Category: The Bangkok Post

The latest round of the Thai-Cambodian Joint Boundary Commission (JBC) concluded after a marathon session that extended six hours beyond schedule, with both sides agreeing to repair damaged border markers and reassess land holdings in the contested Ban Nong Chan and Ban Nong Ya Kaeo areas of Sa Kaeo province.

The meeting also sidestepped discussions on border fencing, citing jurisdictional limitations.

The special session was co-chaired by Prasas Prasasvinitchai, the Thai ambassador to Cambodia, and Lam Chea, Cambodia’s minister in charge of border affairs.

The meeting officially concluded at 9pm but officials spent another three hours making extensive revisions to the wording of the minutes to ensure alignment with the positions of both nations. They were finally signed at 12.15am Thursday.

At the briefing that followed, Benjamin Sukanjanajtee, director-general of the Department of Treaties and Legal Affairs at the Thai Ministry of Foreign Affairs, described the discussions as candid and constructive.

Mr Benjamin noted that this was the first time the deliberations of the JBC had been made public, reflecting Thailand’s effort to reduce border tensions and prevent misunderstandings over sensitive issues.

Mr Prasas said the meeting proceeded in a friendly and cooperative atmosphere. Both sides assigned the Joint Technical Sub-Commission to reconstruct or replace 15 boundary markers that were damaged or missing, restoring them to their original locations. They also agreed to jointly determine new positions for three markers that were submerged.

Participants also agreed to expedite revisions to the 2003 terms of reference governing the creation of orthophoto maps. They will now incorporate technologies such as LiDAR (Light Detection and Ranging) to enhance the accuracy and efficiency of border mapping.

However, the issue of constructing a border fence was not discussed, as Cambodian co-chair Lam Chea said he had no authority over the matter.

The two sides also discussed the area between border markers 42 and 47, near Ban Nong Chan and Nong Ya Kaeo in Khok Sung district of Sa Kaeo province. The two villages have been the scene of a series of uneasy standoffs in recent weeks.

Both delegations agreed to hold technical consultations to facilitate temporary surveying and placement of provisional boundary markers in the area. These markers are intended solely for survey purposes and will not affect the legal territorial claims of either country under international law.

The two sides also pledged to instruct local military and civilian authorities to ensure the safety of demining teams operating in the area, in accordance with Article 3 of the 2000 Memorandum of Understanding (MoU). The goal is to allow survey operations to proceed without interference or provocation that could escalate tensions.

Mr Prasas said details of the resolutions would be submitted to the cabinet for consideration. He estimated the technical survey process would take at least six weeks to complete.

The next JBC meeting is scheduled to take place in Siem Reap, Cambodia, during the first week of January.

The JBC focuses on legal and technical land demarcation, led by foreign ministry officials. The GBC (General Border Committee) is for security issues and is chaired by defence ministers, and the RBC (Regional Border Committee) handles regional border management and cooperation, involving regional military commanders.

Thai authorities say they found irregularities involving an accounting firm and real estate projects possibly linked to foreign owners during a recent inspection of suspected nominee businesses on the tourist island of Koh Phangan.

Officials from the Department of Business Development (DBD) inspected four target locations on Tuesday as part of an investigation into businesses suspected of using Thai nationals as proxy shareholders for foreigners, according to director-general Poonpong Naiyanapakorn.

They found suspicious activity in two sectors – accounting services and real estate, he said.

In the accounting case, an accounting firm was discovered to have the same owner listed as a shareholder in 66 companies, with three of the inspected locations linked to this individual.

The buildings in question were also registered as the addresses of 89 business entities, many of which showed no signs of active operations.

Police seized documents and computers for further examination and the accounting firm and related companies were ordered to submit additional documents for a full examination, said Mr Poonpong.

The second case involved a luxury villa project comprising eight units rented to foreign tourists for 13,000 baht a night without a hotel licence. The project manager and foreign guests were questioned.

Initial findings indicated that the land, which was valued at 152 million baht, was owned by two Thai-registered companies with 49% Israeli ownership. A third Israeli company later purchased shares, raising suspicions of tax evasion and use of Thai nominees.

Mr Poonpong said foreign ownership in real estate is strictly controlled under the Foreign Business Act and brokerage or property management by foreign nationals requires strict screening and official approval.

The department is working closely with the Tourist Police, Immigration Bureau, Revenue Department and local authorities to tighten enforcement and protect Thai entrepreneurs, he said.

The southern province of Surat Thani, where Koh Phangan and Koh Samui are located, has been identified as the country’s second-highest-risk area for nominee operations.

Five Thai shareholders – one legal entity and four individuals – were listed as shareholders in 256 companies based in Koh Phangan, investigations have found.

‘This operation is part of the stepped-up plan to crack down on nominee businesses and ensure compliance so the country’s economy grows sustainably,’ Mr Poonpong said.

Hotels in Greater Bangkok should brace for an influx of new supply while average occupancy rates declined, contrary to rising figures in other regions, according to the Real Estate Information Center (REIC).

Siddhipen Siddharthapong, acting assistant director-general of the REIC, said Greater Bangkok had the largest expansion in hotel construction area nationwide, surging by 230% in the first half of 2025 year-on-year.

“The growing pipeline signals a significant increase in future supply,” she said. “This poses challenges for hotel operators in Greater Bangkok to plan and adjust strategies to mitigate risks from potential oversupply.”

During the first half of 2025, the number of hotel construction permits nationwide dropped 15.1% to 908, but total approved floor area rose 29.6% to 583,288 square metres, reflecting larger project sizes.

Greater Bangkok led the expansion, followed by the northern area with a 113% increase, while the western area gained 93.3% and the southern portion 12.3%.

The South accounted for the largest share at 249,379 sq m, or 42.8% of total approved area.

The top 10 provinces represented 85.7% of total hotel construction area, with Phuket leading the way with 195,271 sq m, up 20.1%, accounting for 33.5% of the national total.

This was followed by Bangkok, Chon Buri, Kanchanaburi, Nakhon Ratchasima, Phangnga, Krabi, Rayong, Chiang Mai and Lamphun.

Among these, construction area declined only in Chon Buri (down 49.9%) and Nakhon Ratchasima (down 24.7%), while the remainder posted growth.

Nationwide, new hotel business licences dropped 34.6% year-on-year to 232 in the first half, with total rooms dropping 32.2% to 8,946.

As a result, the number of registered hotels nationwide fell 3.7% year-on-year, while cumulative rooms declined 1.8%, reflecting continued caution among operators.

New hotel approvals declined across most regions, except the West, which remained unchanged.

Greater Bangkok accounted for the largest number of newly approved rooms at 3,012, representing 33.7% of the total, up 16.4% year-on-year.

This indicates that developers had slowed new launches in the first half, particularly in the South and Central regions, where new hotel and room licences plunged by more than 50% year-on-year.

The top 10 provinces for newly approved rooms accounted for 75% of the total nationwide. These comprise Bangkok, Chon Buri, Rayong, Chiang Mai, Phuket, Krabi, Samut Prakan, Nakhon Ratchasima, Khon Kaen and Prachuap Khiri Khan.

Samut Prakan saw the sharpest increase, up 367%, followed by Prachuap Khiri Khan, Khon Kaen and Bangkok.

The steepest drops were in Chon Buri (down 63%), followed by Phuket, Krabi, Nakhon Ratchasima, Rayong and Chiang Mai.

REGISTERED HOTELS

As of mid-2025, Thailand had 16,369 registered hotels, down 3.7%, and a combined 703,751 rooms, down 1.8% year-on-year.

By region, Greater Bangkok led with 179,872 rooms, up 2.6%, accounting for 25.6% of the national total.

The South followed with 167,388 rooms (down 3.4% and accounting for 23.8%), and the East with 108,560 (down 7.9% and accounting for 15.4%).

The top 10 provinces by cumulative room count accounted for 60.5% of total rooms: Bangkok, Chon Buri, Phuket, Chiang Mai, Surat Thani, Krabi, Songkhla, Nakhon Ratchasima, Rayong and Chiang Rai.

In the first half of 2025, Thailand’s average hotel occupancy rate rose to 60.8% from 59.1% a year earlier, with all regions improving except Greater Bangkok, where occupancy fell 0.7 percentage points to 56.2%.

“This reflected weaker demand in Greater Bangkok, contrasting with rising cumulative room supply, leading to heightened market competition,” Ms Siddhipen said.

Foreign tourist arrivals fell 4.7% year-on-year to 16.68 million in the first half — the first decline since late 2021 — mainly due to a 34.1% plunge in Chinese visitors, who dropped to second place behind Malaysia.

Arrivals from Malaysia also fell 5.6%, compounding the overall decline. However, some markets grew strongly, including the UK at 17.9%, India at 13.8% and Russia at 12.4%.

The top 10 source markets comprised Malaysia, China, India, Russia, South Korea, the UK, the US, Japan, Taiwan and Laos, accounting for 61.1% of total arrivals.

Regional occupancy rates were led by the South at 70.9%, followed by the West (65.2%), East (63.1%), Northeast (59%), Greater Bangkok (56.2%), the North (55.5%) and the Central region (55.1%).

Prime Minister Anutin Charnvirakul will pay an official visit to Malaysia to attend the 47th Asean Summit and related meetings from Oct 25-28 with the aim of promoting regional peace and driving inclusive economic growth.

Government spokeswoman Siripong Angkasakulkiat said the premier will make the trip to Kuala Lumpur, at the invitation of Malaysian Prime Minister Anwar Ibrahim. The visit will mark Mr Anutin’s second official overseas visit since taking office, while underscoring Malaysia’s importance as a close neighbour and strategic partner sharing common interests with Thailand, Mr Siripong said.

The prime ministers will hold discussions to strengthen cooperation on cross-border transport connectivity, trade and investment promotion, tourism, and transnational issues, as well as efforts to foster closer people-to-people relations.

At the 47th Asean Summit, Mr Anutin will participate in his first multilateral meeting. The prime minister will advocate four major initiatives: promoting peace and stability in the region, building a secure and resilient regional community, advancing inclusive economic development, and encouraging transformative actions towards sustainability.

“This visit presents an opportunity to strengthen Thailand-Malaysia relations, particularly in border security and economic development,” Mr Siripong said. Mr Anutin would also meet key world leaders, including those from the United States, China, Japan, and India.

Lotteries are among the oldest forms of betting. Yet in modern times, various governments have used this popular form of gambling to encourage financial savings among citizens and even retirees.

Thailand is no exception. Recent administrations have sought to use lotteries as a means to help bettors save money.

The latest example comes from the government of Prime Minister Anutin Charnvirakul, which has proposed an “online lottery for retirement savings” — a scheme aimed at creating a retirement fund for those who gamble on government lotteries.

The Anutin government is not the first to try this.

The recently replaced Pheu Thai-led administration developed a similar retirement lottery scheme, which received parliamentary approval and is expected to launch this year.

Under the Pheu Thai Party’s version, the programme will be managed by the National Savings Fund (NSF), which has 2.78 million members and expects this to rise to 2.8 million by year-end.

The NSF’s retirement lottery seeks to increase savings among Thais, particularly informal workers who are not covered by retirement systems such as the Social Security Fund or provident funds.

Anyone aged 15 or older can buy retirement lottery tickets for 50 baht each, up to a maximum of 3,000 baht per person per month.

Five million tickets are issued weekly, with draws held every Friday. The top prize is 1 million baht, with smaller three-digit prizes worth 1,000 baht.

The catch in Pheu Thai’s version is that all money used to buy tickets is accumulated and returned to buyers when they turn 60.

Those over 60 can still purchase tickets, with the money returned five years after the initial purchase.

If there are no winners for a given draw, the prize money rolls over to the next.

The Anutin government’s “online lottery for retirement savings” differs from this.

Under the plan, each lottery ticket will be priced at 80 baht, with a portion of the money set aside for a retirement fund even if the ticket does not win.

For instance, 5-7% of the 80 baht would be allocated to establish the fund, which could be withdrawn once the buyer reaches the age of 55.

For those over 50 — say, 58 years old — the fund must be held for at least five years before withdrawal.

At first glance, the idea behind the Anutin government’s online lottery for savings may seem promising.

However, on closer examination, the concept appears to be a populist policy lacking careful consideration — an attempt to build a retirement savings system out of gambling.

But can such a policy truly create meaningful retirement savings for the public, especially grassroots citizens?

With each 80-baht ticket setting aside just 5-7% — roughly 5.60 baht — the remaining 74.40 baht is still spent on gambling.

Had the ticket not been purchased in the first place, that amount could have been saved or used for daily necessities.

For this reason, saving through an online lottery is unlikely to provide a sustainable, long-term source of retirement income.

Ordinary Thais, particularly low-income individuals who regularly buy government or underground lottery tickets, often express frustration when their numbers fail to win.

“I lost again!” is a familiar lament.

The populist “Online Lottery for Retirement” policy thus seems designed to soothe that disappointment — even if one doesn’t win, at least some of the money goes toward future savings.

Each year, Thais spend around 200 billion baht on government lottery tickets.

Including underground lotteries, total annual spending may reach 300-400 billion baht.

The broader challenge to national savings, however, lies in rising household debt — a growing economic malaise.

According to the National Economic and Social Development Council (NESDC), Thailand’s household debt in the second quarter of 2025 reached 16.35 trillion baht, equivalent to 87.4% of GDP.

This debt burden constrains spending, especially among low-income groups.

Young people, too, are increasingly accumulating debt beyond their means, driven partly by online consumption and “Buy Now, Pay Later” services.

Nevertheless, a strong savings system is a crucial pillar of society, particularly as Thailand becomes an ageing nation — with 20% of the population now over 60.

Yet the country’s retirement savings system remains weak, leaving many older Thais in poverty.

The Social Security Fund’s old-age savings programme, launched in 1999, now covers around 12 million members.

While it has expanded coverage for non-government workers, monthly pensions remain low — typically 4,000-5,000 baht, sometimes reaching 6,000 depending on contribution length.

These sums are far from sufficient to support retirees amid rising living costs, particularly those without personal savings or passive income — let alone self-employed workers and small vendors outside the system.

Those not covered by social security can join the National Savings Fund (NSF).

Saving 2,500 baht per month for 40 years would yield a monthly pension of about 3,790 baht — a clearly inadequate amount to live on four decades from now.

According to the Finance Ministry, post-retirement income should be at least 50% of pre-retirement earnings.

To achieve this, the ministry has promoted the National Pension Fund Act — a mandatory provident fund requiring all employers to provide retirement benefits for their employees.

Currently, private-sector provident funds operate on a voluntary basis.

However, the National Pension Fund law, approved by the cabinet under the Prayut Chan-o-cha administration in 2021, has yet to be submitted to parliament due to unfavourable economic conditions.

Using the lottery to encourage saving is not inherently wrong, even though, on the surface, it could easily and understandably be perceived to be.

But policymakers must take a broader view and approach, and in turn build a more solid foundation for sustainable retirement financial security by reforming the Social Security Fund, corresponding pension policies, and various laws.

Central Retail Corporation Plc (CRC) has launched Thailand’s first green bond in the retail and wholesale sector, with the proceeds allotted for investment in renewable energy projects.

In addition to the green bond, CRC offered two tranches of conventional bonds to institutional investors, bringing the total size of the issue to 7.5 billion baht.

Panet Mahankanurak, chief financial officer of CRC, said the three bond tranches with tenures ranging from three to five years and coupon rates of between 1.63% and 1.93% garnered overwhelming demand from leading institutional investors, with total subscriptions exceeding 30 billion baht, more than four times the offering amount.

He said the issuance comprises 1 billion baht in green bonds and 6.5 billion in conventional bonds, underscoring investor confidence in CRC’s strong, stable and credible position as a retail and wholesale industry leader — both financially and in its sustainability performance.

“The proceeds from the green bond will be used to refinance or reimburse prior investments in renewable energy projects, particularly solar energy installations on the rooftops of Central Department Store, Robinson Department Store, Tops, Thaiwatsadu and Robinson Lifestyle Mall branches. These projects aim to increase the proportion of clean energy consumption and advance our ‘ReNEW’ environmental strategy,” said Mr Panet.

The solar panel installations are expected to generate more than 90,000 megawatt-hours of electricity annually, equivalent to reducing more than 45,000 tonnes of greenhouse gas emissions a year, according to CRC.

Meanwhile, the proceeds from the 6.5 billion baht of the two conventional bond tranches will be used to repay part of the company’s bank loans, he said.

Mr Panet said this bond issuance forms part of CRC’s long-term financial strategy to mitigate exposure to future interest rate volatility by optimising its debt structure, shifting from short-term to long-term financing, and balancing fixed and floating interest rates.

This approach enables CRC to manage financing costs efficiently, strengthen its capital structure, and enhance financial flexibility to support sustainable business growth over the long term.

CRC appointed Bangkok Bank Plc, Bank of Ayudhya Plc, and Kasikornbank Plc as joint lead arrangers, with Bank of Ayudhya also serving as the sustainability structuring advisor for this issuance.

The Department of Special Investigation (DSI) will set up a special committee to investigate all major scam-related cases nationwide, says Justice Minister Pol Lt Gen Rutthapon Naowarat.

His announcement follows a recent meeting of the committee on technology crime prevention and suppression, chaired by Prime Minister and Interior Minister Anutin Charnvirakul. He said the Ministry of Justice would lead efforts to combat online crime and scam syndicates. The Anti-Money Laundering Office (Amlo) and the Bank of Thailand (BoT) will cooperate with the committee.

Pol Lt Gen Rutthapon added the committee will cover allegations linking certain Thai politicians to scam operations and the relationship between Prince International Co Ltd and Prince Group, a conglomerate led by Chen Zhi, a Chinese-Cambodian businessman blacklisted by the United States. The minister said no Thai politicians have yet been named but emphasised that anyone found involved will face legal action regardless of their status.

He said he also welcomes cooperation from People’s Party MP Rangsiman Rome, who has been exposing alleged links between politicians and scam groups, saying the committee is open to receiving any credible evidence. Regarding the Prince Group case, Pol Lt Gen Rutthapon said it is among the priority cases under the committee’s investigation. The committee is verifying information with foreign authorities to determine whether Prince International is directly connected to Mr Chen’s firm.

Amlo secretary-general Thepsu Bawornchotdara said his agency is examining whether Mr Chen holds any assets in Thailand.

Thailand faces a growing challenge in curbing the illegal, industrial-scale scam operations being run out of Cambodia, Laos and Myanmar. Criminal gangs have been forcing trafficked victims to lure people on social media and dating applications.

The Thai government has revived a proposal to look into easing zoning rules for entertainment venues, along with the afternoon alcohol sales ban, according to a cabinet source.

Some business operators say that while a change could reduce illegal after-hours operations, certain areas should remain off-limits for nightspots to avoid disturbing nearby neighbourhoods.

Prime Minister Anutin Charnvirakul this week directed the interior and public health ministries to study abolishing zoning regulations for entertainment venues nationwide, according to the source.

At the meeting, discussions concerned outdated zoning rules for entertainment venues, which currently allow only those located in designated zones in five major tourist locations – Bangkok, Chiang Mai, Phuket, Chon Buri and Koh Samui – to operate until 4am, noted the source.

In Bangkok, only pubs and bars located in permitted zones – along Ratchadaphisek, Silom and Phetchaburi roads – are allowed to stay open late.

Venues outside these areas must either hold an entertainment venue licence or be located in hotels to operate until 4am. However, in practice many places stay open illegally by bribing local police officers.

The source said eliminating the zoning rule would encourage operators to register to extend their operating hours.

As a result, the government could collect more value-added tax, potentially amounting to several billion baht.

Authorities are also considering lifting the alcohol sales ban from 2-5pm, said the source.

Sanga Ruangwattanakul, president of the Khao San Road Business Association, said very few pubs and bars on Khao San Road and elsewhere in Bangkok hold entertainment venue licences, and new licences have not been issued for a long time.

He said most venues only hold licences to sell alcohol and food, which allow them to operate until midnight, even though many bars remain open into the early hours.

If the government plans to reset the entertainment venue licensing system, Mr Sanga said it could persuade illegal operators to register, enabling authorities to enforce more safety measures.

The association said the government should consider issuing different types of venue licences based on operating hours, such as licences allowing operation until midnight, 2am or 4am.

Mr Sanga said zoning regulations should not be completely abolished, as doing so could allow nightlife venues to open near residential areas and disturb local communities.

The government should maintain zoning rules, but expand them to include bustling tourism areas such as Khao San Road and parts of Sukhumvit Road in Bangkok, as the city’s nightlife landscape has evolved, he said.

However, authorities should ensure adequate public transport and police presence to accommodate the growing number of nightlife visitors, Mr Sanga said.

The government’s “Khon La Khrueng Plus” co-payment scheme is expected to provide a lift for small restaurants and retailers, helping them thrive in a sluggish economy.

However, the Thai Wholesale and Retail Trade Association suggests the government should analyse data collected from transactions to develop better, sustainable measures to support small business operators in the future.

The co-payment scheme is set to run from Oct 29 to Dec 31.

Shops, retail stores, spas and even taxi drivers that are not registered as juristic persons are eligible to participate in the programme, as well as public transport operators and small juristic persons with an annual income not exceeding 1.8 million baht.

Thaniwan Kulmongkol, president of the Thai Restaurant Association, noted the economy is not in good shape, resulting in less money in people’s pockets.

She predicted a significant portion of the money from the scheme would be spent in the restaurant sector, helping eateries struggling in a stagnant economy.

BOON TO RETAILERS

Somchai Pornrattanacharoen, honorary president of the Thai Wholesale and Retail Trade Association, said the scheme should benefit small retailers that are treading water.

He said the money distributed through the programme would circulate through suppliers and related businesses, helping to stimulate the economy.

During the previous government’s 10,000-baht cash handout, some people used the funds to repay debts, which did not effectively stimulate economic circulation, said Mr Somchai.

This stimulus programme should be used during challenging economic circumstances, but over the long term he advised the government to focus on more sustainable measures to support small retailers.

“The government should use transaction data to analyse and design future policies that strengthen small businesses, such as appropriate tax policies or better sales platforms,” said Mr Somchai.

TOURISM BOOST

On Tuesday, the government announced a set of domestic stimulus measures, comprising five initiatives such as personal income tax deductions for domestic travel expenses and corporate tax deductions for seminars and training held in Thailand.

For personal income tax deductions, participants must provide invoices from accommodation or restaurants registered in the value-added tax system, dated from Oct 29 to Dec 15.

The first 10,000 baht of such expenses can be supported by either paper or electronic tax invoices, while the next 10,000 baht requires electronic tax invoices.

Mrs Thaniwan said this stimulus package would help restaurants that earn more than 1.8 million baht a year, which are not eligible for the Khon La Khrueng Plus scheme.

Deductions are capped at 1.5 times the amount spent in secondary provinces and one time expenses in primary provinces.

She said the scheme’s conditions are appropriate as they support restaurants in second-tier cities that have fewer business opportunities compared with eateries based in major cities.

Mrs Thaniwan estimated during this period, participating restaurants would experience a sales increase of about 20% due to the stimulus package compared with regular periods.

The government has issued a stern warning to both consumers and merchants participating in the Khon La Khrueng Plus scheme, stressing that selling or misusing the benefit without genuine transactions constitutes a criminal offence.

Deputy government spokeswoman Airin Phanrit said social media posts have emerged offering to sell Khon La Khrueng Plus benefits. She said such activities — including collusion between consumers and merchants to exploit the scheme — amount to fraud under Sections 341 and 342 of the Criminal Code. Offenders face up to three years in prison, a fine of up to 60,000 baht, or both, and must also return any funds received under the scheme to the government.

The Khon La Khrueng Plus programme, initiated by Prime Minister Anutin Charnvirakul, aims to ease the public’s cost of living amid a sluggish economy. The scheme subsidises purchases of essential goods, education materials, and agricultural supplies from participating stores nationwide. Participants can use their benefits from Oct 29 to Dec 31, including on delivery platforms.

Deputy government spokeswoman Lalida Perdwiwattana said participants can now make payments via the Pao Tang application’s G-Wallet, which is linked to participating food delivery apps, allowing transactions without switching applications. “The Khon La Khrueng initiative remains a key mechanism for stimulating household-level economic activity,” Ms Lalida said. “Enabling users to access the scheme through delivery services will expand its reach to urban households, those working away from home, and individuals who find it difficult to make in-store purchases.”