Dr. Santitarn Sathirathai, Vice Minister for Finance, disclosed that on June 11, 2026, the Ministry of Finance held a joint discussion with the Stock Exchange of Thailand (SET) and the Federation of Thai Capital Market Organizations (FETCO). All parties shared the perspective on the current circumstances, noting that this juncture is critical for Thailand amidst global changes.
Currently, foreign investors are searching for safe havens and economies with strong positioning, and capital flows are increasingly focusing on ASEAN, with Thailand regaining particular attention. Therefore, the government and capital market participants must join hands and collaborate in various dimensions. The recent meeting featured valuable proposals from all sides and presents an opportunity to deepen this collaborative effort.
Regarding key shared objectives, economic and capital market growth were highlighted. Thailand needs a clear growth narrative or “Growth Story” to help investors understand what distinguishes Thai economic growth. The most prominent current policy is the ‘5T Strategy’ by Deputy Prime Minister and Minister of Finance, Mr. Ekniti Nitithanprapas, which aims to take advantage of the global energy crisis and foster green industries within Thailand.
Investment clarity is expected to increase further, as Thailand begins to create a new narrative at a time when many countries still face uncertainty in economic direction. As some nations remain preoccupied with budgetary measures to offset oil prices and manage fiscal issues, Thailand has demonstrated agility and the ability to adapt, thus offering a compelling new Growth Story that immediately attracts investor interest.
The realization of Thailand’s Growth Story, particularly in terms of real investment, is reflected in improving GDP figures and increased investment promotion from the Board of Investment (BOI). Additionally, there has been a growing capital inflow from financial investors into Thai capital markets. This year, Thailand is also in the spotlight as it hosts the IMF–World Bank Group Annual Meetings, which presents a further opportunity to amplify these efforts.
On the question of whether the twin deficits would hinder economic development, the Thai government stated that the current deficit is temporary, with all relevant agencies monitoring the situation closely. While the situation warrants awareness, there is no cause for alarm since Thailand needs to import a substantial volume of oil and maintain strategic reserves for national security. Paired with increasing domestic investment, these are positive signs.
Conversely, running persistently high current account surpluses should not be a source of comfort, as it could indicate a lack of investment, which in turn would strengthen the baht and undermine the Thai industry’s competitiveness on the world stage. It is therefore vital to consider these factors in maintaining balance. For now, the occurrence of the twin deficits is not a prolonged issue and remains manageable. Foreign investors do not appear concerned, as there has been no significant currency pressure; the Thai market maintains its stability.
Mr. Vinit Visessuvanapoom, Director-General of the Fiscal Policy Office (FPO), stated that the meeting with the Ministry of Finance, SET, and FETCO was a broad discussion on the direction of the capital market, aiming to generate movement across all economic dimensions. Several key conclusions were reached, particularly concerning crisis scenarios. The Thailand Individual Savings Account (TISA) project, focused on promoting investment demand, is just one component of a wider suite of market-boosting measures to be proposed to the Cabinet in the near future.
The discussion around TISA also served as an opportunity to gather additional feedback for future improvement, with a commitment to collaborative effort at every stage. It is expected that decisions regarding which elements to implement or advance, and in which order, will be made soon. TISA will focus on two main dimensions: channeling capital inflows to strengthen the capital market and managing fiscal space while providing tax benefits to payers, with all aspects currently under review. Even though over 80% of operational guidelines have been agreed upon, several details remain to be settled.
Mr. Paiboon Nalinthrangkurn, Chairman of FETCO, stated that the direction for the Thai economy and capital markets will shift from solely stock market stimulus measures for the short-term, towards preparing for the country’s next major investment cycle without creating future fiscal burdens. Thailand’s current level of public debt is relatively high, necessitating a transition from reliance on state borrowing to maximizing capital market resources. The Thai capital market is well-equipped in terms of liquidity and foundational strength.
FETCO’s cooperation with the government covers several key areas, particularly a joint push for infrastructure funds, aiming to design mechanisms that effectively support national development objectives. Progress is expected to become evident soon, with more concrete collaborative projects in the pipeline.
The capital market has also been active in upgrading its corporate governance standards and regulatory infrastructure, paving the way for large future capital inflows and sustainable economic growth. This forward-looking approach is intended to lay long-term foundations for Thailand’s economic system.
