Category: The Bangkok Post

The proposed Thailand Individual Savings Account (TISA) scheme could be launched in the third or fourth quarter this year, creating a new growth path that could lift GDP growth to 4% and push the benchmark stock index towards 1,800 points, says the Federation of Thai Capital Market Organizations (Fetco).

Modelled after programmes in Japan and the UK, TISA could become a game-changer for Thailand’s capital market, said Fetco’s new chairman Paiboon Nalinthrangkurn.

Unlike previous tax-saving investment schemes, TISA is designed as a permanent programme that encourages continuous long-term investing rather than periodic participation, said Mr Paiboon, who is also chief executive of Tisco Securities.

The framework already received preliminary support from the Finance Ministry, while implementation details are being finalised, with the scheme likely commencing in the third or fourth quarter this year, he said.

Under TISA, investors can allocate funds to individual stocks or mutual funds while enjoying tax incentives. Funds invested under the scheme remain in the investment system until maturity, although investors can switch funds between eligible assets.

“The attractiveness of TISA will depend on a simple structure and sufficiently meaningful tax benefits,” Mr Paiboon said. “If designed properly, it can become a powerful mechanism to convert savings into long-term investment and generate a steady flow of capital into the market annually.”

NEW GROWTH STORY

Thailand is positioning itself for a new phase of economic growth, with policymakers and market leaders betting that foreign direct investment (FDI), technology-driven industries, and capital market reforms can help lift annual GDP growth to 3-4% over 2-3 years.

The government placed FDI attraction at the centre of its economic strategy, aiming to enhance Thailand’s long-term competitiveness and create new growth engines for the economy.

“The administration is prioritising economic development as the key policy driver. The focus is on attracting investment into new industries that can raise Thailand’s growth potential over the long term,” he said.

A crucial part of the strategy is encouraging companies receiving investment incentives from the Board of Investment to eventually list on the Stock Exchange of Thailand (SET), creating a new generation of growth companies and broadening investment opportunities for both domestic and foreign investors, said Mr Paiboon.

GDP OUTLOOK

Thailand’s GDP growth of 2.8% in the first quarter beat market expectations, supported by a significant rebound in private-sector investment, which expanded by roughly 10%.

Investor interest is growing in the SET’s Jump Plus initiative and other capital market development projects designed to accelerate the growth of emerging businesses. Foreign investors have increasingly shown interest in these programmes, reflecting improving confidence in Thailand’s economic reform agenda, he said.

“If we can continue attracting high-quality investment and build new technology systems, achieving sustainable GDP growth of 3-4% is realistic,” said Mr Paiboon.

Despite ongoing global risks, ranging from interest rate uncertainty to geopolitical tensions, he said Thai equities are entering a more attractive phase.

Although the Thai index has recovered to around 1,600 points, Mr Paiboon believes many fundamentally strong stocks remain undervalued despite improving earnings prospects.

“Thailand is in a position where it has the potential to outperform. If FDI inflows continue, TISA succeeds, and government reforms gain traction, it is not impossible to see the SET index moving towards 1,800 points in the future,” he said.

The Department of Highways held an initial public consultation in Suphan Buri on the Highway 32-Suphan Buri section of the MR10 motorway project, presenting project details and seeking feedback from stakeholders.

The meeting outlined the project’s background, objectives, study scope, preliminary development concepts and expected benefits. It also gathered views from government agencies, state enterprises, local authorities, the private sector and members of the public to support further engineering design and environmental impact assessment (EIA) work.

The project forms part of Intercity Motorway No 91 (MR10), planned as a third outer ring road on the western side of Greater Bangkok. It is intended to provide an alternative route for passenger and freight traffic travelling between regions without passing through the capital, helping to ease congestion and reduce logistics costs.

Designed as a high-standard controlled-access motorway, the route will support high-speed travel and freight transport while strengthening links between agricultural and industrial production areas and the national transport network.

The alignment runs roughly parallel to the Suphan Buri-Nakhon Luang-Ban Phachi railway line and continues from the MR10 section between Highway 32 and Highway 305, which has undergone detailed design work since 2025.

The department has appointed a consortium of consultants to conduct a 450-day study covering a feasibility review, detailed design and an EIA.

Preliminary findings indicate that parts of the route cross flood-retention areas. Elevated structures or viaducts are therefore being considered to minimise flood impacts and maintain north-south water flow.

Thailand take on Ukraine to kick-start the second week of their FIVB Women’s Volleyball Nations League 2026 campaign on Wednesday at Bangkok’s Huamark Indoor Stadium.

Kiatipong Ratchatakriengkrai’s team will be desperate to register their first win of this year’s event after losing all four matches in the opening week in Nanjing, China, early this month.

Thailand collected just two points in Nanjing and are in 17th place in the 18-team standings, with the Dominican Republic, the only other winless team during the first week, occupying the bottom spot on one point.

Ukraine are 15th with one win and three losses from the first week’s action in Quebec City, Canada.

The last-place team will be relegated at the end of the pool phase.

After the Ukraine opener, Thailand will meet Bulgaria on June 18, Canada on June 20 and the Netherlands on June 21.

The 14-member squad for this week includes (setters) Pornpun Guedpard (captain), Natthanicha Jaisaen; (liberos) Piyanut Pannoy, Kalyarat Khamwong, Jidapa Nahuanong; (middle blockers) Thatdao Nuekjang, Wimonrat Thanapan, Kaewkalaya Kamulthala; (opposite hitters) Pimpichaya Kokram, Supawadee Panwilai; (outside hitters) Ajcharaporn Kongyot, Sasipaporn Janthawisut, Warisara Seetaloed, Kantima Aekpatcha.

Thailand have without three key players. Outside hitters Chatchu-on Moksri, Wipawee Srithong and middle blocker Hattaya Bamrungsuk are still out due to injuries.

Brazil, who won four games during the first week in Brasilia, lead the standings with 11 points, followed by Japan and reigning Olympic and world champions Italy in second and third places respectively.

The seven best-placed teams will advance to the Finals in Macau next month, along with hosts China.

A raid of 24 locations in Greater Bangkok has resulted in the impounding of millions worth in cash and luxury assets from members of a suspected investment and foreign exchange scam network.

The Department of Special Investigation said its officials, together with technology crime suppression police and representatives of the Central Institute of Forensic Science and the Bank of Thailand, raided 24 locations in Bangkok, Nonthaburi, Pathum Thani, Samut Prakan and Samut Sakhon this week in an operation dubbed ‘Shutdown the laundering’.

According to the department, the operation targeted people suspected of investment and forex scams. Officials believed the network included politicians and show business members.

Through the raids, officials found 65 million baht in cash, gold and silver bullion, ornaments, luxury bags, guns, hardware wallets, luxury cars and computers. They also froze 70 bank accounts.

The DSI has invited victims lured by foreign exchange and investment scams via websites and applications to share information relevant to the crackdown. The department said it would elaborate on the operation later.

Kasikorn Research Center (K-Research) expects the Thai economy to bottom out in the second half of this year, gradually recovering in the third quarter driven by government stimulus measures.

Despite this assessment, K-Research maintained its 2026 GDP growth forecast at 2%, citing heightened uncertainties, said deputy managing director Nattaporn Triratanasirikul.

The government’s stimulus package under the 400-billion-baht emergency loan decree is expected to contribute 0.3-0.5 percentage points to GDP growth this year. The measures are anticipated to provide the greatest support to the economy in the second half of the year.

“However, economic risks remain, primarily stemming from uncertainty surrounding US tariff policies, which could affect Thailand’s export sector for the remainder of the year, as well as developments related to a potential US-Iran peace deal,” she said.

Even if the US and Iran reach a peace agreement, uncertainties are likely to persist, while pressure on global energy prices may not ease quickly. As a result, higher producer costs are expected to continue being passed on to consumers, causing headline inflation to peak in the second half of 2026.

K-Research forecasts headline inflation to average 3.1% this year.

Given the elevated uncertainties, the Bank of Thailand’s Monetary Policy Committee is expected to keep the policy rate unchanged at 1% throughout the year.

Regarding the baht, K-Research forecasts it to weaken against the US dollar over the remainder of the year, reaching 32.80 per dollar by year-end.

Kevalin Wangpichayasuk, another K-Research deputy managing director, said the impact of the Middle East conflict on the business sector is likely to become more evident in the second half of the year.

While there are positive signs following a potential US-Iran peace deal, a full normalisation of conditions is expected to take time.

Manufacturing output across most industries is projected to weaken on a year-on-year basis, primarily due to rising energy and petrochemical feedstock costs, the impact of US tariffs, and intense competition from imported goods, she said.

“These factors are expected to cause the Manufacturing Production Index to contract by 0.5% in 2026, marking the fourth consecutive year of decline,” Ms Kevalin said.

Meanwhile, Thanyalak Vacharachaisurapol, another deputy managing director at K-Research, said the organisation revised its forecast for total loan growth in the banking sector this year to 0.5%, expanding from a 0.7% contraction.

Loan growth is expected to be driven by lending to large corporations and the public sector, which is projected to expand by 5% this year. However, loans to small and medium-sized enterprises and retail borrowers are expected to contract by 4.5% and 1.5%, respectively.

Thais are expected to spend an average of 6.9 years living with illness or disability in later life, highlighting growing pressure on healthcare services and long-term care systems, according to the Thai Health Report 2026.

The report, released by the Thai Health Promotion Foundation (ThaiHealth) and the Institute for Population and Social Research at Mahidol University, identifies demographic change as one of the most significant challenges facing the country’s health sector.

According to Assoc Prof Chalermpol Chamchan of Mahidol University’s Institute for Population and Social Research, who led the study, the findings reflect the realities of a rapidly ageing society, where longer life expectancy does not necessarily translate into better health.

Researchers found that Thais spend an average of 6.9 years living with illness or disability at the end of their lives, placing increasing demands on healthcare providers, families and social welfare systems.

He said the trend underscores the need to reform health services to better align with changing population structures, particularly by expanding community care programmes that support older people outside hospitals.

The report also found that only 43.3% of patients requiring palliative care currently have access to appropriate services, leaving many without adequate support during the final stages of their life.

Researchers warned that Thailand must increase investment in long-term care to meet future demand. One major concern is the shortage of trained personnel. The report estimates that the number of workers specialising in long-term and palliative care will need to increase 13-fold by 2037 to keep pace with the growing elderly population.

The findings form part of a broader assessment of health and demographic trends under the theme “Population Change and the Health of Thai People”.

The report highlights declining birth rates, an ageing population, changing family structures and economic pressures as key factors shaping future health outcomes.

The Tourism Authority of Thailand (TAT) has slashed its long-haul arrival forecast to 10 million this year, on par with last year, mainly attributed to the Middle East conflict.

Chiravadee Khunsub, deputy governor for Europe, Africa, the Middle East and the Americas, said the agency initially projected 11 million long-haul arrivals, but cut the forecast after flight disruptions the past three months.

In 2025, the long-haul market rose by 10% to 10.8 million arrivals, generating 685 billion baht.

Mrs Chiravadee said while arrivals from the Middle East have fallen significantly, the European and American markets have remained stable.

As of June 7, Thailand welcomed 5 million long-haul tourists, down by 1.6% year-on-year, while the Middle East market plunged 32%.

She said the long-haul market remains resilient, supported by an airline-focused strategy that has helped sustain momentum this year.

The strategy enables more direct flights from various origins, reducing reliance on a single hub. This strategy helped lift the growth of emerging markets, such as Kazakhstan by 8.3%, Uzbekistan by 28%, and Poland by 16.8%, according to the TAT.

The agency instructed its overseas offices to maintain marketing campaigns and direct flights between Thailand and source markets during the low season.

Beyond major cities, the TAT is also seeking direct flights from secondary cities in mature markets, such as Lyon and Bordeaux in France.

The agency is also promoting long-haul transit hubs in countries such as Turkey via Turkish Airlines, targeting European tourists, and in North Asia via carriers such as Korean Air and Eva Air to attract those from the Americas.

During the third quarter, which is the low season, she said travellers tend to stay closer to home, particularly within Europe, and adopt a wait-and-see approach until global travel sentiment improves.

However, the fourth-quarter outlook is more promising, based on forward bookings, particularly among four- and five-star hotels.

The long-haul market is also less price-sensitive compared to the short-haul markets, as travellers are still willing to spend on a high-quality holiday in Thailand, even though competitors such as China and Vietnam offer cheaper packages for similar products.

Five-star hotels in Thailand typically cost around 7,000 baht per night, compared with roughly 3,000 baht in China and Vietnam.

For the Middle East market, discussions with airlines and travel agents have indicated positive recovery signs, with carriers planning to resume flights to Krabi and Phuket next winter.

These developments reflect sustained demand for Thailand, which remains the leading destination in Southeast Asia, she said.

Other upcoming services include LOT Polish Airlines’ Warsaw-Bangkok route from October and Scandinavian Airlines’ winter flights to Krabi.

Murder charges have been filed against an army officer who shot and killed his superior in his office in Kalasin province on Wednesday morning, reportedly over a dispute involving a transfer order.

The fatal shooting occurred on the fourth floor of the provincial hall building in Muang district, triggering panic among public servants and members of the public as shots rang out around 9.20am.

Police said Sub Lt Tinakorn Vetchakama, 59 (identified in earlier reports as Sub Lt Chinnakorn), an officer attached to the Muang district military affairs office, opened fire on Col Korwikanon Wongsaonao, 59, the head of the office.

The victim sustained multiple gunshot wounds. The suspect remained at the scene and surrendered to police while carrying the weapon used in the shooting. He was subsequently taken to the Muang district police station for questioning.

According to investigators, the shooting arose from a workplace dispute. Police said Sub Lt Tinakorn was dissatisfied with an order transferring him to the Kamalasai district military affairs office in Kalasin.

Provincial and district military affairs offices manage recruitment and conscription, civilian-military coordination and regional defence matters.

Sub Lt Tinakorn told police he had gone to meet his superior to discuss and question the transfer order, but the conversation escalated into an argument. Authorities said the suspect drew a firearm and shot his commanding officer.

Investigators from the Muang Kalasin police station took Sub Lt Tinakorn for fingerprinting before escorting him to re-enact the crime scene in the fourth-floor office at the provincial hall. He was later taken to the police station for questioning.

Pol Col Chalit Srihanu, chief of the Muang police station, said the suspect had confessed to the crime.

Investigators have initially charged him with premeditated murder, carrying a firearm in public without good cause, and discharging a firearm in a public area.

Police will next seek a detention order from the Khon Kaen Military Court before proceeding with legal action, said Pol Col Chalit.

Kalasin governor Suwat Khemthanaphet, who went to the scene along with police and other officials, has ordered support services for people who witnessed the incident, describing it as a deeply traumatic event.

The property sector is entering a new phase of sustainability-driven transformation as developers, financiers, capital market regulators and supply chain partners align around Thailand Taxonomy, a national framework designed to accelerate the transition to a low-carbon economy.

At the Green Up 2026 forum on Wednesday hosted by SET-listed developer Sansiri, industry leaders said sustainability is no longer a voluntary initiative or branding exercise, but a new business capability that will determine long-term competitiveness.

FUTURE-READY ASSETS

Uthai Uthaisangsuk, president of Sansiri, said sustainability has been embedded in the company’s business strategy over the past decade and is now shaping decisions across its entire value chain.

“Sustainability is not a trend. It is a new capability that organisations need in order to remain competitive in the future,” said Mr Uthai.

He said environmental responsibility should not be viewed as a burden, but as an opportunity to create value for customers, partners, communities and the planet.

“We are not only reducing negative impacts. We are creating positive value and moving towards a regenerative future,” said Mr Uthai.

Future-ready assets will increasingly be assessed by their ability to adapt to climate change, improve operational efficiency and demonstrate measurable environmental performance, he noted.

Sansiri set a target to achieve net-zero emissions by 2050 and is working with more than 4,000 suppliers and contractors under its sustainability framework.

Mr Uthai said Thailand Taxonomy provides a common standard to validate environmental performance and support access to sustainable finance.

The company recently secured green financing support from Kasikornbank (KBank) and has six projects worth more than 4 billion baht under green loan programmes.

Three prototype projects — Widen by Sansiri, PTY Residence Sai 1 and The Standard Residences Hua Hin — have become benchmarks for low-carbon development, he noted.

SUSTAINABILITY MATTERS

Asadej Kongsiri, president of the Stock Exchange of Thailand, said sustainability has become a critical pillar of trust in global capital markets.

“ESG [environmental, social and governance] is no longer simply a CSR [corporate social responsibility] initiative. It is a key economic mechanism and an important factor in capital allocation decisions,” he said.

Although Thailand contributes only around 0.69% of global carbon emissions, the country remains highly vulnerable to climate-related risks.

“If no action is taken, Thailand’s GDP could decline significantly in the coming decades due to climate impacts on sectors such as agriculture and tourism,” said Mr Asadej.

Investors worldwide are increasingly directing capital towards companies capable of demonstrating long-term value creation through sustainability, he noted.

The value of ESG-related investment products in Thailand has risen sharply, growing from around 20 billion baht in 2017-18 to 159 billion baht last year.

Mr Asadej said Thailand Taxonomy helps bridge international sustainability frameworks with practical business implementation and investment decisions in Thailand.

FINANCE DRIVES TRANSITION

Kattiya Indaravijaya, chief executive of KBank, said sustainability has evolved from a corporate responsibility issue into a core economic driver.

“In the past, many companies viewed ESG as a CSR activity or an optional advantage. Today, the world operates under a new set of rules,” she said. “Companies that successfully adapt will gain competitive advantages, secure better access to funding and strengthen long-term growth prospects.”

Sustainable finance continues to expand rapidly, with global ESG bond issuance rising from US$179 billion in 2019 to around $1 trillion in 2025, said Ms Kattiya.

Major institutions such as BlackRock and Goldman Sachs continue to increase their commitments to sustainable and transition finance.

Thailand’s ESG bond market also rebounded strongly, with sustainability-linked bond issuance rising from 86.4 billion baht in 2020 to 208 billion last year.

KBank developed a customer transition framework covering awareness-building, carbon measurement, emissions reduction planning and green financing solutions.

To minimise the risk of greenwashing, the bank increasingly relies on Thailand Taxonomy as a credible assessment framework, she noted. Sansiri is the first and only developer to qualify under the building sector criteria, said Ms Kattiya.

REGENERATIVE SHIFT

Thanyaporn Krichtitayawuth, executive director of UN Global Compact Network Thailand, said global sustainability standards are rapidly becoming business requirements rather than optional commitments.

“Global standards will not wait for anyone,” she said. “Markets are increasingly judging businesses based on verified data, not good intentions.”

Ms Thanyaporn noted global investment is shifting towards climate solutions and clean energy, with annual investment exceeding $2.2 trillion. Sustainability is evolving beyond impact reduction towards regenerative business models that actively restore ecosystems and create positive outcomes.

The EU’s Carbon Border Adjustment Mechanism, which moved to full implementation on Jan 1, is a major catalyst for supply chain transformation, she said. Businesses seeking long-term competitiveness will increasingly need to align with international carbon standards and transparency requirements, said Ms Thanyaporn.

Looking ahead, Sansiri plans to launch a Biodiversity Flagship initiative by the end of 2026 as part of its next phase of sustainability development.

Rever Automotive, the distributor of BYD cars in Thailand, said on Wednesday that a house fire did not result from its electric vehicle but from external factors including a charging system at the house.

Rever Automotive was responding to the report of a fire that destroyed a house and a BYD Dolphin sedan parked inside the property in Muang district of Khon Kaen province on Tuesday.

The company said that it sent experts to the house to investigate the incident and the team initially found that the fire was not caused by the car or its built-in electrical systems.

The blaze resulted from external factors including an external electric circuit and charging equipment that was not compatible with the system in the car, Rever Automotive said via Facebook.

The company said it was continuing with a thorough investigation and would report further findings.

BYD leads all brands in the Thai EV market with a share of close to 40%, and has a 14% in the overall automobile market.