BANGKOK- Thailand’s investment applications rose 42 percent in the January-September period from the same period a year earlier, led by electronic manufacturing and data center projects, the Board of Investment said on Monday.
The value of investment applications rose to 723 billion baht ($21.8 billion) during the period, the highest in 10 years, it said, with the majority coming from foreign investors.
Foreign investment applications increased 38 percent from a year earlier to 547 billion baht ($16.5 billion), with Singapore and China the top two investors, the BOI said in a statement.
“Thailand’s robust digital infrastructure, clean energy resources, and strong government support are providing the right environment for data center and advanced technology investment, including wafer manufacturing,” it said.
Thailand’s economy could grow by 3 percent this year and by more than that in 2025, driven by the government’s stimulus measures to be introduced from late this year to maintain growth momentum, a deputy finance minister said.
“This year, we still hope to get 3 percent growth, even though the latest forecast is 2.7 percent, but next year will definitely be more than 3 percent,” Julapun Amornvivat told reporters.
His comments came days after the central bank unexpectedly cut its key interest rate by 25 basis points to 2.25 percent, following repeated calls by the government to reduce borrowing costs to help growth.
The first rate reduction since 2020 is putting pressure on the government to boost Southeast Asia’s second-largest economy, which expanded 2.3 percent year-on-year in the second quarter. Last year’s growth was just 1.9 percent.
Julapun said the government expected to meet to discuss economic measures by early next month, which would include tax breaks for flood-hit tourism areas and measures to stimulate consumption.
The second phase of the government’s signature “digital wallet” stimulus programme would move ahead, he added.
In late September, the government rolled out the first phase of the flagship $14 billion stimulus handout scheme, which aims to deliver 10,000 baht ($302) each to around 45 million people.
The economy will also be supported by foreign investment and accelerated government budget disbursement, Julapun said.
