His Majesty the King

86 Pages·2010·3.4 MB·English

size 6.5 x 9.5 inc. san 7 mm
Royal Initiative
His Majesty the King
Discovery Project
and the Royal Initiatives towards
Balancing Thailand’s Development
By
Dr. Chirayu Isarangkun Na Ayuthaya
Forewords by
Dr. Supachai Panitchpakdi
Secretary-General of UNCTAD
and
Dr. Chinnapat Bhumirat
Secretary-General, Office of the Basic Education Commission
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53-11-050_COVER_Y G-Classic Artcard
Translated by Sawanee Nivasabutr
Edited by Devawongse Varopakarn Institute of Foreign Affairs,
Ministry of Foreign Affairs

A Supporting Document for the Conference on
“The Balance of Democracy Development
and the Institution of the Monarchy”
Held at SASIN Graduate Institute of Business Administration
of Chulalongkorn University on Thursday, October 8th, 2009 to Commemorate
the Royal Development Study Centers’ 30th Anniversary
Foreword by

Dr. Supachai Panitchpakdi
Secretary-General of UNCTAD

In May 2006,
the former Secretary-General of the United
Nations, Mr. Kofi Annan was in Bangkok for a special occasion – to
award His Majesty King Bhumibol Adulyadej of Thailand the United
Nations Development Programme’s First Human Development Lifetime
Achievement Award. In presenting the award, Mr. Kofi Annan
highlighted His Majesty’s countless rural development projects that
benefited millions of people across Thailand by promoting small-scale
agriculture, appropriate farming technologies, sustainable use of water
resources, conservation, and flood and drought mitigation. He also
reiterated the hope and wishes of the United Nations to further promote
the invaluable lessons learnt from the Thai rural development experience
and apply the sufficiency economy philosophy beyond the borders of
the Kingdom of Thailand.

This was before
the recent food, energy, financial and
economic crisis that engulfed the world with devastating consequences
for many countries, including the advanced economies. The crisis has
forced many to question the validity of the mainstream economic
development theory – the so-called “Washington Consensus” – which
has been the main driving ideology of the globalization process in the
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last three decades. No doubt that globalization has many dynamic
aspects and has brought benefits to many communities and countries.
However, the policies promulgated in support of globalization were
based on flawed assumptions – especially the supposition that
interactions between individuals in open and unfettered markets will
produce stable, sustainable, ethical and efficient outcomes. In contrast,
what the recent experience has shown is that in unregulated markets,
interactions between individuals tend to be driven by irrational “animal
spirits”, as expressed by John Maynard Keynes, often resulting in market
instability, excessive indebtedness, imbalances and unsustainable pattern
of development. The recent crisis has also demonstrated that excessive
reliance on the financial sector, where unlimited greed and risk taking is
the norm, can lead to cyclical crisis and extreme imbalances.

In correcting the imbalances,
therefore, serious
rethinking is needed on the correct equilibrium between the role of the
State and the market and also how to reset the “moral compass” that
has been lost with Washington Consensus. Equally important is how to
reorient global economic growth so that it is inclusive and serves the
interests of all peoples, while, at the same time, avoiding environmental
destruction and the unsustainable use of the world’s resources. The
Sufficiency Economy framework can serve as an alternative
development path; in particular for developing countries that are still
rural based and with limited knowledge and the technologies needed
for sustainable use of land, water and other resources. In that respect,
therefore, the publication of this book highlighting the key principles
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behind Sufficiency Economy and providing specific examples of
projects sponsored by His Majesty King Bhumibol Adulyadej to
demonstrate how the concept works is timely and commendable.

Thailand’s experience
in rural development helped lift
millions of people out of poverty and provided a framework for
balanced and sustainable agricultural development. It has been
estimated by the UN Economic and Social Commission for Asia and
the Pacific (UN-ESCAP) that raising the average agricultural
productivity of the Asia-Pacific region to that of Thailand could take
over 200 million people out of poverty and reduce inequality. The
lessons of the Thai model for rural development are worth considering
in other developing countries. Obviously, Sufficiency Economy is not
a ready-made policy prescription to be applied everywhere
regardless of starting positions and cultures. Nor should it be. It is a
framework for pursuing a balanced growth based on development
from within and on accumulation of knowledge.

The main thrust
of the philosophy is to find ways of
engaging in a balanced manner, safely and inclusively, with a
globalizing world. It emphasizes development from within, self-
protection, conservation, caution and moderation, which calls for the
sustainable use of resources and concern for the social and
environmental impact of economic decisions.

These are all features
that have been either missing or
underemphasized during the three decades of economic growth. An
obsession with shareholder returns led to riskier investments and the
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promotion of global finance above the interests of the real economy
and the hard-working poor. Environmental costs have on the whole
been externalized so that we no longer even know the true costs of
our actions in terms of their impact on ecosystems and climatic
change. The world is in need of a new alternative to the inexorable
appetites of consumerism driven by greed and short-term
considerations.

In contrast,
the sufficiency economy emphasizes moderation
– consuming only what is sufficient; self-protection – ensuring that
the economy is not vulnerable to external shocks; and, sustainability
– that all economic activity should ensure environmental and social
responsibility towards the planet and all its people. Sufficiency does
not therefore mean self-sufficiency or cutting oneself off from the
world; it means only that we should be mindful and conscientious of
how we use resources, how we reward people for their labor, and
how we interact with other communities and nations.

Some of the principles
which underpin the sufficiency
economy may sound simple or based on common sense. But,
looking at history, the power of some of the most profound ideas that
changed the world comes from their simplicity. In a recent
presentation that I made on “Sufficiency Economy in a Globalized
World”, I referred to some key thinkers like Gandhi, Schumacher, Sen,
Stiglitz, Sachs, among others, to demonstrate how “simple, but useful
and people-oriented” ideas changed the way we see the world and
organize our economies and lives.* I also cited the example of an
ordinary but remarkable woman from Kenya, Wangari Maathai, who
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contributed to the reforestation of her region by planting trees and
encouraging others to do so. Her determination and total
commitment to pursue a simple idea of planting trees and thereby
reversing the deforestation process damaging the environment has
inspired many, both inside and outside her country.

As many developing economies
are still
largely agrarian, the un-sustainability of their agricultural sectors is
most likely to imply the un-sustainability of their overall development
path as well. The drive for rapid growth and the pattern of
production and consumption associated with it, which also meant
scant concern for the environment, have left us with some perverse
outcomes and an imminent ecological crisis. To take agriculture as
one example: fifty years ago, developing countries had a yearly
agricultural trade surplus of US$1 billion, yet after decades of
expansion of the global food production, the food deficit in the
developing world has ballooned to US$11 billion a year. Yet another
perverse outcome is the 2008 global food crisis, particularly the root
causes of the crisis. It didn’t arise from production failure or food
shortages due to bad weather or unexpected disaster, as one would
have expected. To the contrary, that year food supply outstripped
demand by 1.5 times. Indeed, over the last twenty years, food
production has risen steadily at over 2.0 percent a year, while the
rate of population growth has dropped to 1.14 percent a year. The
crisis arose because of market price distortions due to excessive
speculation and unscrupulous investments in food commodities,
which escalated food prices thereby encouraging further speculation
and imbalances in food distribution.
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It could be
argued that one explanation for this behavior and
the resulting imbalances and the fact that some developing countries
are unlikely to meet many of the United Nations Millennium
Development Goals (MDGs) – such as halving the number of people
suffering from hunger – is that the economic model that
underpinned the attainment of these goals has been indifferent to the
kind of values behind a sufficiency economy. These values can be the
basis of a shared future together: one where we can sustainably
produce and share the world’s resources; generate “inclusive growth”;
encourage “development from within” while, at the same time,
protecting the environment for the future generation.

This is a time
for reflection and rethinking on the new
development paths for post-crisis economic development. That
reflection should not neglect the values and principles underpinning
Sufficiency Economy. In this connection, Dr. Chirayu’s book is to be highly
commended. It is a timely and valuable contribution to our
understanding of the basic philosophy behind the Sufficiency
Economy concept and how it works in practice. Most importantly, he
demonstrates the pragmatic and practical aspects of the concept by
selecting concrete examples from the numerous projects initiated and
championed by His Majesty the King. These examples strengthen the
case for Sufficiency Economy and its relevance for other developing
countries.
.....................................................................................
* Speech to the joint session of National Legislative Assembly, Committee on Finance and
Banking and Financial Institutions. Bangkok, 2007.
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Foreword by

Dr. Chinnapat Bhumirat
Secretary-General
Office of the Basic Education Commission

This book entitled
‘His Majesty the King and the Royal
Initiatives towards Balancing Thailand’s Development’, helps us to
understand the role of the royally initiated projects in maintaining
Thailand’s balanced development which are of benefit to the Thai
people.

Thailand’s socio-economic
and environmental
changes have seen uneven distribution of wealth, environmental
and natural resource imbalances, unequal urban and rural
development, decline in moral values, increasing materialism and
overconsumption. These problems have led to increases in crime,
problems of drug addictions, increased indebtedness, corruption
and general hardship of the population.

His Majesty the King’s concern
about this
deterioration in the country’s social, economic and environmental
infrastructure prompted many royal addresses and initiatives to
redress these imbalances. His Majesty has clearly suggested that
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development must first start by creating a foundation of sufficiency
living for the general population.

This book
is a compilation of lessons learned and results
achieved through implementation of royally initiated projects by six
royal development and study centers located throughout the
country. Facts and figures obtained through these projects cover
critical areas from public health, education, agriculture, natural
resources and environmental conservation, to traffic. These centers
act as ‘living museums’ of research and development, offering
practical knowledge that can be utilized by the people.

The Office of the Basic Education
Commission
is deeply grateful to His Majesty the King’s
benevolence and thus recommends this book to be read by the
country’s youth and general public, so that they may understand
the value of these royally initiated projects. The book may also be
used as an important reference and guide on how to undertake a
development project in line with His Majesty’s initiatives. By
adhering to His Majesty’s guidance, we can all contribute to
alleviating our own local problems so that we may achieve
balanced development and ensuring prosperity and well being for
the country as a whole.

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