30-04-2025
- Business
- New Straits Times
Thailand's Q1 investment applications surge 97pct to over RM55bil
BANGKOK: Thailand attracted investment applications worth 431.20 billion baht (RM55.60 billion) in the first quarter (1Q) of 2025, up by 97 per cent compared to the same period in 2024, according to the Thailand Board of Investment (BOI).
BOI secretary-general Narit Therdsteerasukdi attributed the increase to large infrastructure projects, including a fivefold surge in applications in the digital sector, driven primarily by foreign investments in data centres.
"The data for the first three months of 2025 further confirms the trend observed last year when data centres and digital services became, for the first time, the top-ranked sector in terms of investment value," he said in a statement today.
Narit noted that domestic and foreign investors submitted a total of 822 project applications during the January–March period, marking a 20 per cent increase from 1Q 2024. Of these, 618 applications were from foreign investors.
"This underscores the increased focus by both foreign and local companies on high-tech investments in Thailand, aligning with our five-year strategy. It also reflects investors' confidence in Thailand's long-term economic potential despite current global uncertainties," he said.
According to BOI records, foreign direct investment (FDI) applications during the January–March period amounted to 267.70 billion baht (RM34.50 billion), representing a 62 per cent jump from a year earlier.
The BOI said Hong Kong-based companies topped the FDI rankings for the quarter, with a combined investment value of 135.16 billion baht (RM17.40 billion) or half of all FDI pledges during the period, including 72.70 billion baht (RM9.30 billion) in the digital sector alone.
China ranked second with 47.30 billion baht (RM6.10 billion), primarily investments in the metal, electronics, and automotive industries. Singapore followed with 38.10 billion baht (RM4.90 billion), focused on projects in the electrical and electronics (E&E) and digital sectors.
The agency added that Japan ranked fourth, with 25.10 billion baht (RM3.20 billion) largely invested in the E&E and automotive sectors, while Taiwan-based companies came in fifth with 4.76 billion baht (RM614.00 million), primarily in the E&E and automotive parts sectors.
Last year, Thailand's total investment promotion applications rose by 35 per cent in value to a 10-year high of 1.14 trillion baht (RM147.10 billion).
The digital sector, which includes data centres and cloud services, topped the sectoral rankings in 2024 for the first time, with a combined pledged investment of 243.30 billion baht (RM31.40 billion). The E&E sector followed closely with 231.70 billion baht (RM67.20 billion).
— BERNAMA
