Bangkok, BOI and HSBC Thailand announces strategic cooperation to create investment opportunities in Thailand, pushing Thailand to be an investment center in the ASEAN region.
The Board of Investment (BOI) and HSBC Thailand signed a memorandum of understanding to push Thailand towards an investment hub in Southeast Asia. and promote foreign direct investment (FDI) to strengthen the capabilities of both organizations. Through comprehensive investment consulting in Thailand along with HSBC’s digital financial platform Come help facilitate foreign investors’ access to investment opportunities and business expansion in Thailand.
Mr. Narit Theodsatheerasak Secretary-General of the Board of Investment (BOI) said that Thailand is considered one of the most outstanding countries in the ASEAN region. With potential and readiness in many areas that facilitate investment. Both in terms of good infrastructure Personnel with expertise and advanced skills Including proactive support measures from the government. This is
considered a factor that helps attract foreign investment. In the past, the government and BOI have moved forward with measures to promote investment in various fields. Including continuous investment inducement activities This has resulted in significant investment in important projects by large foreign companies. In the past year 2023, Thailand recorded the highest investment figures in 9 years, with the value of investment promotion applications exceeding 848,000 baht. million baht, growing 43 percent compared to the same period last year. It is foreign direct investment (FDI) of more than 663 billion baht, an increase of more than 72 percent. The BOI believes that the flow of foreign investment will continue to grow. In the first quarter of 2024, there were a number of applications for investment promotion. 724 projects, an increase of 94 percent, total investment value of 228,207 million baht, an increase of 31 percent compared to the same period of 2023, reflecting the confidence of foreign investors in
Thailand. The BOI is confident that signing an alliance with HSBC this time will enhance its ability to reach, understand and be able to coordinate with foreign investors. To accelerate attracting more investment into Thailand in the future. Through this partnership, HSBC will leverage its global network of business clients. and insights about investing in Thailand. In addition, HSBC will organize roadshow activities in key markets such as China, Hong Kong, India, Saudi Arabia, ASEAN, Europe and the United Kingdom, among others, to promote the country as a regional investment hub.
The cooperation between the BOI and HSBC will be a part of helping to drive foreign investment. Especially in the current situation where large global companies have a desire to expand their business and look for new opportunities, today ASEAN is considered an outstanding region. And Thailand is one of the ASEAN countries that is suitable to be a new investment base for the global market. BOI is confident that HSBC’s global network
It will help strengthen and accelerate investment in 5 industrial groups according to BOI’s strategy: electric vehicles, semiconductors, digital, bio-industry and clean energy. and support the establishment of regional offices in Thailand To expand access to a wider group of investors The BOI and HSBC will work closely together to drive investment through various activities to achieve jointly set goals.
Mr. Narit also mentioned Japanese car manufacturers. ‘Subaru-Suzuki’ withdrew investment in Thailand and announced the closure of the factory and discontinued production, saying that as of today, Thailand is still the source of investment in the automotive industry and attracts investment in the EV industry the most in the ASEAN region. The government will transition to the electric vehicle industry, where 5 years ago Japanese automakers invested 20 billion baht in Thailand and in the next 5 years there will be approximately 150,000 Japanese investments in Thailand. million baht and will invest in hybrid cars
and EVs. In addition, Chinese electric car manufacturing companies have already come to invest in Thailand, such as BYD, Great Wall Motors and Chang An by BYD and Chang An We will begin producing electric cars in Thailand next year. From this investment, we can see that Thailand is still a source of automobile investment in the ASEAN region. both car parts and electric car batteries This year, two more companies will invest in producing electric vehicle batteries. It is expected that there will be investment in the electric vehicle industry. Up to 800 billion baht in automobile parts and electric vehicle batteries has requested investment approval from the BOI. The approved projects will be invested within 1-3 years.
Mr. Giorgio Gamba, Chief Executive Officer HSBC Thailand said Thailand is one of the key markets in which international businesses want to invest. HSBC Global Connections research indicates that 37 percent of the companies in the sample currently have operations in Thailand. This skilled workfor
ce is a factor that makes Thailand an attractive market. This is followed by a growing digital economy and middle-income population. Moreover, Thailand has long been an important manufacturing base for the region. and remains an important part of the world’s supply chain. Thailand is currently the largest automotive producer in ASEAN. The production amount accounts for 50 percent of all countries in the region. As a result, Thailand is a potential destination for large-scale investment from major economies in the region and around the world. Especially the electric vehicle (EV) industry
for HSBC is one of the largest international banks in the world. which operates in 62 countries and territories and is Thailand’s first commercial bank with more than 135 years of experience in doing business in Thailand. We therefore believe in the organization’s potential to connect Thailand with investors around the world. Through offering comprehensive financial solutions and an innovation platform for digital finance, th
e Bank is ready to support the BOI in various roadshow activities and develop new trade and investment cooperation, especially in target industries such as intelligent electronics and the digital economy
The HSBC report also points out that 18% of international businesses that do not currently operate in Thailand plan to expand into Thailand within the next two years, reflecting that Thailand remains a market that investors around the world are interested in and see as having potential. Being the investment center of the region.-
Source: Thai News Agency