Foreign firms investing in Thailand doubled in nine months
Over 400 foreign firms invested over $2.5 billion in Thailand during the first nine months of this year, more than double the value of the same period last year, with the U.S. ranking third behind Japan and Singapore as the largest source of overseas investment.
“These companies have invested about 99.36 billion baht ($2.6 billion) in Thailand and generated up to 4,041 jobs for local people,” said Deputy Commerce Minister Sinit Lertkrai. That is an impressive improvement over the same period in 2021, when foreign companies invested about 45 billion baht ($1.18 billion).
Admittedly, investment in 2021 was dampened by the pandemic. The rapid rebound in 2022 is evidence that the Kingdom still retains its appeal to foreign firms seeking a business-friendly, lucrative and logistically sound location for their manufacturing facilities and services.
The top three country sources of investment so far this year in terms of the number of companies have been Japan (110 firms, $915 million), Singapore (71 firms, $299 million), and the U.S. (61 companies, $86.5 million).
Just under 20 percent of companies chose to invest in the Eastern Economic Corridor (EEC), Thailand’s advanced development zone just east of Bangkok. The government offers attractive incentives and privileges for firms investing in the corridor and has built cutting-edge and extensive infrastructure to serve businesses in the three-province area.
The Deputy Commerce Minister also mentioned that foreign companies benefit Thailand by sharing knowledge and transferring technology. Areas in which they have been most helpful include conserving energy, generating power for airports, exploring for oil in the Gulf of Thailand, reclaiming land in coastal areas, developing deep-sea ports and setting up charging stations for electric vehicles.
Photo courtesy of https://thaiembdc.org/2019/05/21/boi-reports-a-surge-in-first-quarter-foreign-investment-value/