1 / 17

Productivity and Skills A n imperative in an integrated Asia

Productivity and Skills A n imperative in an integrated Asia. 2012 Australia-Thailand Business Conference 13 November 2012 Dr. Kirida Bhaopichitr. The World Bank. Challenges for Thailand in the New Global Order. Significant slowdown in developed economies/markets and in China

tudor
Télécharger la présentation

Productivity and Skills A n imperative in an integrated Asia

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Productivity and SkillsAn imperative in an integrated Asia 2012 Australia-Thailand Business Conference 13 November 2012 Dr. KiridaBhaopichitr The World Bank

  2. Challenges for Thailand in the New Global Order • Significant slowdown in developed economies/markets and in China • Softening of key agriculture prices e.g. rice and rubber • Competition from of other countries in East Asia, that are “catching up” with Thailand, especially from China • Higher risks of natural disasters

  3. Opportunities for Thailand • A bigger middle-income class, especially in China – higher purchasing power • Greater investments/capital flows into East Asia • Greater Regional integration and openness (AEC & FTAs) • Slower increase in energy prices FDI Inflows into Thailand Subprime crisis Source: Bank of Thailand and World Bank Staff Calculation

  4. How will Thailand thrive in the new global order? Escape the “Middle Income Trap” • Increase labor productivity for a higher value-added economy • Increase competitiveness Ensure “Inclusive Growth” • Further poverty reduction • Reduce inequality of incomes and opportunities

  5. Labor productivity has grown across the region with China experiencing explosive growth Source: ILO, Key Indicators of the Labor Market, and WB staff estimates

  6. Thailand’s Labor productivity is being caught up by regional neighbors Source: ILO, Key Indicators of the Labor Market, and WB staff estimates

  7. Future growth requires more Total Factor Productivity (TFP) increases Source: Updated from Bosworth and Collins, World Development Indicators, and National statistics

  8. Shortage of skills remained a key obstacle for Thailand’s growth Source: Thailand Investment Climate Assessment ( 2008), World Bank

  9. Skilled production workers are in short supply compared to other countries Time required to fill the most recent vacancy for skilled production workers (weeks) Time required to fill the most recent vacancy for unskilled production workers (weeks) Source: Thailand Investment Climate Assessment ( 2008), World Bank

  10. Filling vacancies take time because applicants lack skills that firms look for Percent of firms identifying these issues as the most important reason for job vacancies At the professional level, quantity is not a problem Source: Thailand Investment Climate Assessment ( 2008), World Bank

  11. 1. Performance of Secondary School students in Thailand needs to be improved! Average OECD and Thailand’s PISA scores Source: PISA 2000-2009 Results (OECD database)

  12. 2. Regional difference in education outcomes needs to be narrowed PISA Scores in Bangkok comparable to US School level O-NET scores lowest in NE Source: Office of Basic Education Commission database, in Parandekar 2011 12

  13. 3. Creativity, Leadership, Information Technology and English are needs to be improved

  14. 4. Lack of qualified personnel limits firms innovation efforts Percent of firms reporting these as a reason for not engaging more in innovative activities • Innovative Activities includes • Technological innovation e.g. upgrading of machinery • Process innovation e.g. new process of producing the same product • Product innovation e.g. developing new products • Commercial innovation e.g. joint ventures • Marketing innovation e.g. branding Source: Thailand Investment Climate Assessment ( 2008)

  15. 5. Thailand has fallen behind in moving towards a knowledge economy World Bank’s Knowledge Economy Index 2012* Ranking 2012 Change from 2000 * KEI is a simple average of 4 sub-indexes which represents the 4 pillars of the knowledge economy: (1) economic incentive and institutional regime, (2) education and training, (3) innovation and technological adoption, and (4) information and communications technologies (ICT) infrastructure.

  16. Global competition is intensifying and Thailand should not be “left behind” Source: World Development Indicators (World Bank)

  17. THANK YOU World Bank data and reports can be downloaded atwww.worldbank.org

More Related