Thailand's investment landscape witnessed remarkable growth in 2024, with applications surging by 35% to reach 1.14 trillion baht, the highest in a decade.

This upswing was predominantly fueled by foreign investments in data centres and cloud services, as reported by the Thailand Board of Investment (BOI) on Monday.

The Board's data indicates that foreign direct investment (FDI) saw a notable rise, increasing by 25% to amass 832 billion baht.

Singapore emerged as the leading contributor with 305 projects, mainly targeting digital services and electronics manufacturing.

These efforts accounted for 357.5 billion baht, representing 43% of total FDI applications.

Chronicling the digital revolution, the sector led investment rankings by value in 2024, with 150 projects pledging a combined 243 billion baht.

Notably, major corporations like Google's parent company, Alphabet, and Australia's NextDC sought to establish significant data centres, underlining Thailand's growing appeal as a regional tech hub.

Closely following the digital sector, the electronics and electrical appliances industry attracted investments worth over 231 billion baht.

The automotive, agriculture and food, and petrochemical sectors also saw substantial investments, enhancing Thailand's economic diversity and industrial capacity.

Narit Therdsteerasukdi, Secretary-General of the BOI, highlighted the strategic governmental efforts to position Thailand as a neutral and conducive environment for technological advancements.

The creation of Thailand’s Semiconductor Board and policies to mitigate geopolitical risks are poised to fortify this trend moving into 2025.

China ranked as the second largest FDI source, with investments exceeding 174 billion baht, primarily in printed circuit boards and automotive industries.

Additionally, Hong Kong, Taiwan, and Japan contributed 82.3 billion, 50 billion, and 49.1 billion baht respectively.

The total number of investment promotion applications increased by 40% in 2024, totaling 3,137 projects compared to 2023. Significantly, FDI constituted 73% of the total investment value, underscoring the international community's robust confidence in Thailand's economic prospects.

The BOI is actively coordinating with the Finance Ministry on the Top-Up Tax, designed to ensure that multinational enterprises meet a minimum corporate tax threshold, aligning with the 15% global minimum tax introduced on January 1.

The year 2024 marked Thailand as a burgeoning centre for digital investment, showcasing its capacity to attract substantial global backing while spearheading a diverse and resilient industrial expansion.