Applications for investment promotion incentives in the first half of 2025 surged by 139% year-on-year to a record 1.06 trillion baht, primarily driven by investments in the digital sector, according to the Board of Investment (BoI).
The data centre industry alone attracted a total investment of 521.2 billion baht across 28 projects, as both foreign and local technology companies responded to the growing demand for cloud services from hyperscalers. These global cloud service providers, such as Amazon Web Services and Google, along with platforms like TikTok, have announced expansion plans in Thailand and the wider region.
In addition to data centres, the digital sector saw two investment applications for cloud services valued at a combined 671 million baht, while 59 applications totaling 669 million baht were filed for software and digital platform development projects.
Narit Therdsteerasukdi, secretary-general of the BoI, commented, “The applications over the past six months confirm that our strategy to focus on high-tech and high-value sectors is yielding positive results.”
The electronics and electrical (E&E) sector ranked second in investment value, garnering 125.7 billion baht in applications, reflecting a 9% decline compared to the previous year. Despite this, the number of projects increased by 51% to 268, including investments in battery cell and high-density battery manufacturing, supercapacitors, smart appliances, electronics, and printed circuit board assembly.
The automotive and parts sector saw 172 project applications, a 27% increase, representing a total investment of 45.2 billion baht, up 14%.
Overall, during the first half of 2025, there were 1,880 investment promotion applications, marking a 38% rise compared to the same period last year.
The BoI noted that foreign direct investment (FDI) projects made up 70% of the applications in the first half of 2025. There were 1,369 FDI applications, a 59% increase from the previous year, with a combined investment value of 737.5 billion baht—up 132%.
Singapore emerged as the top source of FDI applications in terms of value, mainly driven by projects in the digital and E&E sectors, totaling 246.9 billion baht and accounting for 33% of all FDI commitments. Hong Kong followed with projects worth 218.6 billion baht, mainly in digital and E&E industries. China ranked third with applications valued at 102.2 billion baht, primarily in the E&E, petrochemical, and chemical sectors.