The Board of Investment is convinced that Japanese investors will continue to flourish their investment in Thailand as they have remained confident in the country, says Hirunya Suchinai, the BOI secretary-general, at the “Bangkok Nikkei Forum”.
The forum aimed at discussing about “Asia’s New Era of Opportunity and Cooperation – Thailand as the New Asian Business Hub.” According to the Board of Investment, Japanese is ranked among the top investors in terms of project value, applying for the privileges over the past decade.
Japanese investors in Thailand, presently, not only focus on heavy industries, including electrical products or automotive, but also on highly advanced technology and research and development, in line with the new policy of BOI, focusing on attracting more foreign investment in high-tech industries.
Looking back, Japanese investment in Thailand received BOI support that valued at 100 billion yen, for metal and machinery production and service sector. In fact in the last five months, the Board of Investment approved tax support to 121 Japanese projects that is worth Baht 20.85 billion or 62.55 billion yen.
However, the BOI is revising their regulations so as to rise the tax-waiver period on corporate income from 8 years to 13 years. Also, the members are working out to decide the projects that will be granted the new privileges. However, the BOI has received incentive applications for the foreign investment that is worth Baht 300 billon in the first 6 months, when compared with the whole-year target of Baht 450 billion.
Somkid Jatusripitak, the Deputy Prime Minister, said in his speech that the Future Fund worth of Thailand is about Baht 100 billion and was expected to be put before the Cabinet in the next two weeks. To this he further mentioned that the government has undertaken moves to make the country fundamentally stronger, including improving the country’s competitiveness and reducing its economic inequality.
Speaking more about Thailand, the executive vice president of Sony Corporation, exclaimed that the country’s strength lies in its skilled management plus its connectivity with ASEAN, along with attractive BOI incentives. Additionally, he mentioned that it is possible that in the medium to long term the country can become his company’s research and development hub.
