Written by John LeFevre

Foreigners wishing to establish businesses in Thailand will find things a little easier starting next year with a raft of amendments set to be implemented making investment in the kingdom much easier.

The Thailand Commerce Ministry is set to amend the restricted sectors listed in Annexes I, II and III in the Foreign Business Act (FBA) with the aim being to attract more inbound investments and ease the process for business establishment.

Commerce Minister Chaiya Sasomsop said last week that he would establish a committee to consider the FBA amendments which are being implemented to reassure foreign investors against the chronic political problems plaguing Thailand.

However the amendments will not be applied to all sectors since there are “major concerns for low competitiveness in particular industries,” he said.

The plan will be spearheaded by means of revising the business types and allowing investors in business areas where it is considered Thais can compete with foreign companies.

“The ministry will also hold discussions with other agencies to ensure that these amendments will create fair conditions for both Thai and foreign businessmen,” said Chaiya.

The ministry said the definition of “foreign investors” will remain unchanged as to “who can hold no more than 50 per cent of the shares in firms in business listed in Annexes I to III.”

According to Chaiya, the amendment of the Act is expected to be completed by the end of this year and able to be put into effect next year.

Full details of the news can be viewed at www.nationmultimedia.com/2008/08/25/business/business_30081332.php