“ Creative Economy for SME Development " By Mr. Soros Sakornvisava President Small and Medium Enterprise Development Bank of Thailand

Definition of Creative Economy The thinking of Economic moving that upon Knowledge Base , Education , Creative and Intellectual Property which linked to the base of Cultural Wisdom , Technology and Innovation.

Thailand and Creative Economy Thailand government emphasized the important of CE ( Creative Economy) by restructuring the country’s manufacturing related to service sector , Industrial and Agriculture on the base of “ Thailand Culture and Wisdom” Create Niche Qualification for Thai Product and Service adding Value added and Economic value for Job employment through Increasing income and Upgrade Citizen life quality.

Classification System for Thailand Creative Industry Cultural Heritage - Crafts - Historical &Cultural Tourism - Thai Food - Thai Traditional Arts - Visual Arts - Performing Media - Film - Publishing - Broadcasting - Music Functional Creation - Design - Fashion - Architecture - Advertising - Software

The Important of CE in Thailand : GDP 2002 2003 2004 2005 2006 2007 2008 2002 2003 2004 2005 2006 2007 2008 Thailand CE Valuation approximate10-12 % of GDP . Function Creation , Cultural Heritage and Media ’re the most highest . Triple create a value 9.5 % of total GDP

Economic evaluation of Non- cultural CE : Software and Digital Content Total Market Value 2009 Total market Value of E –Learning 2006 -2009 Billion Baht Billion Baht 20099 2006 2007 2008 2009

CE : Export Value

The Ability of Thailand Export Competition in CE’s Product

Main Export of Thailand CE’s Product

SME Bank and Entrepreneur Development Program Vision "A government financial institution for development that assist and support Thai SMEs" Mission Support the government policies to assist and promote Thai SMEs . Provide financial services and others response to Thai SMEs’ needs. Promote and Develop Thai SMEs with competition potential in global stage Develop IT technology system with Organization Management and Good Governance.

Credit & Service General Loan Policy Loan Other Service Long Term Credit (Term Loan) Economic Crisis Short Term Credit (P/N) SMEs Potential Development Factoring Food and Restaurant Leasing and Hire Purchase OTOP and Grass Root Trade Finance New Entrepreneurs Intellectual Property Capitalization Other Service Joint Venture AVAL Letters of Guarantee Advisory Service Market Channel

Example

OTOP Objective Amount Interest Rate Collateral Target Condition Expand, invest, improve, develop the products or establishment for the business.   OTOP entrepreneurs Target 50,000 baht but not exceeding 1,000,000 baht. Amount Condition SME BANK MLR Rate (As of 2011,the bank’s MLR =7.25%) Interest Rate Collateral Comply with the notice of the bank. 

Credit for Innovation Objective Target Amount Condition Interest Rate The fund to Thai SMES entrepreneurs with the product innovation, redevelopment from previous researches, invention, patent, technology, adjustment to the tolls, machinery, equipment in order to use as current capital in the business.   Target Innovative Entrepreneurs 50,000 -20,000,000 baht / case Amount Condition SME BANK MLR Rate (As of 2011,the bank’s MLR =7.25%) Interest Rate Collateral Comply with the notice of the bank. 

SMEs Development Program

Creative Economy Developing System Product Standard such as OTOP Award FDA ( Food and Drug Standard ) TIS ( Thai Industrial Standard) - ISO ( International Organization for Standardization) Product Development into Creative Product Lead to

SME Development Aim to Support and Develop Entrepreneurs both before and after lending credit Increase Potential and Capacity in competition to Thai SMEs

Innovation Objective -Develop Knowledge Innovation such as Product Evaluation adding , Marketing Channel, etc. Target Group SME BANK Client Successful of Performance -New Perspective and various possibilities of business -Product and Service Development included Modern Marketing

Idea of Creative Economy in cooperate with Thailand Creative and Design Center ( TCDC ) SME BANK Thailand in Cooperate with TCDC increase customer capacity by creating the activity to stimulate Creative Economy Concept. With the Program of Seminar and Coaching to enhance the product in modern style that able to complete in global market.

The Result of Product Development in Creative Economy Program

During in SME BANK Thailand Consultant Success Case Ms. Nattaprapa Suphakprapacharoen Name of Company : Nattasilp Type of Product :Home Decoration New Product Design with the idea of Creative Economy A F T E R B E F O R During in SME BANK Thailand Consultant

During in SME BANK Thailand Consultant Success Case Ms. Anchalee Chauykeaw Name of Company : Anchalee Benjarong Type of Product :Benjarong A F T E R B E F O R During in SME BANK Thailand Consultant

During in SME BANK Thailand Consultant Success Case Ms.Kittiwan Burin Name of Company : Osismoda Co.,Ltd. Type of Product : Bag from Local Thai Fabric A F T E R B E F O R During in SME BANK Thailand Consultant

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