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Thai Senator Floats Full Foreign Ownership To Tackle Nominee

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Thai Senator Floats Full Foreign Ownership To Tackle Nominee Businesses

Senator Prathum Wongsawat has proposed allowing foreigners to own 100% of businesses they fully finance, arguing that current rules encourage nominee structures. She told the Senate that the 49% foreign ownership ceiling can push investors who provide all the capital to seek Thai nominees or other workarounds to retain control. Prathum said those arrangements can contribute to grey capital, tax avoidance, fake identities and opportunities for corrupt officials to demand illicit payments. Her proposal would make legal ownership correspond directly to the proportion of money invested, potentially converting questionable nominee-backed ventures into transparent foreign-owned companies. She also suggested establishing investment thresholds that could allow qualifying foreigners to obtain residency or even Thai citizenship under clearer rules.

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