Investment key to transformation, says Ekniti

Finance Minister Ekniti Nitithanprapas highlighted the crucial role of investment in Thailand's economic transformation during the Thailand Focus 2026 conference. Investment growth has reached a two-quarter high, expanding by 14% year-on-year in the second quarter, signaling a return to a key engine of economic prosperity, Ekniti said.

Despite a decline in the overall GDP growth rate from 2.8% to 1.9% year-on-year, the focus remains on investment to lift Thailand's GDP growth potential above 3% annually and improve global competitiveness, he added. The government plans to increase investment to 30% of GDP from 20% currently by accelerating domestic and foreign investment through public-private partnerships, infrastructure funds, and initiatives such as the Thailand FastPass.

The aim is to improve the country's position in the IMD World Competitiveness Ranking, currently at 26th out of 70 economies. Foreign investment is gaining momentum with a 37% rise in investment promotion applications from foreign investors, with proposed projects worth 1.47 trillion baht. The focus is not only on increasing investment volume but also on transforming Thailand's economic structure in technology and innovation, integrating SMEs into global supply chains, and upgrading workforce skills in targeted industries.

The government plans to support listed companies through the Stock Exchange of Thailand's JUMP+ programme and consider incentives for large corporations to bring more SMEs into their supply chains. Ekniti emphasized that the revival of investment is crucial for the Thai economy, supporting short-term stability and long-term competitiveness, as the global economy undergoes changes driven by supply-chain restructuring, AI expansion, and energy transition.