Israel Hamas War the Widening Middle East Conflict

[webfact]

Investment in EEC drops more than 18%

By THE NATION

 

 

The number of firms registering in the Eastern Economic Corridor (EEC) from January-May this year dropped 13.35 per cent year on year to 2,731, Department of Business Development director general Vuttikrai Leewiraphan announced today.

 

Their total registered capital was Bt6.790 billion, down 18.32 per cent year on year.

 

The EEC covers Chachoengsao, Rayong and Chonburi.

 

The real estate sector tops the rankings of new EEC registrations with 443 firms and total registered capital of Bt1.413 billion, followed by the construction sector with 202 firms and total capital of Bt321 million, and real estate agents at 124 with registered capital of Bt369 million.

 

The current number of registered businesses in the EEC is 74,073 with total capital of Bt1.959 billion. Of these, 54,357 are in Chonburi, 13,909 in Rayong and 5,807 in Chachoengsao.

 

Foreign investment in EEC firms has reached Bt788.156 billion, representing 40.22 per cent of total investment in the corridor. Foreigners can take a maximum 49.9 per cent stake in Thai companies.

 

Japan tops the EEC foreign investment rankings at Bt379.135 billion, followed by China at Bt83.767 billion and Singapore at Bt43.235 billion.

 

Soure: https://www.nationthailand.com/business/30390369

 

-- © Copyright The Nation Thailand 2020-06-29

 

- Whatever you're going through, the Samaritans are here for you

- Follow Thaivisa on LINE for breaking COVID-19 updates

[Forza2002]

The registered capital looks very low for some sectors, especially Construction. If the numbers printed in the Nation are correct then the average registered capital for the 202 Const. registered firms is only 1.59 million baht, I thought by law in Thailand a company has to have a minimum of 2 million?

 

The Real Estate sector is a paltry 3.19 million baht average which emphasizes the fact that all the projects are built using 'home owners' deposits/down payments, with little risk to the developer who just walk away with minimal investment if/when the s$it hits the fan.

Edited June 29, 2020 by Forza2002

[Cake Monster]

4 hours ago, Forza2002 said:

The registered capital looks very low for some sectors, especially Construction. If the numbers printed in the Nation are correct then the average registered capital for the 202 Const. registered firms is only 1.59 million baht, I thought by law in Thailand a company has to have a minimum of 2 million?

 

The Real Estate sector is a paltry 3.19 million baht average which emphasizes the fact that all the projects are built using 'home owners' deposits/down payments, with little risk to the developer who just walk away with minimal investment if/when the s$it hits the fan.

And with the Banks starting to reign in their lending, there is going to be little or no future Capital Investment in the EEC, at least for the near future..

The BOT are now asking the Banks to look closely at there Loans to Asset ratios on their books, and there is an ever growing concern about the Household Debt level and the increasing NPL rate.

It was an appalling Loan to Asset Ratio in 1997 that caused that crash, not that there will be another.

[DrTuner]

Good. It's already apparent the infrastructure won't be able to support it. Current drought has shown that the water storage capacity in the eastern seaboard isn't anywhere near where it shoud be to support large scale industries. Scale it down and kick the Chinese back to China.

Edited June 29, 2020 by DrTuner

[Cake Monster]

+1 on the Water storage Capacity for the EEC.

I have been banging on about this for a long time now, and with all the recent Rains, there has been very little capture, and its all gone to run off.

There are an abundance of new Roads though.

[hotchilli]

A perfect storm brewing...