The period for remitting minimum capital into Thailand for foreign business operators subject to privileges under treaties and trade agreements has recently been further relaxed by Thailand’s Ministry of Commerce. On 28 August 2019, three Ministerial Regulations were replaced by a new single regulation covering their remittance requirements: the Ministerial Regulation prescribing the Minimum Capital and Period for Bringing or Remitting the Minimum Capital into Thailand B.E. 2562 (2019).
Under the new regulation, foreign business operators which enjoy privileges under treaties or trade agreements will be able to delay remittances of their required minimum capital into Thailand until 29 August 2029. This new timeframe applies to both newly established businesses as well as those which have already commenced operations before the new regulation took effect and have not yet remitted their minimum capital into Thailand.
Other capital funding requirements remain unchanged, and operators of foreign businesses should keep the following in mind:
- Submitting evidence to the Department of Business Development within 15 days after remitting minimum capital into Thailand;
- For foreign business operators engaged in any “restricted business” (i.e., businesses that are set out in the lists annexed to the Foreign Business Act B.E. 2542 (1999) (“FBA”)), the minimum capital remains set at (i) 25% of the restricted business’s annual average estimated expenses for three years; or (ii) THB 3 Million (whichever is higher);
- For foreign business operators engaged in any “non-restricted business” (i.e., those businesses not set out in the lists annexed to the FBA), the minimum capital remains set at THB 2 million.