“Rising Above Disruptions: A Call for Action” Keynote Remark by Dr. Veerathai Santiprabhob Governor of the Bank of Thailand National Directors Conference 2018 Thai Institute of Directors 21 June 2018, Plaza Athenee Hotel, Bangkok Thailand Dr. Bandid Nijathaworn, Mr. Andrew Sheng, Secretary General Rapee Sucharitakul, Chief executives, Directors, Distinguished guests, Ladies and gentlemen. A very good morning to you all. First of all, I would like to express my sincere thanks to the Thai Institute of Directors (IOD) for inviting me to be a part of this exciting and important event. I have always had strong appreciation for IOD’s mission and work to improve director professionalism and corporate governance in Thailand. I would also like to commend the IOD on organizing this year’s conference with a proactive and forward looking agenda that goes well beyond its focus on corporate governance. This year’s conference program concentrates on areas that we need to collaborate to ensure the future success of our country. It is therefore such an honor to be here today to share my thoughts with distinguished directors and key leaders who play an integral role in driving Thailand forward. Ladies and gentlemen,  We are living in an unprecedented period of profound changes where exponential advancement in technologies is transforming everything we know. The speed, scope and impact of this technological change are unlike anything we have experienced before. It is disrupting and transforming the whole value chains, across all sectors in all corners of the globe, at an extremely fast pace.
When international investors lost confidence in the ability of governments to defend the fixed exchange rate, the countries encountered difficulties. Sharp currency depreciations and major readjustments followed in many countries. Even though economies in this region have fared well in recent years, the experience may have left its mark. A number of Asian countries, China in particular, have chosen to keep their currencies pegged to the US dollar. As long as the Chinese authorities are successful in keeping the exchange rate fairly fixed, competitiveness and a trade surplus will be maintained. However,  3  2  US Bureau of Labor Statistics. International Labor Comparisons. Manufacturing in China. http://www.bls.gov/fls/china.htm  BIS central bankers’ speeches  such a policy is at the expense of deficit countries, which would have preferred to see an adjustment in the yuan exchange rate. China’s exchange rate policy is therefore under strong pressure, especially from the US. But China’s economic strategy is based on its own experience and the experience of others. First, China has chosen to focus on the export of finished manufactured goods rather than domestic consumption as the basis for growth. So far, this has resulted in dynamic developments where growth has been kept high owing to increasing opportunities for people in rural areas to move to new jobs in towns and cities. A stable exchange rate has contributed to predictable operating parameters for a rapidly growing export industry and has held up competitiveness.