39 foreign firms get the nod in July

Economy July 18, 2014 00:00

By Petchanet Pratruangkrai
The N

Nearly half are new to kingdom: govt

Thirty-nine foreign companies have received approval under the Foreign Business Act to set up operations this month – creating at least Bt5.67 billion in initial investment capital as Thailand’s economy shines, according to the Business Development Department.
“More investment has flowed into Thailand because of the stable politics. Thailand will be seen as an investment destination with a safe future,” the department’s director-general Pongpun Gearaviriyapun said.
She said that among the approved firms, 15 were newcomers to Thailand, showing that more new foreign businesses would like to engage with Thailand.
The department’s report showed that approvals were up 11 per cent and initial investment was up 431 per cent in July compared with June.
Approvals for July were up 50 per cent year on year and initial investment capital rose 475 per cent.
The new operations are expected to create mote than 500 new jobs.
The significant rise in initial investment capital was due to one of the approved firms doing commercial banking business, which needs high reserves and investment value.
The first seven months to date have seen 225 approvals, up 10 per cent year on year, with initial capital of Bt13.04 billion, an increase of 13 per cent over the same period last year.
Last month, the most popular businesses were subsidiary companies, those getting contracts from government agencies or state-owned enterprises, agencies, wholesaling and retailing. 
Subsidiary companies attracted Bt4.6 billion from Japan, Singapore, China, Malaysia, Australia, and the Netherlands.