopewell Thailand was not legally registered.

 New company registrations rose 3% year-on-year in June 2020 boosted by the easing of lockdown restrictions and the government’s economic stimulus measures, according to the Commerce Ministry’s Business Development Department.

 According to the latest report by the Business Development Department, the number of new business registrations across the country in June rose 37% from May this year and 3% over the same month last year to 5,731, said Vuttikrai Leewiraphan, the Department’s Director-General.

 The total registered capital of new companies in June increased 53% from May to 14.757 billion baht but dropped 3% year-on-year.

 The top 3 sectors for new businesses are building/construction, accounting for 11% or 612, followed by property 5% or 271 and logistics and freight 3% or 188.

 Osotspa Plc (OSP) announced an overhaul of executives.

 The company appointed Kannikar Chalitaporn as chairman of the executive committee following the resignation of Petch Osathanugrah, former chairman and chief executive of Osotspa, who resigned over health reasons, company board chairman Surin Osathanugrah announced.

 Kannikar is a successful business leader with extensive experience in managing Thai and multinational companies for more than 40 years.

 Petch will be the company’s vice chairman. Thana Chaiprasit, one of the fourth- generation executives of the Osathanugrah family, will serve as acting CEO.

 The Customs Department plans to auction for more than 200 seized luxury cars on August 8, the first time in 3 years.

 The planned auction will see many supercars such as second-hand Ferrari California model priced at 13 million baht, second-hand Porsche Panamera Turbo 14-15 million baht and second-hand BENTLEY 20 million baht, according to Customs Department spokesman Chaiyut Kumkun.

 The auction is expected to generate no less than 300 million baht in revenue for the government.

 Link to the cars - https://customsauction.sia.co.th

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General News

 Thailand logged in 6 new COVID-19 cases, all Thai nationals who returned from abroad and have been undergoing 14-day quarantine at state facilities. It has still recorded zero new fatalities, with the infection tally now at 3,261 cases and 58 deaths.

 In the light of the CCSA’s decision to extend the state of emergency by another month until the end of August, the Centre has agreed to allow selected foreigners, including migrant workers from neighbouring countries, especially from Cambodia, Myanmar, Laos and Vietnam, in the infrastructure sector and food industry to enter the kingdom.

 Medical tourists, foreigners participating in international conferences and trade fairs, foreign film production crews and Thailand Elite cardholders (those with long-term residence visas and multiple-entry residence visas) were among those allowed to the enter the country.

 On a global front  The number of cases is close to 15.5 million  The United States saw more than 71,000 new cases yesterday and more than 1,200 deaths  India is catching up with more than 45,000 cases and 1,100 deaths yesterday

Political News Headlines in Thai Media

 The State of Emergency (SOE) will not be used to press charges against protestors, the National Security Council (NSC) said on Wednesday.

o Link- https://www.thaienquirer.com/15928/the-nsc-said-soe-will-no-longer-be-used- on-protestors/

 Thailand’s cabinet and its emergency covid response center said on Wednesday it will extend the State of Emergency act by one month despite activists and protesters demanding its end.

o Link- https://www.thaienquirer.com/15907/government-will-extend-state-of- emergency-act-by-one-month/

 Thai netizens took to twitter to criticize the detention of a man who was forcefully admitted to a psychiatric hospital for wearing an anti-institution T-shirt and calling for his release.

o Link- https://www.thaienquirer.com/15905/thai-netizens-rallies-for-man-forcefully- put-in-psychiatric-hospital-for-wearing-anti-institution-t-shirt/

 Sean Buranahiran, a social media influencer and life coach, gave his first interview to the public this week after a seven hour interrogation at Pakkred police station, apologizing and denying all allegations of embezzlement on a controversial fundraiser.

o Link- https://www.thaienquirer.com/15901/embattled-social-media-turns-himself-in- and-apologizes-to-the-public/

 Headache Stencil is the pseudonym of a graffiti artist who has been painting political imagery for years. His anti-coup messages have gone viral and has given him a fan base but have also put him in the crosshairs of the state. He claims that he has been stalked and harassed by the state security apparatus.

o Link- https://www.thaienquirer.com/15877/harassed-by-the-state-a-graffiti-artists- considers-his-life-his-safety-and-exile/

 Palang Pracharath Party’s Sira Jenjaka is planning to dismiss Pannika Wanich, a leading figure in the Progressive Movement and former Future Forward Party spokeswoman, from the House committee on law, justice and human rights for "inappropriate" behaviour and being “impolite”.

o Link- https://www.nationthailand.com/news/30391737?utm_source=category&utm_mediu m=internal_referral

 Political parties on Wednesday urged parliament to engage student activists protesting against the government in a process organised in such a way to allow them to communicate their concerns.

o Link- https://www.bangkokpost.com/thailand/politics/1955843/parliament-must- engage-protesters

Economic News Headlines in Thai Media

 The political movement from the anti-government group could put Thailand under heavy political strain, something which could hamper an economy already feeling the effects of the coronavirus pandemic.

o Link- https://www.thaienquirer.com/15898/uprising-political-uncertainty-poses- worsening-risk-to-thai-economy-experts-say/

 On Wednesday morning (July 22, 2020), the Sri Trang Agro-Industry (STA) and Sri Trang Gloves Thailand (STGT) share prices dropped as a response to positive news for a coronavirus vaccine.

o Link- https://www.thaienquirer.com/15920/sta-stgt-share-price-drops-10-per-cent-as- covid-19-vaccines-test-positive/

 On Wednesday, the Supreme Administrative Court dismissed a new inquiry into the case against Hopewell and ordered the Thai government to pay 24 billion baht in compensation to the company.

o Link- https://www.thaienquirer.com/15935/supreme-administrative-court-orders-thai- government-to-pay-24-billion-baht-in-compensation-to-hopewell/

 Charoen Pokphand Foods (CPF) reported that its subsidiary in Hong Kong, CP Pokphand (CPP), expects to achieve a first-half net profit of US$310 million to $330 million (Bt10.4 billion), a significant increase of $82 million compared to the same period last year.

o Link- https://www.nationthailand.com/business/30391745?utm_source=category&utm_me dium=internal_referral

 A Japanese restaurant has warned other food businesses to be on their guard after it was caught out by Thailand’s strict law on promoting alcohol.

o Link- https://www.nationthailand.com/news/30391755?utm_source=category&utm_mediu m=internal_referral

 Government spokesperson Traisuree Taisaranakul announced that the Cabinet resolved to extend visa amnesty for foreigners stranded in Thailand to September 26.

o Link- https://www.nationthailand.com/news/30391756?utm_source=category&utm_mediu m=internal_referral

 Despite construction delays, the elevated MRTA Pink Line between Khae Rai and Min Buri will begin operating in September 2021, aiming for 200,000 passengers per day.

o Link- https://www.nationthailand.com/news/30391752?utm_source=category&utm_mediu m=internal_referral

 Thailand's commercial banking sector reported a drop in aggregate net profit for both the second quarter and first six months, mainly from higher provisions set aside to cushion against rising non-performing loans (NPLs).

o Link- https://www.bangkokpost.com/business/1955943/net-profits-dip-as-loan- buffers-spike

 Banks have provided financial aid worth a total of Bt6.7 trillion to more than 10 million debtors suffering from the impact of Covid-19, while some believe 70 per cent of the borrowers will repay their debts once the aid package comes to an end.

o Link- https://www.nationthailand.com/business/30391770?utm_source=category&utm_me dium=internal_referral

 Tech, healthcare stocks and digital learning platforms are the winners in this present situation, the head of wealth product development at Tisco bank, Vorasinee Sethabutr, said, recommending the firm’s mutual funds that invest in such companies.

o Link- https://www.nationthailand.com/business/30391768?utm_source=category&utm_me dium=internal_referral

 Gold prices continued their rally for a third consecutive day, breaking the US$1,860-per- ounce threshold at one point, as hopes of further financial stimulus are high amid the persistent pandemic and flaring Sino-US tensions.

o Link- https://www.bangkokpost.com/business/1955955/prices-pick-up-for-3rd- straight-day-closing-in-on-all-time-high

 Bad loans at the Export-Import Bank of Thailand (Exim Bank) rose by almost two percentage points in the first half from year-end 2019 as Thai exports have been reeling from the pandemic.

o Link- https://www.bangkokpost.com/business/1955919/exim-bank-sees-npls- increase-from-2019

 Thailand risks dropping to No.5 in rice exports over the next decade if the country remains complacent and does not develop a long-term rice strategy for seeds and competitiveness, warns the Thai Rice Exporters Association.

o Link- https://www.bangkokpost.com/business/1955959/rice-exports-poised-to-drop- in-next-decade

 SET‑listed SCG Ceramics, a subsidiary of SCG Cement-Building Materials, expects its full-year revenue will decrease by up to 10-15% from around 11 billion baht last year because of the pandemic's impact on the construction sector.

o Link- https://www.bangkokpost.com/business/1955907/scg-ceramics-projects-10-15- less-revenue

 Thai Airways International (THAI) has arranged three flights to London next month targeting students, business people and foreign nationals stranded by the Covid-19 pandemic.

o Link- https://www.bangkokpost.com/business/1955999/thai-plans-sos-flights-to- london

 The Centre for Covid-19 Situation Administration has approved the entry of foreign business reps, specialists, diplomats, migrant workers, exhibitors, film crews, medical tourists and Thailand Elite card members.

o Link- https://www.bangkokpost.com/business/1955703/thousands-of-foreigners-to- be-allowed-entry

Issues to be watched out for

 July 2020 – The Expressway of Thailand (EXAT)’s planned opening schedule of the new Motorway Route 7 Section from Pattaya to Map Ta Phut.

 July 29, 2020 – The Federation of Thai Industries is set to hold the 2020 annual general meeting (AGM) to pick a new chairman after postponement from March 30 this year.  July 31, 2020 – The government is expected to lift lockdown restrictions imposed under the emergency decree.

 July 31, 2020 – The reshuffle list of senior army officers is expected to be presented by the armed forces chiefs at the Defense Council Meeting chaired by Prime Minister and Defence Minister Prayut Chan-o-cha.  August 17, 2020 – The first day of hearings for Thai Airways International Plc (THAI)’s bankruptcy case.

 August 17, 2020 – The National Economic and Social Development Council (NESDC, formerly known as the National Economic and Social Development Board or NESBD) is scheduled to release 2nd quarter GDP data.

 August 29, 2020 – The deadline for farmers to return the banned agri-chemicals, paraquat and chlorpyrifos, in their possession to sellers.

 September, 2020 – The 3.3-trillion-baht budget for Fiscal Year 2021 proposed by the government is expected to sail through parliament.

 September 2020 – Recruitment of new board members of the National Broadcasting and Telecommunication Commission (NBTC) is set to kick off.

 September 21, 2020 – The National Economic and Social Development Council (NESDC, formerly known as the National Economic and Social Development Board or NESDB) is to revise the 20-year national strategy at an annual meeting to respond to the COVID-19 crisis.

 September 30, 2020 – The Stock Exchange of Thailand (SET) is set to extend the revised equity short-selling regulations from June 30 to September 30 as stock market volatility remains high in the wake of the Covid-19 pandemic.

 October, 2020 – The bidding for construction and operation for the 140-billion-baht Orange Line western extension linking the Thailand Cultural Centre with Bang Khun Non.

 October, 2020 – The Thailand Grand Prix was rescheduled after being postponed due to the coronavirus outbreak.

Key Data

SET Index 1,357.04 -19.96

 Link - https://www.set.or.th/en/company/ipo/upcoming_ipo_set.html

Global Commodities

 Metal -Link http://www.bloomberg.com/markets/commodities/futures/metals/

 Energy -Link - http://www.bloomberg.com/energy/

 Baltic Dry Index (BDI)-Link - http://www.bloomberg.com/quote/BDIY:IND

Global Equity Market’s Movements

 Link - http://www.bloomberg.com/markets/stocks/world-indexes/asia-pacific/

Asian Equity Markets Movement

 Link - http://www.bloomberg.com/markets/stocks/world-indexes/

Information on July 22, 2020

Buying, Selling or Transfer of shares by Owners/Management

Stock Code Volume Value Action

INGRS 30,000 0.37 Purchase MJD 1,123,700 1.6 Sale

XD, XE or XM or other notifications

For list of Companies that have dividend payment and AGM meeting schedules click on http://www.set.or.th/set/calendarofevents.do

Trading Breakdown on the Stock Exchange of Thailand

Daily as of 22 Jul 2020 Unit: M.Baht Investor Type Buy Sell Net Value % Value % Value % Local Institutions 5,790.01 9.07 5,218.97 8.17 571.04 - Proprietary 5,863.21 9.18 7,069.71 11.07 -1,206.50 - Trading Foreign Investors 18,098.77 28.34 20,207.17 31.64 -2,108.40 - Local Individuals 34,111.05 53.41 31,367.19 49.12 2,743.86 - Monthly Cumulative between 1 - 22 Jul 2020 Unit: M.Baht Investor Type Buy Sell Net Value % Value % Value % Local Institutions 82,001.16 8.63 79,230.88 8.34 2,770.29 - Proprietary 95,633.57 10.07 91,975.24 9.69 3,658.33 - Trading Foreign Investors 311,889.42 32.84 317,031.83 33.38 -5,142.42 - Local Individuals 460,123.73 48.45 461,409.93 48.59 -1,286.20 - Yearly Cumulative since 1 Jan - 22 Jul 2020 Unit: M.Baht Investor Type Buy Sell Net Value % Value % Value % Local Institutions 1,045,809.63 11.25 968,877.29 10.42 76,932.34 - Proprietary 938,164.02 10.09 933,978.23 10.05 4,185.79 - Trading Foreign Investors 3,245,716.74 34.92 3,467,504.99 37.3 - - 221,788.25 Local Individuals 4,066,327.35 43.74 3,925,657.23 42.23 140,670.12 -

Total Trading Value 63,863.04 Million Baht

Background Information –

The strength of each party in the Thai Parliament as of May 8, 2019 as per the report by the Election Commission of Thailand. Elections took place on March 24, 2019

 https://www.ect.go.th/ect_th/news_all.php?cid=24

 List of MPs - https://www.ect.go.th/ect_th/download/article/article_20190508184334.pdf

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