Connect with us

Investment

Politics key challenge to invest in Thailand

Since anti-government protests erupted in April, Thailand has been listed as one of seven countries that are not safe to visit or invest in. Many tourists are still frightened of the possible danger if they come to visit Thailand, so they avoided coming to Bangkok

Boris Sullivan

Published

on

tourism island

Politics will remain a critical challenge for the Thai economy next year, says Sombat Thamrongthanyawong, rector of the National Institute of Development Administration Nida.

Since anti-government protests erupted in April, Thailand has been listed as one of seven countries that are not safe to visit or invest in, he said.”If next year the red shirts escalate the level of protests, you’ll have to consider how disastrous it would be for Thailand,” warned Dr Sombat.

tourism island

Many tourists are still frightened of the possible danger if they come to visit Thailand, so they avoid Bangkok and opted for other regions in the country, especially in the south, which is well-known for beautiful beaches

However, Atchaka Sibunruang, the secretary-general of the Board of Investment BoI, argued that investors’ decisions were unlikely to be affected should political dissent remain moderate, adding that BoI incentives would not change even with a change in government.Dr Atchaka predicted growth next year in key sectors including processed food, automobiles and auto parts, electronic components, hard-disk drives HDD and HDD parts, and energy production.

She said the BoI was in the process of including more industrial sectors that qualify for BoI incentives, including those with low technology.

“We will not be able to compete if we continue to depend on industries that do not use a lot of skilled labour,”

she said.

BoI applications next year are estimated to reach 400 billion baht, the same as this year. “This is because we are not yet sure whether large projects worth hundreds of billions of baht such as the upstream steel project can occur,” she said.

via Bangkok Post : Politics key to investment.

Thailand’s political turmoil in 2010 has had little impact on the kingdom’s economic growth, although it did affect the tourism industry.

Analysts said Thailand’s worst flooding in half a century has impacted economic growth, more so than politics.

The full-year forecast for GDP growth is 7.9 per cent, down slightly from forecasts, but the Thai economy is not technically in a recession. Global demand is sluggish and exports are expected to slow to 10 per cent growth in 2011, compared with 24.7 per cent this year.

And the baht continues to rise against the dollar.

For next year, however, political instability remains a big risk factor.

After the worst street violence in over 15 years, some analysts maintain that it is becoming a mainstay of doing business in Thailand.

Kavee Chukitkasem, head of research at Kasikorn Securities, said:

“I think the political issue is a normal situation in Thailand. Everybody gets used to it and (despite) the political problems, companies still have to do business.”

With the arson at Central World Mall being an image that many visitors now associate with Bangkok, tourism fell sharply during the rallies in April and May and was slow to recover.

Surapol Sritraku, president of the Association of Thai Travel Agents, said: “Many tourists are still frightened of the possible danger if they come to visit Thailand, so they avoided coming to Bangkok. Consequently, foreign tourists opted for other regions in the country, especially in the south, which is well-known for beautiful beaches.”

Comments

Investment

Thailand Saw $1.7 billion Applications in Bio-Circular-Green (BCG) Investments in 2020, BOI Says

The BCG model, as defined by the Thai Government, encompasses industries that allow inclusive, sustainable growth while reducing waste, pollution and dependence on finite resources.

Avatar

Published

on

By

In the first nine months of 2020, local and international companies applied to invest as much as $1.7 billion in Thailand in more than 300 projects in the sectors listed as “BCG”, or Bio-Circular-Green economic activities focused on environmental protection and sustainability, according to data collected by the Thailand Board of Investment (BOI).

(more…)
Continue Reading

Investment

Thailand BOI new measures to boost post-Covid-19 investment

Thailand’s Board of Investment (BOI) approved a series of measures to accelerate investments and to encourage businesses to adopt digital technologies.

Avatar

Published

on

By

The Thailand Board of Investment (BOI) on Monday approved a series of measures to accelerate investments, particularly in target industries and to encourage business to adopt digital technologies.

(more…)
Continue Reading

Investment

Foreign Investors’ Confidence in Thailand Still High Despite Covid-19 Impact, BOI Survey Shows

Out of the 600 companies surveyed, 19.33% said they have plans to increase their investment in Thailand, while another 76.67% said they expect to maintain their current investment level.

Pr News

Published

on

By

Despite the COVID-19-induced economic hardship, as much as 96% of foreign direct investors operating in Thailand are confident in the country’s potential and have plans to expand or at least maintain their investment, citing attractive investment incentives, a strong supporting industry supply chain and the availability of raw materials and parts, according to the Thailand Board of Investment’s (BOI) annual Foreign Investor Confidence Survey.

(more…)
Continue Reading

Latest

Most Viewed

Subscribe via Email

Enter your email address to subscribe and receive notifications of new posts by email.

Join 13,609 other subscribers

Trending