Thailand recently unveiled a 4.0 economical model to develop Thailand into a valued-based economy, according to Prime Minister Prayut Chan-O-Cha, reports Retail News Asia.
Thailand 4.0 will change the country’s traditional farming to smart farming, traditional SMEs to smart enterprises, and traditional services to high-value services.
The aim is to create creativity and innovation through the application of technology.
As The Nation comments, the challenge of this model is getting the country to come out of its middle income trap.
The government wishes to see farmers become entrepreneurs and SMEs to branch out of being tied to government assistance and to become startups that grow beyond their potential growth areas.
Thailand 4.0 comes after three prior economic models
- Thailand 1.0 focused on agricultural development
- Thailand 2.0 focused on upgrading low income households reach middle-income
- Thailand 3.0 emphasized on the growth of the industrial industry
The Prime Minister sees 10 target industrial groups to be the new engines of Thailand’s growth, including seven industries that are considered the backbone of the country’s new digital economy.
Ex. the government’s e-wallet platform, PromptPay is an integral part of Thailand’s 4.0 plan to drive the country forward.
Even if this initiative kicks off, the country would not see results for another three to five years. Unless the country makes it a sustainable national aim, the blueprint is dependent on the new government’s stance on the matter, following next year’s impending election.
A version of this appeared in Retail News Asia on July 13. Read the full version here.