BOARD OF INVESTMENT

The BOI was established by the Investment Promotion Act of 1977 for the purpose of administering a program of incentives for people establishing or expanding business enterprises , foreign or Thai owned, deemed desirable by the Thailand government. Where suitable, approved projects are granted special privileges by the BOI provided they are in accordance with the guidelines listed below.

Foreign Ownership: Foreign investors often seek to own all, or at least a majority interest, in their manufacturing subsidiaries to be established abroad. Where such a subsidiary in Thailand seeks BOI privileges, the BOI will allow it to be majority or 100% foreign owned but only if the promoted company exports a substantial amount of its production. If the promoted company wishes to sell to the local market, the BOI usually requires majority Thai ownership of said company.

Privileges and Promotional Certificate: Investors who wish to seek promotional privileges must file an application in duplicate.  If the application is approved the applicant will be notified and provided with an application form for a Promotional Certificate. Usually, a six-month period is specified within which the qualifying conditions must be met. An applicant must, within this six-month period, demonstrate good faith by forming a legal business organization, and by submitting copies of company documents and a preliminary list of capital, equipment and materials. The Promotional Certificate will list all the special privileges granted to the promoted company. 

 

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