Be vigilant, Chavalit tells Army

PREMIER General Chavalit Yongchaiyudh has warned top military brass Thailand could be 'vulnerable to threats' as its economy worsens.

While ordering his former military colleagues to make fresh cuts to an already tight budget, General Chavalit insisted troop welfare and national security be maintained. 'Although our economy is in a bad shape, we should strengthen our Army, not have it weakened,' he told a meeting of senior military leaders.

'During the crisis, our neighbours may believe we are vulnerable to threats.' Despite the warning, he ordered a further slashing of the military budget by 11 per cent to meet strict International Monetary Fund austerity requirements to qualify for a US$17.2 billion (HK$132.7 billion) bailout package.

The military is already operating on a reduced budget of about 100 billion baht (HK$19.3 billion). That has meant a vast weapons-buying programme has had to be mothballed, while recruits in the 360,000-strong forces earn just $150 a month.

After a decade of stellar growth, Thailand's military had ambitious plans to be among the best equipped in the region after years of nervously eyeing countries such as Vietnam and Malaysia.

The generals' shopping list included submarines, hi-tech tanks and even spy-in-the-sky satellites when the baht collapsed in July.