Friday January 31, 2014
As predicted, the government will not be able to keep its promise to rice farmers that they will definitely be paid today, Jan 31 -- just as all the other promises of payment been broken -- because the government itself is broke but has stubbornly refused to accept it and has kept lying to the farmers.
Its last-ditch attempt, through the Finance Ministry, to raise funds via a bridging loan auction on Thursday -- and to raise another 20 billion baht loan in a similar way each week until it reaches the 130 billion baht the Bank of Agriculture and Agricultural Cooperatives needs to pay the farmers -- was abruptly cancelled, because most commercial banks did not take part.
The couple of banks that did show an interest asked for a very high interest rate that the ministry found unacceptable.
The reason for their absence is that it remains doubtful the Finance Ministry can secure the loan and whether such a transaction would be constitutional or not.
This rice farmer taking part in a road blockade protest in Phitsanulok on Jan 27 has a sign saying ‘‘Every tractor is for sale. Need money to pay off debts". (Post Today photo)