New corporate registrations are expected to reach 83,000-90,000 this year, boosted by the increase in foreign tourists and the Thai economic recovery, outstripping an earlier projection of 75,000-78,000, according to the Commerce Ministry's Business Development Department.
Thosapone Dansuputra, director-general of the department, said his department previously estimated that the number of new business registrations in the first half of this year would be 42,000-45,000, but the actual number increased to 47,286.
He said that given the positive growth trend, the department has now adjusted its estimate, with the number of new corporate registrations in the second half of the year projected at 36,000-43,000, raising the total number for the entire year to around 83,000-90,000, up from 76,488 registered in 2022.
The department reported on Thursday that for the first half of the year (January-June), the number of new business registrations increased by 17.3% to 47,286 compared with the same period in the previous year, marking the highest level over the past 10 years. Registered capital amounted to roughly 429 billion baht, representing a 53% increase.
The top three sectors with the highest number of new registrations were general building construction, real estate, and the hotel/restaurant business.
In contrast, there were 7,097 business closures during the same period, representing an 18% increase compared to the previous year, and a 15% decrease in registered capital, which amounted to 49.6 billion baht. The top three industries with the highest number of business closures were also general building construction, real estate, and the hotel/restaurant business.
According to Mr Thosapone, June 2023 generated the highest number of new business registrations over the past 10 years (running from June 2014 to 2023), marking six consecutive months of growth.
"If we consider the period from January to June, the total of 47,286 new business registrations was also the highest level seen in the past 10 years. The economic recovery and resurgence of the tourism sector contributed to this growth," he said. He added that the 53% increase in registered capital for the six-month period was mainly due to mergers of telecommunication and insurance businesses in March, as well as the transformation of some businesses into public companies in the holding company sector and hotel industry during that period.
Nevertheless, tourism-related businesses rose by 81.2% in the first half of the year, accounting for 7.99% of all newly registered firms. Additionally, foreign currency exchange businesses saw a 257% increase, likely due to the surge in international travel. Furthermore, wholesale rice and cereal trading businesses increased by 254%, driven by the government's bio-, circular and green policy, which promotes sustainable rice production.