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Educational Finance in Thailand - UNESCO Bangkok

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Appendix 9<br />

Private Sector Resource Mobiliz<strong>in</strong>g<br />

The issue of mobiliz<strong>in</strong>g private sector resources has been an important part of the<br />

policy dialog around reform. In review<strong>in</strong>g the prospects for <strong>in</strong>creased private sector<br />

fund<strong>in</strong>g for this project, it became apparent that the subject was a very large and complex<br />

one. This review exam<strong>in</strong>ed the basic questions <strong>in</strong> as much depth as was possible with<strong>in</strong><br />

the terms of reference and available resources. The result<strong>in</strong>g f<strong>in</strong>d<strong>in</strong>gs on private sector<br />

resources add, it is hoped, a base of new knowledge and analysis that will contribute to<br />

policymak<strong>in</strong>g and reform.<br />

However, it became clear <strong>in</strong> review<strong>in</strong>g this topic that a more comprehensive study<br />

of this one topic, while beyond the scope of this task, is desirable. There is too little<br />

known about the full range of resource flows <strong>in</strong>to the schools, especially from the private<br />

sector, This brief discussion of the topic is <strong>in</strong>tended to add to the deliberations and po<strong>in</strong>t<br />

possible directions for further research.<br />

A comprehensive analysis of mobiliz<strong>in</strong>g private sector resources for education<br />

should be based <strong>in</strong> part on a model of the relevant flow. That is, there are many possible<br />

paths for f<strong>in</strong>ancial resources to flow from private hands <strong>in</strong>to one part or another of the<br />

educational system. The figure below is an attempt to show some of what could be<br />

significant flows. The figure identifies five dist<strong>in</strong>ct revenue sources, dist<strong>in</strong>guished <strong>in</strong><br />

terms of their possible <strong>in</strong>terests or motives for <strong>in</strong>curr<strong>in</strong>g the costs of provid<strong>in</strong>g funds.<br />

These <strong>in</strong>terests could <strong>in</strong>clude support for their own children, support for the community<br />

generally, for the school they attended, for bus<strong>in</strong>ess or public relations aims, for tax<br />

<strong>in</strong>centives, or simple altruism. Depend<strong>in</strong>g on their <strong>in</strong>terests or aims, the revenue providers<br />

could direct their funds to at least five dist<strong>in</strong>ct targets, as shown below.<br />

Sources and Targets of Private Sector Resource Flows<br />

The “Private Sector”<br />

households with<br />

a<br />

public students<br />

b<br />

households with<br />

c<br />

private students<br />

d<br />

households with<br />

no students<br />

bus<strong>in</strong>ess<br />

sector<br />

not-for-profit<br />

sector<br />

k<br />

e<br />

f<br />

g<br />

i<br />

j<br />

l<br />

m<br />

h<br />

Targets of New Resources<br />

public<br />

students<br />

private<br />

students<br />

public<br />

schools<br />

old private<br />

schools<br />

new private<br />

schools<br />

190

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