Thailand  

Thailand boasts the second lowest unemployment rate among countries surveyed and workers have high access to physical capital. The domestic savings rate is high at 34% of GDP, creating a substantial pool of investment capital, and inflation is a low 2%. Household expenditure as a percentage of GDP is 25%, suggesting a moderate domestic market in Thailand. Net interest margins are low at 3.25 percentage points, indicating high levels of banking competition and efficiency. and only 7.9% of all loans are non- performing. Thailand’s exports are chiefly high value-added finished products, and raw materials constitute less than 2% of exports. Foreign direct investment is low at just 4% of GDP and Thailand’s capacity to earn foreign currency is weakened by low export revenues relative to the cost of goods imported.

Barriers to entrepreneurship, measured by necessary procedures to start a business, are near the global average, numbering eight steps. Still, the number of new businesses is high, with over 30,000 new start ups in 2007. Internet infrastructure is strong, as measured by bandwidth, but the number of secure servers is limited and access to personal computers is low. High-tech and ICT exports as a percentage of manufactured exports are both high, ranking Thailand, internationally, at ninth and 11th, respectively. R&D as a percentage of GDP is very low at just 0.5%, suggesting that investment in innovation is not strongly prioritised. However, royalty receipts are the 38th highest for this measure, indicating that rights such as patents and trademarks are well protected and the country is in a good position to capitalise on its intellectual property.

Thailand is a constitutional monarchy and theoretically, there are significant checks and balances in the political system. But the political system is not stable, as Thailand experienced a regime change in 2007. There is a high level of competition between parties for the office of the chief executive but processes for the transfer of political power are poorly regulated. The judiciary is not independent and is susceptible to influence from other branches of government. Citizens’ freedom to express personal beliefs and associate with civic organisations is rated near global averages; but Thailand’s score on participation in political processes is low.

Thailand has 94% enrolment in primary school, and one teacher for every 18 students. Equality of access to education for girls is also very high, with an enrolment ratio of 104 girls to 100 boys. Enrolment of secondary school age children drops to 78%, while enrolment in higher education is 46%. Thailand’s educational expenditure per student is very low, at just $1,961 per capita. In part because of this low expenditure and low enrolment rates, human capital is quite narrowly spread: on average, workers have very low levels of secondary education - a little under four years per worker - putting Thailand close to bottom of the rankings. However, Thailand has a comparatively high level of average tertiary education per worker: 4.4 years, equal to some European countries.

Medical professionals and hospital beds are scarce, with only four doctors and 22 beds per 10,000 people. Infant mortality is low at eight per 1,000, health-adjusted life expectancy is high at 60 years, and 96% of the population has access to improved sanitation facilities. Also, 85% are satisfied with the quality of the water where they live.* Subjective reports of wellbeing are positive; a fifth of respondents reported pain or health problems but 82% reported that they are happy with their health.* Nearly eight out of 10 respondents felt well rested, placing the country in the top 10 on this variable.*

Thailand has significant domestic security issues related to groups with a legacy of discrimination, refugees, and internally displaced persons. Voluntary emigration of skilled and professional workers poses some problems. However, Thailand’s homicide rate is just below average for this measure, with nearly nine homicides per 100,000 people per year; crime against property is very low, with just 10% of respondents reporting a theft in 2008; assaults or muggings are also very low, with just 3% reporting the incidence of these crimes.* These figures are in line with a proportion of 70% of citizens reporting that they felt safe walking at night.*

Thai citizens can enjoy the freedom to participate in political processes and vote in elections. However, only 43% of respondents said they were confident in the honesty of those elections.* Further, more than nine out of 10 people indicated that they believe local government and businesses are corrupt.* However, the judicial system and military are held in higher regard, with more than eight out of 10 people reporting confidence in these institutions.* The rule of law is moderately upheld and the quality of regulation of economic and commercial activity is similarly average, giving Thailand rankings of 51 and 55 out of 104 countries, respectively.

The majority of respondents feel that tolerance for ethnic minorities in Thailand is very low and the country ranks 103 out of 104 countries.* Respondents in Thailand similarly did not feel that their country is a good place for immigrants to live, again ranking Thailand at a very low 102 out of 103 countries.* However, the majority of citizens felt positively about their freedom of choice, with 87% of respondents saying they were satisfied they had freedom to do what they wanted with their daily lives.*

Social trust is near the global average in Thailand, with 42% of respondents saying they felt others could be trusted, and 40% reporting they helped a stranger in the previous month.* A high 87% believe family or friends would help in times of need but most respondents said friends were not very important, compared to work or family.* Charitable giving is high, but volunteering is low: 68% of respondents had made a donation to charity, while just 16% had volunteered.* Membership of secular and non-secular organisations is low, particularly in sports, arts, and environmental groups, indicating a weakness in citizens’ engagement in social networks. Although just 37% say they belong to a religious organisation, nearly 80% make personal religious practice a part of their life, indicating widespread support networks among the religious community.*

* Data taken from the Gallup World Poll

• Back to top