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| >> Regional Overview >> Thailand Overview | |||||||||||||||||||||
THE DEVELOPMENT CHALLENGE: The United States and Thailand have a long history of cooperation on economic and social development issues. USAID formally ended its bilateral assistance program in September 1995 and closed its Regional Support Mission in Bangkok in September 1996. Since then USAID has managed discrete activities through three regional programs: HIV/AIDS, democracy and governance, and environment. The regional mission in Phnom Penh, Cambodia is responsible for management oversight for USAID’s Thailand program. The 1997-1998 Asian financial crisis exposed the weaknesses of Southeast Asia’s economic systems, and almost totally collapsed the region’s financial and capital markets, forcing thousands of companies to close, throwing millions out of work, and creating massive drops in government revenues. Devaluation of country currencies stimulated exports in 1999 and 2000, enabling countries to contain inflation and restore some jobs, but also delay needed fundamental economic governance reforms. Reliance on exports for growth also made Thailand more vulnerable to the worldwide economic slowdowns now being experienced in the U.S., Europe and Japan. After being the epicenter of the HIV/AIDS epidemic in Asia for many years, Thailand's aggressive campaign to address the disease has resulted in a stabilizing of epidemic in recent years. However, the national adult prevalence rate of 2% remains among the highest in Asia and about 750,000 Thai people are currently infected with HIV. In addition, the 1997-1998 Asian financial crisis resulted in decreased spending on public health in Thailand and also contributed to migration and population displacement in the region. As a result, poor and mobile populations experienced decreased access to healthcare services and education while behaviors favoring HIV transmission (e.g., sex work) increased. These events not only affected the HIV/AIDS epidemic in Thailand, but also the people who visited from Burma, Cambodia, China, Laos, and Vietnam. Since HIV/AIDS predominately affects the core part of the labor force (i.e., 15-45 age group), this disease has a direct impact on economic and social development. USAID regional programs provide Thailand with the technical assistance it needs to promote economic governance reforms, improve environmental management of Thai municipalities and industries, and halt the spread of infectious diseases such as HIV/AIDS, drug resistant malaria, and tuberculosis. With migrant laborers playing a significant role in the economic development of Southeast Asia, their health and well-being is critical to the development process in the region. THE USAID PROGRAM: USAID plans to use $750,000 in Development Assistance (DA) and $1,000,000 CSH in FY 2002 for activities benefiting Thailand. USAID is requesting $3,250,000 in DA in FY 2003. Because there is no USAID Mission in Thailand, all Thailand activities are implemented through USAID’s regional programs. USAID will use FYs 2002 and 2003 funds to provide technical assistance to protect vulnerable populations along its borders from infectious diseases and improve the environmental regulatory framework. ONGOING PROGRAMS FOR WHICH NO FY 2002 OR FY 2003 FUNDING IS REQUESTED: None. OTHER PROGRAM ELEMENTS: None. OTHER DONORS: World Bank, The Asian Development Bank, Japan International Cooperation Agency, the World Health Organization, and the European Union. Program Data Sheets
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