BOI expects rise in investment-promotion applications
Thailand's Board of Investment (BOI) is optimistic about attracting a significant rise in investment-promotion applications, aiming for 3 trillion baht by 2027 under a new five-year strategy.
According to BOI secretary general Narit Therdsteerasukdi, the ambitious plan targets key sectors such as semiconductors, electronic circuit boards, data centres, electric vehicles, and renewable energy.
“Our strategy focuses on fostering a new economy that will drive Thailand’s competitiveness in the region. We’re witnessing remarkable growth in the semiconductor and electronic-circuit-board sectors, alongside robust demand in data centres,” he said.
In 2023, investment applications reached 840 billion baht, and the BOI expects this figure to rise to 900 billion baht in 2024. This growth is driven by increasing foreign investment, particularly from China, Taiwan and Japan.
Foreign investment applications have surged, particularly in industries such as electric vehicles and renewable energy, contributing to a total of 2,195 projects – a 46% increase from the previous year and the highest investment figure in a decade, totalling 722,528 million baht.
Narit highlighted Thailand's status as the leading production base for printed circuit boards (PCBs) in ASEAN and one of the top five globally.
He said this growth reflects not only Thailand's economic potential but also the confidence investors have in Thai government policies.
“Our proactive approach to attracting investment has been pivotal in building strong partnerships with international firms,” he said.
Semiconductor and Electronics Industry Booms
Thailand is positioning itself as a global hub for the semiconductor and electronics industry, with a focus on printed circuit boards (PCBs). The country is already the top PCB producer in ASEAN and one of the world's top five.
Mectec Manufacturing Corporation (Thailand), a subsidiary of Japan's NOK Corporation, has recently announced a 920-million-baht investment to expand its FPCB (flexible printed circuit board) production capabilities, which will create an additional 260 jobs and utilise more than 2,500 million baht in domestic materials annually.
Mectec's managing director, Somchai Asawarungsaengkul, expressed gratitude for the support.
"Receiving investment promotion from the BOI has been crucial for our growth, allowing us to expand our production capacity significantly. This investment will not only bolster our operational capabilities but also enhance our competitiveness in the global market,” he noted.
Somchai anticipates ongoing growth in Thailand’s PCB market, planning to invest about 300 million baht annually over the next three years to enhance competitiveness and operational efficiency.
He urged the government to stabilise the Thai baht in order to ensure the long-term viability of the country's manufacturing sector, noting that the baht's 10% appreciation this year is concerning because it has a direct impact on exporters' income and competitiveness.
"A stable currency allows Thai exporters to compete effectively in the international market," he said.
