Thailand Defence and Security Report Q2 2008

BMI's newly-released Thailand Defence and Security Report Q2 2008 provides insight into Thailand's tenuous internal security situation and how this will impact on defence expenditure. The insurgency in the south continued to escalate in 2008, with attacks occurring almost on a daily basis. Targeted assassinations became the primary modus operandi for insurgents, combined with large-scale bomb attacks on critical infrastructure in 2008, such as telecommunications towers. Undermining key communications infrastructure has hindered the Thai security forces' efforts, as well as reducing the capacity of and thereby weakening the local economy. The weak local economy and the accompanying high unemployment rates are some of the main issues fuelling the discontent in the south.

Another driver of internal instability has been the recent elections, where a pro-Thaksin government was elected. Although the election results were by and large accepted by the former military-installed government, it did not stop the latter from passing controversial security laws on the eve of the election.

The Thai national legislature passed an internal security act to give the army enhanced powers to deal with national security threats. There are now concerns that the wide-ranging legislation could still be abused by the military, as well as the new government.

The then military-led government was keen to revive Thailand's armed forces, whose material capabilities stagnated somewhat under the former Thaksin government. The interim cabinet appear to have the same interest in reviving Thailand's armed capabilities. The Thai interim cabinet approved funds to purchase the first tranche of the Gripen JAS 39 multirole combat aircraft. The Thai government is also expected to approve funds to procure the 96 Kharkov Morozov Design Bureau amphibious armoured personnel carriers worth US$129mn.