A central aspect of the King's great contributions to society has been his visionary thinking about sustainable human development. Indeed, the King's Sufficiency Economy philosophy has now firmly taken root in Thailand. It is now the main policy platform of the government. It is embraced by rural communities, private companies, academics and public policy-makers alike. And it is providing us with a much needed moderating influence on how we manage the economy.

But not only Thailand can benefit from the King's vision of a more just and sustainable path to development. Grappling with the threat of global warming and the vagaries of globalisation, the whole world could certainly use a good dose of Sufficiency Economy thinking.

Globalisation has clearly brought huge benefits to many people around the world. However, these benefits are unevenly spread, and the poor have tended to be disproportionately affected by the side effects of globalisation. More than one billion human beings still live in abject poverty and communities around the world are precariously exposed to financial instability, violent upheavals, unfair trade and global warming and its environmental impacts.

Something has to give. We are in desperate need of technological solutions to our energy problems, a more equitable distribution of wealth, a level playing field for international trade and a more generous and effective development aid to poor countries. But this will not be enough. A much deeper, more profound transformation of our societies, values and the way we consume is needed.

The King's philosophy of Sufficiency Economy offers just that - a more balanced, holistic and sustainable path of development and an alternative to the clearly unsustainable road the world is currently travelling down.

Inspired by Buddhism, this philosophy stresses the "middle path" as an overriding principle for appropriate conduct and way of life for all people, at individual, community, business and government levels.

Sufficiency means moderation, prudence and resilience to rapid changes. For poor people in rural areas, this means that they first and foremost must become self-reliant in the production of food; then they can strive for a more advanced stage of development. This way they are better able to weather the storms of economic downturns and fluctuations in global markets.

The King's thinking advocates the need for sustainable consumption, step-by-step development, and the recognition of diversity in geo-social conditions when implementing development projects and policies.

Gaining great credence in Thailand after the 1997 financial crisis, the King's philosophy advocates economic stability over unbridled growth. It also highlights the need to strengthen social values so that everyone - especially public officials and business people - respects the rule of law, upholds democratic principles and adheres to the values of integrity and accountability.

On the ground, the King's development concept has been applied to more than 3,000 royal projects across Thailand. One example is a project to promote the use of alternative energy in remote rural areas for irrigation, clean drinking water and environmental conservation. The project has generated knowledge and innovation that is already recognised the world over.

Other examples are royal projects across rural Thailand that promote the diversification of household production to guarantee that basic subsistence needs are met in times of hardship and to reduce the risks involved when depending on a single crop. It is noteworthy that many poor villages hit by the tsunami in southern Thailand, which had applied this approach by not depending solely on fishing, managed to bounce back with surprising speed.

The forthcoming Thailand Human Development Report to be published by the United Nations Development Programme in January will certainly help put the Sufficiency Economy philosophy on the global radar screen. The report is dedicated to the theme of "Sufficiency Economy and Human Development" and will reach a wide international audience. It will explain to the world with greater clarity the meaning of Sufficiency Economy and its practical applications - not only for lifting rural communities out of poverty - but also for promoting good business practices, sound macro-economic policies, and the prudent management of globalisation.

The world is barrelling down a dead-end road of untenable inequalities and unsustainable consumption. We have no choice but to change course and take the "middle path" of Sufficiency Economy.

Anand Panyarachun

Special to The Nation

Anand Panyarachun is a former prime minister of Thailand.