Localizing the Post-Washington Consensus: Crisis, Sufficiency, and the Expansion of Populist Welfare in Thailand

What are the lessons learned from the failures of Washington Consensus (WC) policies and programs enacted in many Global South countries in the 1980s and 1990s? While we know the “official” takeaways from the International Organizations (IOs) that suggested these reforms in the first place (IMF and World Bank), we are still unfamiliar with how local actors involved in economic policymaking grappled with the end of this paradigm. This article explores the case of Thailand, a country that meticulously followed the WC in the 90s, but where the culmination of these policies into the post-1997 crisis structural adjustment programs ushered in a thorough rethinking of economic dogmas, including the role of the state vis-a-vis the market. Contrary to accounts that analyze this period as the re-orientation of economic policy according to what dictated by the IMF’s structural adjustment reforms, it is argued that the crisis led to a unique blend of policies that combined local ideas of self-sufficiency and moderation with a renewed commitment by the state to be a social welfare provider. Drawing from novel archival evidence and interviews with Thai bureaucratic elites and international organizations officials working in Thailand during this period, the article suggests that this era is better characterized as the start of a "Polycentric" Neoliberal configuration. First, the merging of neoliberal principles with local ideologies - in particular, the Sufficiency Economy Philosophy proposed by King Bhumibol Adulyadej - represents a key feature of polycentric neoliberalism: hybridization. Second, Thailand adopted a global-local approach by embedding Washington-based neoliberal ideas within national frameworks, adapting policies from the IMF and World Bank to fit domestic political agendas that emphasized state intervention (and spending) geared to social stability. Third, the political adaptation of neoliberalism is evident in Thailand's selective welfare policy approach under Prime Minister Thaksin Shinawatra, often termed “Thaksinomics”, which combined populist programs like universal healthcare and debt relief with market liberalization. The article contributes to our understanding of how Global South countries co-opt IO discourses and adapt them to suit national socio-political needs in tumultuous times.