The Commerce Ministry plans to simplify business registration by removing 10 service businesses from List 3 of the Foreign Business Act, aiming to increase investment in the country.
Auramon Supthaweethum, director-general of the Department of Business Development, said the ministry reviewed service businesses on List 3 to keep pace with changing economic conditions.
On April 22, the cabinet approved an urgent amendment of the Foreign Business Act of 1999 to remove business barriers and enhance Thai competitiveness. The department plans to address shareholding limits and business types, while engaging with relevant private sector stakeholders, said Ms Auramon.
She said this review will focus on four areas: activities governed by specific laws and agencies, those that align with government initiatives, services exclusively for affiliated groups, and concession-specific services.
Ms Auramon said the proposal is awaiting cabinet approval, and is expected to improve the investment landscape and support foreign business operations.
The 10 service businesses cover a variety of sectors, including: telecom services for operators lacking their own telecom networks; treasury centre services regulated by the Exchange Control Act; lending services with collateral regulated by the Securities and Exchange Law and the Derivatives Act; agents, advisors or fund managers in futures trading regulated by the Derivatives Act; and agricultural commodities trading in the futures market.
Moreover, the scope extends to software development, which supports the government's new S-curve industries initiative; administrative services such as human resources and IT management for affiliated groups; credit guarantee services offered within affiliates; leasing space for financial services equipment and employee vending machines; and petroleum drilling services.
Many startups depend on funding from both local and foreign investors, which may lead to a decrease in Thai ownership as foreign investment grows, she said.