Foreign Business Act: Four businesses to be removed from FBA Annex III

[webfact]

FOREIGN BUSINESS ACT
Four businesses to be removed from FBA Annex III
Petchanet Pratruangkrai
The Nation

BANGKOK: -- To attract more foreign investors, the Commerce Ministry will remove four businesses - banking, bank branches, life insurance and non-life insurance - from the Annex III list of the Foreign Business Act (FBA) by the end of the year.

Pongpun Gearaviriyapun, director-general of the ministry's Business Development Department, said those businesses were set to be liberalised soon as they are already strictly regulated by specific agencies and governed by a special set of laws and regulations.

The Cabinet has approved the proposal and the Council of State is considering it.

After the new regulations are ratified, foreign investors wanting a share larger than 50 per cent of the four businesses will not need to ask for the FBA Committee's approval.

It is hoped the move reduces duplicate procedures and saves time for enterprises.

"In the near future, foreigners interested in doing those businesses will not have to obtain a permit from the Foreign Business Committee. They can seek operating licences from the Bank of Thailand and the Office of the Insurance Commission. However, related businesses such as leasing, in-house lending and consulting services will still require permits from the committee," Pongpun explained.

Other businesses related to banking and insurance and trading of agriculture products in the futures market listed in Annex III will also be considered for liberalisation in the future.

The department reported yesterday that it gave approval to 336 foreign companies to set up operations worth a total of Bt13 billion under the FBA in the first 10 months of this year. This was down by 5 per cent in volume and 78 per cent in initial investment capital, as many commercial banks and financial institutions invested a lot in Thailand during the same period last year.

This month alone, 27 companies were approved under the FBA, bringing in initial investment capital valued at Bt1.18 billion.

Pongpun said the November approvals would create at least 287 new jobs.

The department said permitting these companies to conduct service businesses in Thailand would encourage technology transfer and create jobs.

Most of the companies approved this month are subsidiaries and trading businesses, contracted firms to state-owned enterprises, retail firms and consultancies.

The investors mostly hail from Japan, Singapore, Hong Kong, France, Australia and Switzerland.

Source: http://www.nationmultimedia.com/business/Four-businesses-to-be-removed-from-FBA-Annex-III-30272647.html


-- The Nation 2015-11-11

[useronthenet]

As a foreigner, you have to be very brave indeed to do business in Thailand, especially where legislation so conveniently changes at a drop of a hat.

[NCFC]

Exactly.

[apetley]

"........it gave approval to 336 foreign companies to set up operations worth a total of Bt13 billion under the FBA in the first 10 months of this year. This was down by 5 per cent in volume and 78 per cent in initial investment capital"

78% seems a huge fall over the previous year or am I missing something?

[toybits]

Perhaps, no Thai-owned insurance company wants to play -so they are inviting foreign owned insurance companies to fill in the gap?

[frankylove]

don't invest money in thailand that your not prepared to lose!

[BestBitterPhuket]

All liberalization of the economy is good. Thailand needs more of this.

[TPI]

Don't do it! Look at the damage that international banks have done to the world economy!! Australia, the US, the UK and europe in general. Iceland is the only coluntry to have come to the "correct" solution, ban international banks and jail the bank executives.....really!!! Hooray for Iceland!

[Thai at Heart]

This will put the cat among some extremely pooyai pooyai.

[Srikcir]

Four businesses removed from the Annex III list of the FBA.

How about removing the entire Annex III list? Then real you're talking free enterprise. In fact if Thailand joins TPP, it may force more businesses to be removed from the FBA.

[Thai at Heart]

Four businesses removed from the Annex III list of the FBA.

How about removing the entire Annex III list? Then real you're talking free enterprise. In fact if Thailand joins TPP, it may force more businesses to be removed from the FBA.

The yellows would have a fit if they did that.

[NCC1701A]

'life insurance and non-life insurance - from the Annex III list of the Foreign Business Act (FBA) by the end of the year."

you mean like auto insurance?

"how long have you had a drivers license?"

"no have"

"commercial license for your mini van?"

"no have"

"permit for your business to transport passengers?"

"no have"

"you ever have any accidents?"

"yes, but run away, so ok."

[MartinBangkok]

Doing business in Thailand is ok. Just pay the corrupt police, the corrupt government agencies, the corrupt beaurocrats, the local mafia and the local corrupt munks and you will make tons of money.