Foreign investment in Thailand is regulated by a range of legislation, official policies and Thai participation requirements. In particular, the Foreign Business Act of 1999 (FBA) provides that companies with 50% or more foreign ownership are not permitted to engage in a wide range of business activities, unless holding a foreign business license (which, in practice, can be difficult to obtain). Severe penalties apply to violating the FBA or using nominee shareholdings to evade its restrictions. Investment incentives offered by the Board of Investment and Industrial Estates Authority of Thailand aim meanwhile at promoting Thailand’s economic and industrial development, and those organizations can grant relief from restrictions imposed under the FBA and other laws. Treaties and free trade agreements can also provide exceptions to those restrictions.
We possess an in-depth knowledge of both the legal and practical requirements for clients to invest in Thailand, obtaining licenses where required, seeking protection where necessary or beneficial under any applicable treaty or international agreement, and obtaining incentives and privileges where available. We have the contacts and the knowledge that translate into valued added results for our clients.
For more information on Investment Related Laws please click here to go to the Knowledge section of our website.