The Board of Investment will adopt a new role, to provide comprehensive incentives to investors early next year following amendments to the investment promotion law, according to secretary-general Chakramon Phasukvanich.

Parliament has already passed the amendments, in line with commitments under the World Trade Organisation to reduce tax incentives, which are seen as distorting trade.

Under the existing promotion policy, investors receive different levels of privileges based on where they invest.

Under the new policy, the value of privileges would not exceed a company's investment costs. It would allow the government to calculate fair costs for incentives offered to investors.

``I daresay that next year BoI will adopt a new role in providing investment promotion. It will not only offer privileges to investors, but also provide services to them,'' Mr Chakramon said.

He said the BoI would be given control of three activities: offering privileges and services to investors, promoting Thailand among foreign investors, and strengthening local investors' competitiveness.

The BoI yesterday opened three web sites: www.investmentthailnd.com for information on investment in provincial areas, www.b-intelligence.net for information on corporate executives, and www.i-expertnet.com which offers information on experts in Thailand.

Mr Chakramon said the government also wanted the BoI to strengthen its marketing role in positioning Thailand in overseas markets.

The agency will open two new representative offices overseas next year and the number of offices would increase to 14 in the next four years.

The offices would be given a larger role in persuading foreign investors to consider Thailand as part of the BoI's ``door knocking'' policy .

Under the marketing strategy, the BoI is required to study which industries should be promoted and developed. The government wants the BoI to pay attention to specialised industries instead of promoting general ones.

Finance Minister Somkid Jatusripitak said the reviews were needed so that the BoI could properly allocate budgets and staff.

``Many countries, such as Singapore and Germany, have their own distinctive industries while Thailand does not. Therefore the BoI should develop our own distinctive industries.''

As well, the BoI would strengthen its role in helping investors through the BoI Unit for Industrial Linkage (Build), which has helped to match assemblers and suppliers.

Mr Somkid said Build was now working only in the electronics and auto industries and should be widened.

In the year to April, the business value of links under Build was 2.2 billion baht, down from 2.6 billion in the same period of the previous year, due to the global economic slowdown.

Author: Chartrudee Theparat
Source: Bangkok Post