In a recent exclusive interview with The Nation Pridiyathorn, who will shortly assume the role of an interim economic-policy maker, said the new government should adjust its economic administration target by first focussing on narrowing the gap between low-income and rich people.

He said that while recent economic development had benefited the country there were other methods that could provide more advantages without destroying natural resources.

Natural economic momentum could push the economy to grow by 4 to 5 per cent without any help from the government, as the private sector itself could drive the economy, he said.

On the other hand, an economy that grows too fast could destroy the country's natural resources, he said.

"The country's progress is not measured only by economic growth; there is something more than just figures. A healthy economy means that people have a good living, surrounded by rich, natural resources," he said.

Pridiyathorn said if the government set realistic targets that showed concern for a healthy economy, the country's development would move in the same direction and then people would know what they had to do with their lives.

"Previous governments never seriously emphasised income distribution. They did not set targets because they were scared of missing them.

"No one in fact accomplishes every target they set. However, setting a realistic target is a good idea, otherwise we'll keep going back to square one."

Other countries with small gross domestic products (GDP) have succeeded with income-distribution policies because of their strong attempts to meet their targets, he said.

"The country's income gap has continued to widen, and this will likely lead to social conflict. The wider the gap, the greater the possibility of a separation between people, so we should all work to close it," he said.

In order to do this, Pridiyathorn said the government could set a target to increase the per-capita income of those in the Northeast, who are recorded as the country's lowest-income earners. The targeted income growth, he said, should be higher than the national average.

Pridiyathorn also said the government needed to rein in excessive oil consumption and improve the logistics and mass-transit systems in order to prevent another shock from another round of oil-price rises.

To accomplish this, he said, the country must first reduce its dependence on oil and move to alternative sources of energy. Thailand's oil consumption tops the global list at 9 per cent of GDP.

Secondly, the country's logistics system should rely more on trains and ships than road transportation, which is a major cause of oil consumption.

And thirdly, a low oil-consumption mass-transit system must be introduced as a matter of urgency.

"We need someone to encourage these developments so we, as a country, can move forward.

"If we can do so, we will not be affected worse than other countries if there is another oil shock."

Anoma Srisukkasem

The Nation