THAI Deputy Prime Minister/Finance Minister Ekniti Nitithanprapas and Finnish counterpart Riikka Purra focused on navigating risks and seizing opportunities during a discussion entitled “Building Resilience in a Fragmented World” at the 2026 IMF-World Bank annual meetings today (Oct. 13), PPTVHD36 said.
Ekniti noted that the impact of global fragmentation is transmitted through three primary channels: trade, finance, and investment.
Regarding trade, nations must identify new routes and markets when confronted with restrictions. Thailand, a net energy importer that historically sourced approximately 50% of its energy from the Middle East, has shifted toward imports from West Africa and Latin America over the past seven-eight months. This demonstrates that even as trade barriers rise, countries can still build bridges of connectivity.
In the financial sector, rising bond yields have driven up interest costs. Over the last seven-eight months, the yield on Thailand’s 10-year government bond rose by approximately 60 basis points—compared to a 120-basis-point hike in the US—underscoring the importance of macroeconomic stability and fiscal discipline in fostering market confidence.
Regarding investment, investors are increasingly diversifying their markets to mitigate risk, a trend from which Thailand has benefited. Applications for foreign direct investment (FDI) rose by 47% in the first half of the year, while private sector investment grew by over 10% for two consecutive quarters. However, Thailand must accelerate efforts to reduce bureaucratic hurdles and obstacles to effectively convert these investment applications into actual investments.
Ekniti noted that the impact of global fragmentation resembles a “K-shaped” pattern: while some major nations and large corporations benefit, smaller countries, SMEs, and the general public struggle to adapt.
Thailand therefore has an opportunity to serve as a trusted intermediary connecting large and small nations, upholding a rules-based international system and leveraging regional cooperation to build economic resilience.
A prime example is energy cooperation within Asean. Although Thailand faces the impact of high oil prices due to its reliance on Middle Eastern energy imports, Laos possesses abundant hydroelectric power, while Singapore has high energy demand. Consequently, Thailand and Malaysia can act as a bridge, linking energy sources in Laos to Singapore.
Meanwhile Purra said Finland has a small, open economy that has thrived through its integration into the global economy and international supply chains. However, as economic security gains importance, international interdependence has become a political issue, presenting new challenges for smaller economies.
Finland is vulnerable to rising global costs and supply disruptions—particularly concerning its relationship with Russia, its eastern neighbour. Nevertheless, she disagrees with the notion that small nations are inevitably at a disadvantage; by developing their own capabilities and addressing the bottlenecks that trigger trade conflicts, they can achieve a balance.
She also warned that the expansion of subsidies and industrial policies within the European Union could disadvantage smaller nations, as they possess smaller budgets than larger countries. Such competition risks distorting markets and undermining competitiveness which serves as a crucial foundation for economic growth.
Purra stated that nations must strike a balance between security and economic openness. They should focus on mitigating specific, critical risks to reduce vulnerability to economic coercion and prevent disruptions, rather than attempting complete self-reliance—an approach that is both difficult to achieve and inefficient.
Finland leverages its national strengths to build resilience, drawing on expertise in technology, strategic industries, and the energy transition. Notably, approximately 95% of its electricity comes from low-carbon or fossil-fuel-free sources, resulting in some of the lowest electricity prices in Europe.
Furthermore, Finland invests in sectors where it holds a competitive advantage, such as Arctic expertise and icebreaker technology, telecommunications, critical minerals (including mining and processing), space technology, quantum computing, and cybersecurity.
It also holds the view that small nations should establish their importance in areas that are in demand by other countries.
This encompasses supply chain diversification, logistics development, the establishment of reliable trade relationships, and the securing of alternative import sources for critical goods.
Additionally, experiences involving Russia have led Finland to recognise the necessity of anticipating threats and preparing to respond swiftly to risks—leveraging a comprehensive security approach and cooperation with trusted partners to build resilience amidst a changing world.
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Top and Front Page: Thai Deputy Prime Minister/Finance Minister Ekniti Nitithanprapas participating in a discussion entitled “Building Resilience in a Fragmented World”. Photo – PPTVHD36
Insert: Finland’s Deputy Prime Minister/Finance Minister Riikka Purra speaks at “Building Resilience in a Fragmented World” forum during the annual meetings of the International Monetary Fund and the World Bank Group today, Oct. 13, 2026. Photo – AP/Sakchai Lalit and published by WV News
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