FDI Pledges to Thailand in 1Q24 Skyrocket by 130%

Investment pledges to Thailand were up 31% in the first quarter of this year when compared to the same period a year earlier, the Board of Investment said Thursday.

The total value of investment applications rose to 228 billion baht ($6.2 billion) in the three months ending in March, it said, with more than half coming from foreign investors.

Mr. Narit Therdsteerasukdi, Secretary General of BOI, stated that the investment outlook in Thailand was in a positive direction and continuously growing, while investment promotion in the first quarter of the year improved in every area, reflecting Thailand’s investment potential and leading to a surge in investor confidence.

The top five industrial groups with the highest investment value included electronics and electrical appliances (THB 77.19 billion), automotives and components (THB 21.32 billion), petrochemicals and chemicals (THB 17.67 billion), digital (THB 17.49 billion), and agriculture and food processing (THB 13.27 billion).

Foreign Direct Investment (FDI) continued to expand, as there were 460 projects applying the pledges, an increase of 130% year-on-year, with an investment value of THB 169.32 billion, an increase of 16% year-on-year. The top five countries/economic areas with the highest value were Singapore (THB 42.53 billion), China (THB 34.67 billion), Hong Kong (THB 26.57 billion), Taiwan (THB 19.96 billion), and Australia (THB 17.24 billion).

In the first quarter of 2024, BOI had approved 785 projects, with a total value of THB 254.92 billion, an increase of 6% year-on-year. The projects were expected to benefit Thailand by increasing export value to over THB 600 billion per year, utilizing domestic materials by THB 240 billion per year (approximately 50% of the total value), and creating nearly 50,000 jobs for Thai people.

Mr. Narit added that this moment was an opportunity for Thailand to attract investment from new target industries to lay the foundation for the Thai economy in the long run, as it held the potential to be the investment center of the region.