USA Cuts Millions in Military Aid to Thailand

[Gaybutton]

The following appears in THE NATION:

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US cuts off millions in Military Aid to Thailand

 

WASHINGTON - The United States cut off millions of dollars in military assistance to its ally Thailand on Thursday, in response to the military coup that ousted civilian prime minister Thaksin Shinawatra, the State Department said.

 

"In response to the military coup on September 19 in Thailand, the United States has suspended almost 24 million dollars of assistance to the Thai government," State Department spokesman Sean McCormack said.

 

He said the aid cutoff involved foreign military financing, international military education and training, and peacekeeping operations.

 

"The United States continues to urge a rapid return to democratic rule and early elections in Thailand," McCormack said.

 

"We look forward to being able to reinstate these programs after a democratically-elected government takes office," he said.

 

The Thai military has enjoyed years of close ties to US armed forces in the Asia-Pacificregion.

 

The United States, which has also forged close anti-terror ties with Thailand, had previously condemned the coup and called on the ruling generals to call elections before their one-year deadline.

 

Official US military trips to Thailand had previously been suspended and all temporary defense duties in Thailand frozen, according to Stars and Stripes, a daily newspaper published for the US military.

 

US military personnel in Thailand on temporary orders have been recalled, it said.

 

The White House has also hinted that so far inconclusive talks with Bangkok on a free trade agreement might also depend on a return to democratic rule.

 

Thailand's military rulers said earlier Thursday they had selected a new prime minister to be unveiled at the weekend, but refused to say when they would lift martial law and pull troops off the streets.

 

Thailand is a key US diplomatic and non-NATO ally and has been a voice for democracy in the Association of Southeast Asian Nations (ASEAN), which also includes several totalitarian states.

 

The fate was also unclear of the next annual "Cobra Gold" live-fire exercise, the largest US war games in Asia, which the United States hosts along with Thailand.

 

The exercises, launched 25 years ago and originally limited to US and Thai troops, has been expanded in recent years to include an anti-terror component.

 

It was not clear if next year's operation would be affected by the coup.

 

Thailand has also played an important role in the US "war on terror" launched after the September 11, 2001 attacks.

 

Hambali, leader of the Al-Qaeda-affiliated Southeast Asian terror group Jemaah Islamiya, was captured in the country in August 2003.

 

But Thailand has denied reports in the US media that it was one of the sites for the CIA's secret prisons, now emptied, for top Al-Qaeda suspects.

 

In recent weeks, the United States had registered concern at an insurgency raging in the Muslim-majority south of the mainly Buddhist kingdom, fearing it could feed into Southeast Asia's Al-Qaeda-linked terror networks.

 

Agence France-Presse

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And this, also from THE NATION:

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US Imposes Sanctions on Thailand After Coup

 

WASHINGTON - The United States imposed sanctions against its ally Thailand Thursday in response to the military coup which ousted civilian prime minister Thaksin Shinawatra, the State Department said.

 

The sanctions involved cutting off millions of dollars in assistance to the Thai military, which has enjoyed years of close ties to US armed forces in the Asia-Pacific region, State Department Spokesman Sean McCormack said.

 

The United States, which has also forged close anti-terror ties with Thailand, had previously condemned the September 19 coup and called on the ruling generals to call elections before their one year deadline.

 

Official US military trips to Thailand had previously been suspended and all temporary defense duties in Thailand frozen, according to Stars and Stripes, a daily newspaper published for the US military.

 

US military personnel in Thailand on temporary orders have been recalled, it said.

 

The White House has also hinted that so far inconclusive talks with Bangkok on a free trade agreement, might also depend on a return to democratic rule.

 

Thailand's military rulers said earlier Thursday they had selected a new prime minister to be unveiled at the weekend, but refused to say when they would lift martial law and pull troops off the streets.

 

Thailand is a key US diplomatic ally and US non-NATO ally and has been a voice for democracy in the Association of Southeast Asian Nations (ASEAN), which also includes several totalitarian states.

 

The fate was also unclear of the next annual "Cobra Gold" live-fire exercise, the largest US war games in Asia, which the United States hosts along with Thailand.

 

The exercises, launched 25 years ago and originally limited to US and Thai troops, has been expanded in recent years to include an anti-terror component.

 

It was not clear if next year's operation would be affected by the coup.

 

Thailand has also played an important role in the US "war on terror" launched after the September 11 attacks in 2001.

 

Hambali, leader of the Al-Qaeda affiliated Southeast Asian terror group Jemaah Islamiya, was captured in the country in August 2003.

 

But Thailand has denied reports in the US media that it was one of the sites for the CIA's secret prisons, now emptied, for top Al-Qaeda suspects.

 

In recent weeks, the United States had registered concern at an insurgency raging in the Muslim majority south of the mainly Buddhist kingdom, fearing it could feed into Southeast Asia's Al-Qaeda-linked terror networks.

 

Agence France-Presse

 

[Guest namjai]

And once again, Bush shows his ignorance. imho

[Gaybutton]

And once again, Bush shows his ignorance. imho

 

In a weird way, the sanctions might also be doing a favor for Thailand. Many businesses, especially the tourism and export trade, have been complaining that the strength of the baht against the US dollar hurts their business. If these sanctions force the baht to weaken, that might be a silver lining on the cloud.

[Guest YardenUK]

In a weird way, the sanctions might also be doing a favor for Thailand. Many businesses, especially the tourism and export trade, have been complaining that the strength of the baht against the US dollar hurts their business. If these sanctions force the baht to weaken, that might be a silver lining on the cloud.

 

 

But, surely any developing country whose currency remains strong is a good thing for that country. Some businesses may complain, but then some businesses always complain. I would hope for the sake of Thailand their currency remains strong, and strengthens further. One golden rule in economic development is to have a stable and strong currency - that way millions of people will slowly begin to be lifted over and above the poverty line.Surely, that is much more important than whether we farangs get more or less Baht to our $/

[Gaybutton]

But, surely any developing country whose currency remains strong is a good thing for that country. Some businesses may complain, but then some businesses always complain. I would hope for the sake of Thailand their currency remains strong, and strengthens further. One golden rule in economic development is to have a stable and strong currency - that way millions of people will slowly begin to be lifted over and above the poverty line.Surely, that is much more important than whether we farangs get more or less Baht to our $/

[Guest YardenUK]

Actually, the Bank of Thailand disagrees with you. They make it clear quite regularly that the baht is already too strong and that is causing economic woes in Thailand. I don't know why that is, but that is what they say.

 

 

"If the baht is allowed to become too weak it could affect inflation and if it is too strong, Thailand could suffer a greater trade imbalance," Pridiyathorn Devakula, Bank of Thailand Governor (VIII/2006)

 

never mind, I was actually trying to make a bigger point and open a discussion, but that will teach me for trying to be too clever, and too subtle

 

one day i will feel brave enough to start a thread myself

[Up2u]

.... If these sanctions force the baht to weaken, that might be a silver lining on the cloud.

 

I'm no ecomomist. Why would that be?

 

[Up2u]

Actually, the Bank of Thailand disagrees with you. They make it clear quite regularly that the baht is already too strong and that is causing economic woes in Thailand. I don't know why that is, but that is what they say.

 

Strong baht (weak USD) means Thailand is less of a value for tourists (and expats). Consequently tourism suffers which is a major player in the Thai ecoonmy. This is balanced by the fact imports (oil as example) costs for Thais. My friends who have traveled to Thailand much longer than I, tell me prior to the 1997 economic crisis the exchange had been about 25 THB to the USD for many years. I'm sure we (tourists and expats) don't want to see those days again. I'm also told back then the standard off tip was 500 baht, not that much different in USD if one applies today's exchange rates. I'm sure the BOT very much desires stability in the exchange rates. I thought exchange rate would suffer much more because of the coup and don't really understand why not.

[Guest namjai]

Yes, Up2u, when I first came to Thailand back in 1987 I believe the rate was about 25 baht to the US$. But if my memory is correct, it seemed to last a long longer....but then again so did I!

[Guest PapaDavid]

This is yet one more example of the US Government's belief that "Might is Right" (or the sub-plot being - you are not playing the game as I would like it to be played so I am taking my ball (money) away).

The Thai CDM or interim Government should tell the US to stick it's bribery where the sun doesn't shine. At the same time it should cease all further negotiations on the Free Trade Agreement which the US has been so keen to conclude (and which would have been extremely detrimental to the Thai economy in the future).

The US gains far more out of it's relationship with Thailand than a measly $24 million. That includes a supporter and restraining voice in South East Asia, a reliable partner in the fight against terrorism, a convenient country to site secret detention camps (conveniently denied by both sides) and a base for CIA and anti-drugs agencies in the region. None of these, as far as I have read, has been threatened by the coup or it's leaders. Perhaps the coup leaders should tell the US to back off or lose these valuable assets - the US has far more to lose than Thailand.

[PattayaMale]

Well said PapaDavid!!. As a US citizen I have never been as embarassed by our government's action as much as the last several years. Even though the US has had considerable weight to throw around (not talking about Pattaya farangs), it has become less fair and much more of a bully. Most of my US friends seem to feel the same.

[Gaybutton]

The following appears in the BANGKOK POST (Saturday, September 30):

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US-Thailand Relations 'Will Continue'

 

[Text of the US State Department briefing is below]

 

Washington (dpa) - The US government Friday signalled its intent to keep relations with Thailand despite its concern about last week's military coup.

 

But US State Department spokesman Sean McCormack said it is "watching the situation ... very closely."

 

McCormack said he did not know if the US suspension of nearly $24 million in military aid to Thailand earlier this week would change plans for the annual Cobra Gold joint military exercise next year.

 

But the military funding denial "does not mean we are going to break our relations with Thailand or sever all of the ongoing programmes of cooperation," he said.

 

The US has said it was "extremely disappointed" with the coup that ousted Thai Prime Minister Thaksin Shinawatra. "We've clearly stated that it's a setback for Thai democracy," McCormack said.

 

There have been reports in Thailand that respected former army chief Surayud Chulanont could be named the next prime minister.

 

"Certainly somebody with close ties to the military is going to have to at least overcome the perception that they are maintaining a close relationship with the military and may be not acting in defence of Thai democracy and moving Thailand along as fast as it possibly could," McCormack said.

 

xxx

 

Here is the full text of the exchange concerning Thailand at the State Department press briefing:

 

QUESTION: Military assistance to Thailand: does that include cancelling next years Cobra Gold exercise?

 

MR. MCCORMACK: I'll look into it for you. I am not sure that it does. I'm not sure that it does. There -- the law has precise restrictions and areas that are covered.

 

Look, this does not -- the fact that there was a coup in Thailand is of deep concern to us and we've clearly stated that it is a setback for Thai democracy. We have taken certain policy steps in compliance with the law.

 

That does not mean that we're going to break our relations with Thailand or break or sever all of the ongoing programs of cooperation, but we are going to be watching the situation in Thailand very closely, who is appointed as prime minister, that person's background, the policies that they pursue. We certainly hope that that person is somebody who has the deep interest of Thai democracy at heart and who not only abides by the principles of democracy but acts in their defense in getting Thailand back on the pathway to democracy as quickly as possible.

 

QUESTION: So you're planning with the Thai military right now for this?

 

MR. MCCORMACK: I can check on that specific question for you. Yeah.

 

QUESTION: It appears that Thai coup leaders are ready to appoint an ex-Army chief as their prime minister. Do you have any assessment of his capability to lead the country?

 

MR. MCCORMACK: Well, my understanding is there has not been a final announcement yet. So I'm -- since there is no final announcement, I'm not going to have any particular comment. But certainly we are going to look at who that person is and what they do, what they actually do. That's what's important here. Are they truly acting in a manner consistent with the principles of democracy.

 

I'm not going to try to read anything in particular into somebody's background, but certainly somebody with close ties to the military is going to have to at least overcome the perception that they are maintaining a close relationship with the military and maybe not acting in defence of Thai democracy and moving Thailand along as fast as it possibly could. I'm not going to make any judgments now about that. I think what's important is what that person actually does.

[Guest namjai]

I also am an American citizen, but the America I grew up seems to have changed from a great country with heart to a large uncontrolled (by its citizens) corporation.

 

It is a sad thing to see.

[Gaybutton]

The following appears in THE NATION:

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US Wary of Army Man as Thailand's Post-Coup Prime Minister

 

WASHINGTON - The United States expressed unease over reports Friday that a former army chief had been chosen to run Thailand's government after the military ouster of Prime Minister Thaksin Shinawatra.

 

State Department spokesman Sean McCormack withheld formal comment on the reports that Thailand's ruling junta had selected retired general Surayud Chulanont,63, to replace Thaksin pending confirmation of the appointment.

 

"But certainly somebody with close ties to the military is going to have to at least overcome the perception that they are maintaining a close relationship with the military and may be not acting in defense of Thai democracy," McCormack said.

 

McCormack said the United States continued to watch developments in Thailand "very closely: Who is appointed as prime minister, that person's background, the policies that they pursue."

 

"We certainly hope that that person is somebody who has the deep interests of Thai democracy at heart and who not only abides by the principles of democracy but acts in their defense in getting Thailand back on the pathway to democracy as quickly as possible," he said.

 

Agence France Presse

 

US Wary of Army Man as Thailand's Post-Coup Prime Minister

 

Now I get it. I don't know what took me so long. Thai officials don't know what's best for Thailand. US State Department officials do. You know who they are, don't you? Most likely people who have never so much as set foot in Thailand and have to take a moment or two just to find Thailand on a map.