Thailand\u27s official development assistance to the Mekong sub -region: Embodying domestic political and East Asian leadership

Thailand\u27s emergence as a donor state in the Mekong sub-region under PM Thaksin Shinawatra in 2003 poses two related puzzles which challenge conventional wisdom. First, why did Thailand take on the ‘emerging donor’ role so soon after the 1997 Asian financial crisis, which doomed this so-called East Asian miracle to the first failed East Asian economy? Second, what did this policy shift suggest about the state and health of democracy in Thailand? Here, Thaksin immersed himself in Thailand\u27s ODA policy and employed it as an important instrument of his government. To solve these puzzles, the dissertation analyzes both the system-level and, particularly, domestic political-level factors. My findings, based on documentary research and interviews, reveal the significance of two domestic political factors—political leadership and personal interests. Unlike his predecessors, not only did Thaksin want to get re-elected, but he aimed to establish one-party rule and lead as a strongman like Mahathir and Lee Kwan Yew. Mekong countries were also prospective markets for his and his allies\u27 businesses. Thus, although one of Thailand\u27s wealthiest businessmen, Thaksin ran a populist campaign and used ODA as a versatile tool to draw on the support of both the big business and the rural mass. By linking ODA to his other policies, Thaksin directly utilized ODA to promote his and his business allies\u27 interests in Mekong countries while employing ODA to indirectly support his populist agenda to win over rural constituencies. Leading Thailand to become an emerging donor, Thaksin thus advanced his role as a regional leader and Thailand as a regional center. Additionally, to optimize its ODA performance and promote its regional role, the Thai government strategically utilized the ACMECS forum and development partnerships, especially with Japan. These strategies demonstrate that emerging donors can actively participate in the East Asian power play. Even with Thaksin gone, Thailand\u27s ODA policy shift endures due to the active role of bureaucrats and the institutionalized reform that elevate ODA within the nation\u27s foreign policy agenda