RISK FACTORS INFLUENCING INTERNATIONALLY FUNDED PUBLIC INFRASTRUCTURE PROJECTS IN THAILAND

Borvorn Israngkura  Na Ayudhya

Authors

Borvorn Israngkura Na Ayudhya Department of Civil Engineering, Rajamangala University of Technology Krungthep, 2 Nanglinchee, Sathorn Tungmahamaek, 10120, Bangkok, Thailand.

Keywords:

International risk, public work, Thailand

Abstract

Risks associated with the construction of internationally funded public projects in Thailand are determined. A face-to-face interview technique was used in a field survey of 120 public infrastructure projects. The interviews focused on 39 factors grouped into 7 categories: estimation, project, competition, fraudulent practices, construction, economics, and politics. The survey revealed that critical risk factors influencing the success of project delivery were adjustment and anchoring, delay in payments, civil disorder, political instability, market conditions, influence of power groups, fluctuation in labor costs and materials, project complexity, exchange rate, and motivational biases. Minimal risks in internationally funded public projects would require transparency in evaluation of estimations, familiarity in overseas disbursement procedures, adequate skilled staff, selection of a competent consultant, and a reliable contractor.

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