Latest news with #PichaiChunhavajira
Arabian Post
27-05-2025
- Business
- Arabian Post
Thailand Unveils Crypto Payment Pilot for Tourists in Phuket
Thailand has initiated a pilot programme enabling foreign tourists to make purchases using cryptocurrencies in Phuket, marking a significant step in integrating digital assets into the nation's tourism sector. The initiative, announced by Deputy Prime Minister and Finance Minister Pichai Chunhavajira, allows visitors to register their Bitcoin through Thai exchanges and verify their identities before transacting. A designated clearinghouse will convert these digital payments into Thai baht, ensuring that local merchants receive funds in the national currency and are insulated from cryptocurrency price volatility. This pilot operates within Thailand's existing legal frameworks, requiring no amendments to current laws. The government aims to enhance convenience for tourists and expand business opportunities in the tourism sector, a critical driver of the nation's economy. Phuket, attracting up to 14 million tourists annually, serves as an ideal location for this trial. The programme builds upon Thailand's growing acceptance of cryptocurrency. In Kalasin's Huay Phueng district, dubbed 'Bitcoin Town,' over 80 businesses, including noodle vendors and tuk-tuk services, accept Bitcoin payments. This grassroots adoption demonstrates the potential for broader cryptocurrency integration across the country. ADVERTISEMENT Former Prime Minister Thaksin Shinawatra has advocated for using Phuket as a 'Bitcoin sandbox' for tourism, suggesting that Thailand is well-prepared to advance cryptocurrency initiatives compared to other Southeast Asian nations. He also proposed the issuance of a government-guaranteed stablecoin to increase economic liquidity and potentially boost GDP growth. Despite these advancements, challenges remain. The Bank of Thailand has previously expressed concerns about the use of cryptocurrencies for payments, citing potential threats to financial stability. However, proponents argue that a carefully controlled pilot could attract new capital inflows and liquidity into Thailand's economy.
Bloomberg
27-05-2025
- Business
- Bloomberg
Thailand Upbeat About US Tariff Deal After Bessent Lauds Offers
Thailand expects a favorable outcome from talks with the Trump administration to avert the threat of a 36% tariff, after the Southeast Asian nation submitted a range of proposals to boost imports and allow greater market access for US goods. US Treasury Secretary Scott Bessent's mention of Thailand on Tuesday as one of the countries whose proposals were being considered is a positive signal, Thai Finance Minister Pichai Chunhavajira told reporters on Wednesday.
The Star
27-05-2025
- Business
- The Star
Thai DPM Pichai courts global funds to reignite stock market, eyes investment reforms
BANGKOK: Deputy Prime Minister and Finance Minister Pichai Chunhavajira (pic) revealed that the Thai government is in talks with major international investment funds to attract more capital into the Thai stock market, particularly as the SET Index lingers at the 1,100–1,200 level, which he said is increasingly appealing to investors. Speaking during a keynote address at the Daily News Talk 2025 seminar, themed 'The Charm of Thai Stocks: Driving the Economy,' Pichai noted that large institutional investors, many of whom have historically allocated significant portfolios to Thailand, have shifted more capital overseas in recent years. However, these funds still maintain investments worth hundreds of billions of baht in Thailand—mainly in government bonds. Although returns from foreign investments have been solid, recent volatility in global markets has prompted investors to reassess. Pichai said investors are starting to see that Thai stocks have declined significantly, and are re-evaluating asset allocations and regulatory conditions that could support a return to Thai equities. Pichai assured that the government is prepared to revise regulations to make the Thai capital market more attractive. This includes restoring investor confidence and reforming capital market laws, such as the soon-to-be-enforced Securities Oversight Act, which will impose civil and criminal penalties for naked short selling. These legal changes, he said, are part of broader efforts to strengthen the Thai economy and position it for long-term growth, while large corporations have suggested aligning structural reforms with global trends, such as green economy and ESG practices. 'I have spoken with several funds about new investment policies. With the Thai stock index at this level, many see an opportunity. Thai equities still have appeal, especially for those who understand the fundamentals,' Pichai said. 'Thailand is viewed as a safe haven—but most investors are in a 'wait-and-see' mode. They have not left; they are watching what we do next.' When asked about the relatively slow shift from long-term equity funds (LTFs) to the new Thai ESGX funds, Pichai acknowledged that investors are still highly liquid and likely weighing the right timing for reallocation. On the strong baht, Phichai attributed the currency's rise to recent capital inflows, though he cautioned that much of it may be short-term investment in bonds, rather than equities, which are more sensitive to economic sentiment and structural reforms. 'Bond investments offer immediate returns and safety, unlike equities which require more confidence in Thailand's short- and long-term economic strategy,' he explained, adding that fund allocations could shift to equities once economic conditions improve. Regarding broader investment incentives, Pichai noted that foreign investors are showing increasing interest in relocating production to Thailand. The government is working to support domestic manufacturing and employment, while upgrading workforce training—with a particular focus on linking labor to research sectors. On land use reform, the government is currently amending laws to allow long-term leases of state land for up to 99 years—returning ownership to the state at term's end—rather than requiring investors to buy land through the BOI (Board of Investment). These efforts will be paired with enhanced access to utilities such as water and electricity. On the use of cryptocurrency for retail payments, Pichai clarified that the discussion focuses on enabling crypto transactions via credit cards accepted by merchants—not tied to domestic currency. This model is under consideration by the Bank of Thailand, referencing global practices in crypto-based payment systems. - The Nation/ANN
The Star
26-05-2025
- Business
- The Star
Thailand eyes swift tariff deal with US, signalling aircraft purchases
Thailand has experienced growing shortages of oil and natural gas, relying on imports for over half its energy needs. This presents an opportunity to import from the US if competitive prices are offered. - Bloomberg BANGKOK: Thailand's Finance Minister, Pichai Chunhavajira, anticipates a resolution on the country's tariff negotiations with the United States within the next fortnight. Pichai indicated a readiness for further discussions, following continuous engagement at the working group level, and hinted that Thailand's proposal might include purchasing new aircraft from the US as part of a significant plan to replace 100 existing planes. Speaking as the head of the Thai-US tariff negotiation team, Pichai told Krungthep Turakij that clarity on US customs tariffs for Thailand is expected within "one to two weeks" from now. This follows Thailand's submission of a formal proposal to the US, which has led to ongoing working-level discussions. Official negotiations are likely to follow, with Thailand comprehensively prepared to ensure its offer receives serious consideration. "Overall, due to negotiation constraints and available time, the US may not need to rush negotiations with Thailand as much as with other economically significant trading partners like Japan, South Korea, Europe, or rapidly growing economies such as Vietnam and Indonesia," Pichai stated. "However, at the working group level, we have been in constant discussion and are ready to travel for further negotiations if requested by the US." Regarding the current progress, Pichai explained that initial discussions involved clarifying the situation directly with relevant US agencies. This aimed to convey that Thailand's trade surplus with the US is not unusual, partly a result of investments by US companies in Thailand that produce and export goods back to the US, alongside other factors influencing the trade balance. Furthermore, he clarified that Thailand is actively improving internal regulations to prevent potential loopholes. This involves reviewing and adjusting rules related to "Local Content"—the proportion of domestically produced raw materials and parts—and implementing more stringent measures to prevent fraudulent export claims. Thailand has also signalled its readiness to increase purchases of goods from the US, particularly items where Thailand faces shortages and the US offers competitive prices. This includes agricultural products, with the minister confirming discussions with Thai producers regarding increased demand. Concurrently, over the past decade, Thailand has experienced growing shortages of oil and natural gas, relying on imports for over half its energy needs. This presents an opportunity to import from the US if competitive prices are offered. Crucially, Thailand plans to acquire over 100 new aircraft to modernise its ageing fleet, which could form a significant part of a purchasing agreement with US suppliers. Regarding investment, Thailand is actively promoting mutual investment. This involves encouraging Thai companies to invest in US industries prioritised by Washington, and conversely, inviting increased US investment in Thailand, particularly in jointly desired sectors such as energy. - The Nation/ANN
Yahoo
20-05-2025
- Business
- Yahoo
Thailand says wants fair trading relationship with U.S
BANGKOK (Reuters) -Thailand is committed to creating a fair relationship in trade and investment with the United States, the finance minister said on Tuesday as the Southeast Asian nation seeks talks with Washington to head off threatened tariffs. Thailand faces a 36% U.S. tariff if a reduction can't be negotiated before a moratorium expires in July. The U.S. has set a 10% tariff for most nations while the moratorium is in place. More collaboration was expected in the energy sector, Pichai Chunhavajira told a Thai-U.S. investment forum, with Thailand keen for partners in green energy and interested in working with U.S. biotech, food processing, and wellness companies. Thailand has submitted a proposal to Washington that aims to address the trade imbalance, including by enhancing market access for U.S. exports, tackling transshipment violations, and Thai investment that would create U.S. jobs, he said. "On enforcing anti-circumvention, these policies are being translated to action now," Pichai said, referring to goods from other countries being shipped as if they originated from Thailand. He estimated the measures could cut the U.S. deficit by up to $15 billion, but he did not say by when this would happen. "I am positive that we have a strong set of practical and viable proposals that can effectively lead to win-win results," he said. The United States was Thailand's largest export market last year, accounting for 18.3% of total shipments worth $55 billion. Washington has put its trade deficit with Thailand at $45.6 billion.
