Developing an activity in Thailand
Why Invest in Thailand ?
For many years, Thailand was first in class in a region marred by wars and authoritarian regimes. In the past fifteen years, however, its neighbours have opened up their economy. Facing stiffer competition, Thailand retains solid assets and Bangkok remains the regional hub for many foreign companies operating in the area.
Aspects to monitor when investing in Thailand
Foreign investments in Thailand nowadays need greater levels of protection. In addition to the recent terrorist attacks in Bangkok, the country is in the midst of a longstanding political deadlock. For the last ten years, the stand-off between the “Red Shirts” and the “Yellow Shirts” has darkened the economic outlook. The Red Shirts of the Pheu Thai party enjoy massive support among the rural population in the north and eastern part of the country; the Yellow Shirts represent the upper and middle class from Bangkok and the south and are very much pro-monarchy (yellow is the colour of the monarchy). With the uncertainty as to who will succeed the king as backdrop, the political instability was again on display when the then Prime Minister, Ms Yingluck Shinawatra, was removed from office in 2014. The country has since been ruled by a caretaker government led by the former chief of staff of the armed forces.
The current situation should call for prudence. Existing projects and investments should be carefully considered in light of the existing risk level, which must be thoroughly assessed. In this context, IAS8 can provide bespoke solutions in light of the current situation.