Thailand Approves 23 Projects Worth $2.36 Billion

[Jacob Maslow]

Thailand’s investment agency has announced the approval of 23 projects with a value of 77.23 billion baht. Energy and aviation are the majority of projects.

Thailand’s investment agency announced the approval of 23 projects. A total value of 77.23 billion baht, the projects are mostly in renewable energy and aviation.

Reports indicate that the investments are an attempt to revive the struggling economy. Major projects taking place this year also include a major railway overhaul and opening Wi-Fi hotspots in over 130,000 locations.

Asia’s second-largest economy, Thailand has finally eliminated the backlog of pending investment applications that grew due to government protests. The agency plans to accelerate the approval process in hopes of encouraging private investments to flow into the country.

Nearly half of all the approved investments deal with the energy sector. Renewable power plants account for 30.92 billion baht with 11 approvals by the agency. Aviation is the next biggest industry granted project approval with 8 projects approved for a total of 34.88 billion baht. Aviation projects include the leasing of jets, stated the Board of Investment.

Thai Lion Mentari Co Ltd, owners of Thai Lion Air, will lease 17.03 billion baht in investments for 14 Boeing jets. Thai AirAsia X Co Ltd will receive 9 billion baht, which the company will use to fulfill a lease agreement with France for planes.

Industries that focus on research and development are also provided a major boost under new BOI policies. These companies, along with electronics and aircraft manufacturing, will be able to claim tax exemptions for 8 years.

Additional applications can also be submitted to receive promotions on current investments. Companies that invest in R&D are the main target of these extended promotions.

Investment applications in 2014 totaled 2.19 trillion baht. The majority of applications, some 1.32 trillion baht, were applied for in December.

Project approval is on the rise in Thailand with hopes to rejuvenate Asia’s second-largest economy and bolster economy-boosting industries.

-- 2015-02-12

[angiolo]

Sounds good...Where does the money come from ?

[Anthony5]

Asia’s second-largest economy, Thailand has finally eliminated the backlog of pending investment applications that grew due to government protests.

And for more propaganda we now switch to our reporter at the army HQ.

[rickirs]

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Sounds good...Where does the money come from ?

Private industry. The Junta doesn't invest in Thailand's economy. And that's a major complaint of the business sector - lack of capital for GDP growth:

2015-02-11

“The military has promised to unleash billions of dollars on much-needed infrastructure projects.

But the money is yet to kick into the economy. As Barclays Capital put it in a note last month: ‘The main impediment to growth at present is the slow pace of fiscal [government] spending, which is also delaying investment and consumption decisions."

And it’s not going to change:

2015-02-07

“Deputy Prime Minister M.R. Pridiyathorn Devakula stated Friday that the government will not be implementing a second round of economic stimulus package in light of indications that previous budgetary injections have made a significant impact on the country’s economy.”

There was never a first round.