ABSTRACT

Since late 1998, the Thai Government has given the impression of assigning more importance to the promotion of the small and medium-sized enterprises (SME) sector, with the expectation that it can make a positive contribution to sustainable growth recovery. From the shock of July 1997 onward, the Thai government was entirely occupied together with the IMF in designing and implementing first rescue package to restore macro-financial stability and credibility as soon as possible. In the course of 1998, the adjustment policy considerably shifted, thanks to strong international lobbying and the recognition by the IMF of the too restrictive nature of its initial prescriptions. Turning to the micro-level strategies as drafted so far under the SME Master Plan, several points should be discussed by both the local business, scientific communities. The distress of the non-financial corporate sector, especially manufacturing SMEs, remained in 1998 totally neglected by the two major fire brigades, namely the Ministry of Finance, the Bank of Thailand.