HSBC

BOI and HSBC Thailand announce strategic partnership

to unlock FDI opportunities with a one-stop advisory

Bangkok, 12 June 2024 – Thailand Board of Investment (BOI) and HSBC Thailand today signed a memorandum of understanding (MoU) to promote Thailand as Southeast Asia’s investment hub and to help capture international FDI opportunities. Seeking to provide a one-stop advisory for investing in Thailand, the partnership will leverage HSBC’s international networks in 62 countries and territories, international experience, and innovative digital banking platforms to help foreign investors find greater opportunities to grow their business in Thailand.

Mr. Narit Therdsteerasukdi, Secretary General, BOI, said, “In 2023, we already saw foreign investors’ applications for investment promotion grow by 38%, with a 72% increase in combined investment value. With the readiness to be a regional production hub and regional headquarters, Thailand can capitalise on the opportunities offered by global companies’ plans to relocate to a resilient long-term base for their investment, particularly in innovative and sustainable industries. Strategic partnerships with the world’s largest banking and financial service institutions, such as HSBC, stand as a pivotal catalyst for our mission to enhance foreign direct investment inflows into Thailand.”

Tapping into HSBC’s intensive client network of leading corporate corporations worldwide and data-driven insights on Thailand’s investment landscape, the MoU aims to enhance Thailand’s competitiveness and business environment by providing specialized support for international business expansion. HSBC will also work to promote Thailand as ASEAN’s investment hub through international roadshows in key markets, such as Mainland China, Hong Kong, India, Saudi Arabia, ASEAN, Europe, and the United Kingdom.

“We are confident that HSBC’s International Connectivity can bridge Thailand with international corporates, many of which operate within our strategic sectors, including the EV supply chain, semiconductor and upstream electronics, digital, new energy, and international headquarters. We aim to collaborate with HSBC to leverage on business networks, insights, and innovation, making investment and trade in Thailand more seamless and inclusive for foreign investors expanding their ventures in Thailand.” stated Mr. Narit.

Mr. Giorgio Gamba, Chief Executive Officer, HSBC Thailand, added, “Thailand is an important market for international corporations. According to the HSBC Global Connections survey, 37% of the companies surveyed already have a presence in the Kingdom. Thailand’s skilled workforce is considered the most attractive feature, followed by the country’s growing digital economy and middle-income population. Thailand has been a major manufacturing hub in the region for many years, and it remains a critical component in many global supply chains. Thailand is already ASEAN’s largest auto producer, accounting for 50% of total production across all ASEAN countries, making it an attractive destination for large-scale investments from major economies in the region and beyond, particularly in Electronic Vehicles (EV).”

“As one of the world’s largest international banks with a footprint in 62 countries and territories as well as Thailand’s first commercial bank with 135 years of expertise, HSBC is well-positioned to connect Thailand to investors around the world by offering the most comprehensive financial solutions and innovative digital banking platforms. We look forward to supporting the BOI on investment roadshows and in developing new trade and investment corridors, particularly in smart electronics and digital economy.”

“Our survey also reported that 18% of multinational firms without current operations in Thailand intend to enter the Thai market in the next two years. It is evident that Thailand’s attractiveness as the region’s investment hub among global investors remains strong. Through this unique partnership and with HSBC’s market-leading cross-border banking solutions, we aim to achieve the goal of unlocking the investment opportunities to facilitate further FDI to Thailand together,” concluded Mr. Gamba.

The MoU signing was followed by a panel discussion titled ‘Unlocking Thailand’s FDI Opportunities’, which brought together leaders from both the public and private sectors, including Ms. Tanita Sirisup, Executive Director of Foreign Investment Marketing Division - BOI, Mr. Krisda Phatcharoen, Head of Wholesale Banking - HSBC Thailand, Mr. Franck Constant, Co-founder of Constant Energy, and Mr. Yi Xiao Bing, Vice President of Hisense Asean. Panelists discussed tremendous opportunities for Thailand to attract FDI, not only to invest in the Thai market but also to use Thailand as the production base for export to other Southeast Asian markets. Investment support such as free visas and free trade areas are among the key factors that can enhance Thailand’s competitiveness, on top of tax incentives.

The event was also joined by 20 leaders from various embassies and chambers of commerce, including the British Embassy, the Embassy of Vietnam, the Australian Embassy, the French Embassy, the China Council for the Promotion of International Trade, the Hong Kong Economic and Trade Office, the American Chamber of Commerce, the Korean-Thai Chamber of Commerce, and the British Chamber of Commerce.

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About Thailand Board of Investment (BOI)

The Thailand Board of Investment (BOI) is a government agency under the Office of the Prime Minister. Its main roles and responsibilities are to promote direct investment both inbound and outbound investment. To promote and facilitate investment in Thailand, the BOI grants both tax incentive such as exemption of Corporate income tax and import duties, and the non-tax incentives. includes permission to own land for promoted projects, permission to bring skilled workers/experts to work in the Kingdom and permission for foreign nationals to enter the country to study investment opportunities.

About HSBC Holdings plc

HSBC Holdings plc, the parent company of HSBC, is headquartered in London. HSBC serves customers worldwide from offices in 62 countries and territories. With assets of US$3,001bn at 31 March 2024, HSBC is one of the world’s largest banking and financial services organisations.