Mr. President,
Distinguished Members,

Pursuant to His Majesty the King's gracious appointment of myself as Prime Minister, per Royal Command dated 25 November 1996 and the subsequent appointment of the Council of Ministers, per Royal Command dated 29 November 1996.

The Council of Ministers has now formulated a policy for the administration of state affairs, with the key objective being to uphold and abide by the rule of democracy with the King as Head of State. The Government shall build confidence in the political, economic and social spheres, enhance unity and bring prosperity to the people. The Government shall expedite and press through political reform, in particular the drafting of a new constitution and related laws within the time frame indicated in the constitution. The Government shall expedite the revitalisation of the slowing economy and develop the country's competitiveness in global markets, as well as distribute the benefits of economic expansion to all sectors of the public. The Government shall push for a reorientation of public sector attitudes and operations from governing the people to serving the people, and open the work of the public sector to input and collaboration form the private sector and the general public by encouraging the people to participate and protest against improprieties by state officials. Meanwhile, the Government shall promote and campaign for greater discipline among the public. The Government shall also expedite the systematic redistribution of funds, work and manpower to local administrative agencies. In sum, the Government shall conduct a policy aimed at developing the people's quality of life, providing them with good service, quality education, and soundness of mind, body and spirit within a sound environment.

The Council of Minister has therefore set forth 11 areas of policy, with the following details:

1. Policy Regarding The Political System

The Government is determined to uphold and maintain the institutions of Nation, Religion, King, and democratic rule with the King as Head of State, by undertaking the following measures:

1.1	Expedite and push for political reform, by supporting the independence of the Constitution Drafting Assembly in drafting a new constitution.
1.2	Promote and support the role of the people, non-governmental organisations, and' the mass media in offering suggestions and opinions on the drafting of the new constitution.
1.3	Expedite and push for the election committee law, and for an administrative court independent of the court system, in line with the letter and spirit of the constitution
1.4	Promote and support the Parliament and political parties to develop into strong institutions that enjoy the faith and confidence of the people.

2. Administrative Policy

The Government shall reform the administration of state affairs and develop legislation in line with current political, administrative, economic, and social development, and lay the foundation for future national development to face the age of globalization, undertaking the following measures:

2.1	Policy On The Administration Of State Affairs And Public Services

2.1.1	Reduce the role of the government from that of an operator to a regulator, supervisor, arbiter, planner and co-ordinator, and encourage the private sector to invest in and manage ventures that need not be operated by the state.
2.1.2	Adjust the structure of state agencies in keeping with the current situation, and so that they are responsive to national development goals.
2.1.3	Improve the mechanisms and methods for management of the state budget so that they are more directly responsive to policies and objectives.
2.1.4	Push for a reorientation of public sector attitudes and operations from governing the people to providing good service for the people, as well as develop the efficiency of state services to the satisfaction of the people.
2.1.5	Promote and support the use by state agencies of modern information technology and equipment to enhance efficiency of operations and public service, establish databases at every level from the local, provincial to the national, and build a network linking the databases of government agencies.
2.1.6	Develop the competence of public sector personnel, and encourage salaries and benefits commensurate with the quality of work and in line with the cost of living, to enable them to maintain respectable living standards befitting their status.

2.2	Policy On Decentralisation Of Administrative Authority

2.2.1	Restructure and harmonise local administrative bodies, expedite the decentralisation of functions and responsibilities to them, and assign capable personnel from central and regional quarters to local administrative bodies as appropriate.
2.2.2	Expedite the distribution of greater funds to local administrative bodies in a systematic manner sufficient for such bodies to quickly and efficiently carry out their responsibilities.

2.3	Policy On Public Participation

2.3.1	Encourage the public's right to be informed of state affairs and the work of state officials.
2.3.2	Listen to public opinion through public hearings on important national issues.
2.3.3	Allow the public and the media greater access to audit the work of state officials.

2.4	Policy On The Provision Of Justice

2.4.1	Reduce the volume of cases brought before the courts by establishing a system to settle disputes and conflicts in society through mediation or conciliation and through arbitration.
2.4.2	Provide legal aid services to the public, and support the role of lawyers in the protection of civil rights and freedoms.
2.4.3	Develop the efficiency, speed and scope of the personnel and evaluation process for complaints from victims of improprieties by state officials, to uphold the individual's right to lodge complaints pursuant to the provisions of the constitution.

2.5 Policy On Improving The Provisions Of The Law

Improve the legal system in line with current political, administrative, economic and social development, establish the groundwork for future development, and strictly enforce the law on a continuous basis.

3. Economic Policy

The Government is determined to pursue a policy which builds economic prosperity with stability, narrows the income gap, reduces poverty within the country, raises the people's quality of life, and strengthens confidence among Thai and foreign investors, by undertaking the following measures:

3.1 Monetary And Fiscal Policies

The Government shall maintain strict monetary and fiscal discipline, and shall conduct its monetary and fiscal policies in a manner consistent with other areas of national development policy, including the development of money and capital markets, in order to raise the capacity of Thailand to serve as an important economic centre in the region, by undertaking the following measures:

3.1.1	Promote appropriate levels of public and private investment in the economic system, particularly investment to increase the country's productivity and sources of employment.
3.1.2	Mobilise domestic savings in the public, private and household sectors, through incentives and measures to expedite a narrowing of the savings-investment gap and reduce the dependence on foreign lending.
3.1.3	Maintain the stability of consumer prices and maintain public spending at a level that does not affect economic stability.
3.1.4	Lower the trade and current account deficits through measures such as increasing sources of revenues and foreign exchange, and reducing unnecessary spending and inefficient investments.
3.1.5	Expedite the recovery of troubled economic sectors, particularly uncompetitive industries, low-yielding agriculture, real estate and finance, taking into account the benefit to consumers, while maintaining domestic liquidity at an appropriate and stable level.
3.1.6	Liberalise and deregulate the finance industry, including commercial banks, finance companies, insurance companies and other financial institutions, in a systematic manner and appropriate time frame.
3.1.7	Support a key role for financial institutions in resolving the problems of non-standard debt, distribution of income and sources of employment, and decentralising prosperity to outlying regions and localities.
3.1.8	Develop the efficiency of money, capital and foreign exchange markets to international standards under appropriate supervision.

3.2 Policy On Domestic And International Trade

The Government shall act to ensure that the prices and quality of consumer goods are fair to the consumer, that the trade and current account balances do not affect to the stability of the economic system, and to enhance Thailand's economic competitiveness, by undertaking the following measures:

3.2.1	Solve the problem of high-priced, low-quality goods by liberalising and promoting competition in the domestic market, expedite measures to raise production and lower production costs, in particular for foodstuffs and necessities, and protect consumer benefits from competition.
3.2.2	Maintain the price of crops at a level fair to the producer, through promotion measures support for domestic and international sales, and market intervention measures.
3.2.3	Strengthen the country's international competitiveness by boosting efficiency in production, transport and marketing, promote service sectors the are vital to trade and investment, and internationalise and streamline business rules and regulations.

3.3 Industrial Policy

The Government shall develop the global competitiveness of Thai industry by undertaking the following measures:

3.3.1	Promote and encourage the establishment of industrial estates and export-processing zones in rural areas.
3.3.2	Reinvigorate traditional industries by improving production technologies and encouraging full investment in industries that are competitive in the new global economy as well as in related support industries.
3.3.3	Upgrade the competitiveness of Thailand's major export industries.
3.3.4	Control pollution from industrial facilities to comply with specified standards.
3.3.5	Support the establishment of a research and development institute on the quality of industrial products.

3.4 Agricultural Policy

The Government shall develop the potential and living standards of farmers and create employment opportunities, by restructuring agriculture using the sustainable agriculture approach, and support the creation of value-added from agricultural products through agro-industry, by undertaking the following measures:

3.4.1	Promote higher incomes for farmers through the cultivation of cash crops in market demand, lowering the cost of production, raising per-unit yield, raising agricultural prices to a level that is fair to the farmer, promoting supplemental income activities outside of agriculture, encouraging agriculture news and information, reallocating agricultural labour to other sectors as appropriate, quickly resolving the issue of farmers' debt, and drawing up a plan to prepare the agricultural sector for future changes in the agricultural commodities market.
3.4.2	Expedite land reform for poor farmers with insufficient land on which to make a living, in keeping with the intent of the law on land reform for agriculture.
3.4.3	Provide adequate water for agriculture and consumption throughout the country and draw up an irrigation master plan to secure water for farmers in the long term.
3.4.4	Solve the issue of farmers' debt, both within and outside the system, by allocating supporting funds to convert debt into the mainstream financial system, support low-interest credit with convenient terms and expanded repayment schedule as appropriate.
3.4.5	Support the efficient administration and management of agricultural co-operatives, so that they become concrete income-producing organisations for farmers.
3.4.6	Revitalise fishing resources in Thai territorial waters, promote and develop fisheries outside Thai waters, and promote coastal and freshwater cultivation of economically important marine animals, including support for the modification of fishing equipment to protect the environment and coastal ecosystems.
3.4.7	Promote and support the husbandry and breeding of quality livestock raising of productivity, prevention and treatment of animal diseases, and encourage vertically-integrated processing for consumption and export.

3.5 Policy On Transport And Communications

The Government shall expand the transportation network-by land, water, air and communication links-throughout the country, by undertaking the following measures:

3.5.1

Land Transport

3.5.2

Marine Transport

3.5.3

Air Transport

3.5.4

Communications

3.6 Energy Policy

The Government shall ensure the availability of sufficient energy to meet demand, at an appropriate and fair price, by undertaking the following measures:

3.6.1	Promote and campaign for efficient energy usage, encourage the production of energy-efficient appliances to help save energy, and study the feasibility of using alternative energy sources.
3.6.2	Develop a system of oil and gas pipelines to supply the various regions to reduce transportation costs and traffic congestion.
3.6.3	Encourage greater competition in the energy industry, based on equitable terms.

3.7 Policy On Tourism

The Government shall promote and develop the tourism industry to attract more revenue to the country, while maintaining and preserving indigenous arts, culture and natural resources, which are invaluable tourist attractions, by undertaking the following measures:

3.7.1	Promote greater appreciation among Thais for domestic tourism, spread to all the regions throughout the year.
3.7.2	Promote the conservation and sustainable development of tourist resources, so that they are able to sustain a greater number of tourists in the long term.
3.7.3	Develop tourist attractions so that they are easily accessible, safe, beautiful and ever memorable to visitors.
3.7.4	Promote and develop Thailand as the centre of tourism in the region by co-operating with neighbouring countries in expanding the basic infrastructure of facilities and services, and promote the development of adequate tourism industry personnel to international standards to meet market demand.

4. Foreign Policy

The Government is determined to pursue an independent and consistent foreign policy, by undertaking the following measures:

4.1	Promote peace, stability and security in Asia, and support efforts to build world peace.
4.2	Eliminate problems and obstacles and expand relations in all aspects with neighbouring countries, particularly those sharing borders with Thailand
4.3	Conduct a policy that places Thailand in an optimum position to benefit from multilateral economic talks at both the global and regional levels, through the use of diplomacy to further Thailand's interests-in negotiations to resolve outstanding issues and revise rules and regulations on trade and investment, in export promotion, in attracting foreign investors, in supporting Thai business abroad, and in the promotion of tourism.
4.4	Increase the role of Thailand in international organisations at all levels.
4.5	Co-operate with the international community and international organisations to tackle transnational issues that affect humanity.
4.6	Raise the efficiency of embassies in serving Thai nationals abroad.
4.7	Expand the promotion of and dissemination of information on Thailand, with emphasis on Thailand's democracy and positive social values, by means of diplomacy and effective, timely public relations.

5. Education Policy

The Government is determined to develop the quality of education and expand opportunities for education to the entire population, so that through education the people may make the most of their potential, enjoy good quality of life and become a vital force in the country's development, by undertaking the following measures:

5.1	Promote and encourage all children and youths to receive 12 years of continuous education, while providing special assistance to the poor, the underprivileged, and the physically and mentally handicapped, according to need.
5.2	Expand education at the level of kindergarten of pre-elementary school so that children aged 3-5 may widely attend school.
5.3	Expand informal education in both general and vocational tracks so that those of employment age may develop themselves and receive additional basic education up to the end of high school and vocational school.
5.4	Reform and upgrade the quality of vocational education, by encouraging educational institutions and business establishments to co-operate closely in administering education, adjusting curricula to the needs of the labour market, emphasising a greater sense of responsibility, and developing agricultural colleges into institutes of agriculture and modern technology so as to fully support the development of agriculture and agro-industry.
5.5	Encourage the public and parents to closely share responsibility for the task of administering education.
5.6	Promote the development of private schools to upgrade quality to acceptable standards, through a fund for low-interest loans, and education vouchers for the poor to encourage private schools to help ease the burden on the state.
5.7	Raise the quality and standard of the teaching profession and education personnel, and expedite the problem of teachers' debt.
5.8	Increase the budget share for investment and education development.
5.9	Encourage universities to play a greater role in various areas of research and development, including greater emphasis on specialised education.
5.10	Expand quality opportunities for university education to the outlying regions, by organizing a lending fund for the private sector to establish or expand private universities in the provinces.
5.11	Encourage universities to produce graduated in such numbers and quality as to be consistent with national development, promote research and development to solve local and regional problems, and build academic excellence.

6. Social Policy

The Government is determined to develop and enhance the potential of the people, so that they are virtuous, ethical, disciplined, conscientious and responsible to themselves and to others, and in good health, The Government shall also work towards developing a stable social environment and promote the role of culture in the development of human potential and as a force in national development, by undertaking the following measures:

6.1	Policy On Preservation Of Thai Arts, Culture And Religion

6.1.1	Maintain the distinctiveness of the Thai identity and the creation of various Thai arts and culture in line with present and future ways of life. Encourage the appropriate exchange, study and assimilation of foreign cultures, as well as the establishment of Thai cultural promotion centers in key foreign countries.
6.1.2	Promote and support co-operation among the state, local authorities, non-governmental organisations, the public and educational institutions in the nurturing, development and preservation of national arts and culture as well as historical sites both at the national and local levels.
6.1.3	Promote quality media to transmit and instil good social values, enhance equality between men and women and among target groups to generate understanding and for joint implementation.
6.1.4	Promote the education of Buddhist monks and develop efficiency in the administration of religious affairs. Support the use of personnel and religious sites to improve the quality of life of the people.
6.1.5	Support programs which inculcate ethics, morals, and discipline in the people, such as the boy scouts program and military training for students.

6.2	Policy On Women, Children, Youth, The Elderly And The Underprivileged

6.2.1	Promote the participation of women in economic, social, political and administrative development at every level. Support the eradication of all forms of discrimination against women.
6.2.2	Amend the laws on sexual abuse against women and children, take vigorous legal action against offenders, and support the campaign against domestic violence.
6.2.3	Support serious assistance and care for the elderly, the handicapped, the underprivileged and those abandoned by society.
6.2.4	Provide the underprivileged with access to appropriate, thorough and impartial protection, assistance and all basic social services.
6.2.5	Attend to and rehabilitate the underprivileged to help them become self-reliant and live happily in society.

6.3	Public Health Policy

6.3.1	Expedite the provision of standard, quality medical and public health services both in the public and private sectors.
6.3.2	Support the creation of a health insurance system.
6.3.3	Promote the production and development of competent medical and public health personnel in sufficient numbers, as well as the appropriate distribution of such personnel. Promote the application of modern, cost-effective medical and public health technologies in public health services.
6.3.4	Step up the control and prevention of HIV transmission in all high-risk groups. Treat and develop the potential of HIV infected persons, AIDS patients, families and communities to enhance their knowledge of self-prevention and coping.
6.3.5	Expedite the expansion of basic public health services in rural areas by encouraging citizen organisations, families and public health volunteers to play an active role in community health care.
6.3.6	Promote public awareness of proper health practices, self-care, health improvement, and disease prevention.
6.3.7	Enforce consumer protection measures to ensure the safe consumption of food, medicinal drugs and other goods and products.
6.3.8	Support serious research and study by the public and private sectors to develop the structure, format and technology of public health service.
6.3.9	Impose safeguards and controls to prevent the outbreak of serious communicable diseases brought in by foreign migrant workers and other foreigners.
6.3.10	Impose safeguards and quality controls on environmental factors which may be hazardous to public health, maintaining them at standard safety levels. Provide health guarantees and occupational safety measures. Enact urgent measures to treat infectious medical waste and wastewater discharged from public health facilities, as well as provide clean potable water for people in all rural areas.

6.4	Labour And Social Welfare Policies

The Government shall promote employment through development of worker skills, while providing a welfare system and proper work safety standards. Support the establishment of employee and employer organisations, and formulate appropriate measures on alien labour, by undertaking the following measures:

6.4.1	Develop and standardise labour skills, discipline and performance in line with the country's economic development.
6.4.2	Persuade Thai professionals, experts and labourers living abroad to return to work in Thailand.
6.4.3	Improve the existing system for exporting Thai labour so that it is fair and does not exploit workers.
6.4.4	Monitor the work of alien labour in a strict and systematic manner.
6.4.5	Promote an effective system of labour relations, labour protection and occupational safety at both bilateral and trilateral levels.
6.4.6	Revise laws related to labour and state enterprise workers in accordance with democratic rule.
6.4.7	Step up both preventive and enforcement measures to solve the problems of child labour and child prostitution.
6.4.8	Expand social welfare services to rural areas by supporting the operating funds of the local citizen services centre.
6.4.9	Expedite the establishment of labour and welfare information centers.

6.5	Sports Policy

The Government shall promote and develop sports for the health of the Thai people, and develop a level of excellence comparable to that of developed countries, by undertaking the following measures:

6.5.1	Make all necessary preparations for the Asian Games, including developing the capabilities of athletes to ensure their readiness to compete.
6.5.2	Promote basic sports for competition at amateur and professional levels, and for fitness, by expanding opportunities for sports to every region and community. Support the domestic production of affordable standard sports equipment.
6.5.3	Encourage the playing of sports from an early age, an support basic sports facilities for the poor and handicapped.
6.5.4	Set up a world-class sports centre in which to train and seclude athletes. Encourage and boost the morale of athletes who bring honour and recognition to the country by providing them with a good standard of living. Provide welfare benefits for injured athletes.

7. Policies On Rural Development And Distribution Of Income And Development

The Government is determined to develop the countryside and distribute income and development to regions and localities by expanding basic economic and social services to all regions nation-wide in order to achieve balanced and sustainable rural development, by undertaking the following measures:

7.1	Expedite the distribution of income and development to the regions, by promoting development projects in sub-regional areas, border areas, the eastern seaboard, and the southern seaboard, as well as extending industry and investment to regional and rural areas.
7.2	Expedite the drawing up of a master plan of development projects across the country to promote development that is balanced, rather than concentrated in any specific region.

8. Natural Resources And Environmental Policy

The Government is determined to restore, conserve and improve natural resources and the environment by undertaking the following measures:

8.1	Improve and harmonise all laws on forestry and expedite passage of a law on community forests which would enable people and forests to co-exist in a mutually sustaining relationship.
8.2	Prevent and suppress the encroachment, destruction, and logging of forests, while conserving watershed forests, mangrove forests, and rehabilitating degraded natural resources.
8.3	Improve government agencies charged with the care and management of natural resources so that they may perform their functions fully and efficiently.
8.4	Promote the efficient use of natural resources in accordance with conservation principles and natural and environmental balance.
8.5	Formulate a master plan on environmental quality management for all provinces.
8.6	Reduce the volume and dispersion of pollutants in the environment to non-hazardous levels by strengthening legal mechanisms and the organisational capacity of agencies concerned, based on the polluter pays principle.
8.7	Engage in international co-operation to manage and resolve global, regional and national environmental problems.
8.8	Encourage the people, non-governmental organisations, and local administrative bodies to participate in environmental conservation, protection, and solution-seeking.

9. Policy on Science and Technology

The Government is determined to accelerate the development of proficiency in science and technology as a means for quality economic growth and development, to increase production efficiency to internationally competitive levels, and enhance basic science and technology skills for the long term, by undertaking the following measures:

9.1	Produce and develop and workforce in science and technology of sufficient quality and quantity to meet demand.
9.2	Cooperate with foreign countries on technology, promote foreign firms to invest in high-technology manufacturing, research and development, and establish a training institute for technology transfer to Thais.
9.3	Develop technologies that are important in strengthening the economic competitiveness of all manufacturing sectors.
9.4	Encourage the transfer of technologies which would support targeted foreign industries and agro-industries, and the extensive transfer to technology to outer regions.
9.5	Encourage government and private agencies to co-operate on research and development in science and appropriate technology, and to link up with domestic and foreign research networks.
9.6	Build consciousness and interest in science and technology, and inculcate Thai youth to have more creative scientific ideas.
9.7	Encourage greater development and use of information technology to enhance the efficiency of human development and for economic benefit.

10. Policy On Security, The Maintenance Of Order and Safety Of Life And Property

The Government is determined to develop and build efficient and modern armed forces in line with changes in the prevailing situation, and will preserve peace and order as well as the safety of the people's lives and property by undertaking the following measures:

10.1	Security Maintenance Policy

10.1.1	Develop and strengthen the armed forces so as to have the capacity to perform their duties according to the constitution.
10.1.2	Support the armed forces to have structure, manpower, values, technology, and equipment suitable for modern warfare, and support military research and development, including the development of self-reliant defence industries in the future.
10.1.3	Promote the military's participation with other government agencies and the private sector in national development, and encourage the public to have greater participation in and awareness of military affairs.
10.1.4	Change the military recruitment system to a voluntary basis.
10.1.5	Promote and support the military's participation in the training of manpower for national development, particularly occupational training for military recruits.
10.1.6	Strengthen the welfare system and support the morale of armed forces personnel and their families, including promoting military sports to help develop national sports excellence.
10.1.7	Provide assistance to veterans and their families so that their income is adequate for living with honour and dignity in society.

10.2	Policy Of Maintaining Peace and Order And Safety of Life And Property

10.2.1	Prevent and suppress all crime, particularly the production of and trade in narcotics, amphetamines and other psychotropic substances, and campaign for greater public awareness of the dangers of these drugs.
10.2.2	Raise the efficiency of the management of public accidents and disasters, and campaign for greater public awareness and conscientiousness in the prevention and containment of public accidents and disasters.
10.2.3	Prevent and solve problems arising from natural calamities such as flooding and drought provide emergency assistance to victims, and help them in subsequent recovery and rehabilitation.

11. Metropolitan Development Policy

The Government is determined to solve the problems and improve the quality of life of the residents of Bangkok and its vicinity, as well as major regional cities, by undertaking the following measures:

11.1	Policy On The Development Of Bangkok And Its Vicinity

The Government intends to promote and develop Bangkok into a metropolis with a better traffic management system and better environment overall, so as to reduce home-to-office and point-to-point commuting time. Plan and set the direction for Bangkok's growth in a more systematic manner, by undertaking the following measures:

11.1.1	Require that land use in Bangkok be systematic, efficient, and appropriate, based on urban planning measures.
11.1.2	Expedite the implementation of the plan to solve the problem of inner-city slums and link Bangkok to new economic areas on the eastern seaboard, the western areas, and the upper central region.
11.1.3	Expedite the solving of traffic problems according to the master plan.
11.1.4	Expedite the planning and construction of permanent flood prevention systems.
11.1.5	Support the construction of public parks and recreational areas on government land.
11.1.6	Encourage greater participation by the people in the development of their own communities.

11.2	Policy of Development Major Cities In The Regions

The Government is determined to establish a system to develop and solve problems of regional urban expansion so that they develop in an appropriate and sustainable manner, by undertaking the following measures:

11.2.1	Expedite the establishment of a master plan for the development of metropolitan centers in the regions.
11.2.2	Use the state as a leading mechanism in urban rehabilitation by converting idle government land into public parks and streets.
11.2.3	Manage urban planning in a systematic manner in order to administer the orderly expansion of communities and prevent the formation of slums, and ensure efficient land use.
11.2.4	Improve the environment and expand social services in slums, including improving the quality of life for low-income earners in urban areas so that they become self-reliant.
11.2.5	Expedite the management of the traffic and transportation system by establishing a master plan for the long-term prevention and solving of problems.

Mr. President and Honourable Members of Parliament,

All the policies aforementioned provide the framework and guidelines for the Government's administration of the country. Those responsible will have to formulate master and action plans specifying details, methods, and time frames, and promptly implement the plans in accordance with the policies declared by this Government. That which is not declared, but which would benefit the country and people if carried out, will also be undertaken promptly by the Government.

I wish to reaffirm to all of you that this Government is determined to perform its duties as declared in the policy Statement with integrity and honesty, with the highest goal being the interest of the nation and the people, to lead our country confidently into new era of global community.

I am confident that, with the co-operation and support from the Honourable Members of Parliament, the Government will be able to accomplish all its goals in the administration of the country as declared in the Policy Statement.

Thank you.

Unofficial Translation