Page 16 - FDI Alliance International Magazine Summer 2020 Digital Interactive Issue

Thailand continues to garner the attention of
the world for its successful pandemic strategy.
As a result, investments in the medical sector
are trending upward and continue to be a
bright spot among FDI into Thailand.
BY RACHEL DURAN

THAILAND MEDICAL SECTOR FOCUS

There is a direct correlation between the uptick in Thailand’s medical sector Following Japan, leading investors in the first half of 2020 include China,
and the country’s management in containing the spread of COVID-19. The Singapore, the Netherlands, Taiwan, Hong Kong, Indonesia and the United
World Health Organization is filming a documentary featuring the countries States. Breaking down investments on a regional basis, Asia generated the
of Thailand and New Zealand and how they were successful in minimizing most FDI into Thailand, followed by Europe and North America.
the spread of COVID-19. What’s more, Thailand is ranked No. 6 on the Thailand’s medical sector is booming
Global Health Security Index for its pandemic preparedness.
Of interest are the investments in Thailand’s medical sector. Companies
Corporations and investors are taking note of Thailand’s successes. want to invest in locations with a critical mass of advantages in order to
During the peak of the pandemic, Thailand’s businesses were able to keep establish thriving and expanding operations. To further encourage these
factories running, avoiding COVID-19-related interruptions. Additionally, investments, in April, the BOI announced stimulus packages to support
data storage operations continued to operate, providing investors with innovations in the medical sector.
confidence in their abilities to manage the crisis. With Thailand’s firm
grasp on managing the pandemic, its excellent public health infrastructure,
its network of rural hospitals and robust biopharma industry, it shouldn’t With Thailand’s firm grasp on managing the pandemic, its
come as a surprise that the country has experienced an upswing in medical- excellent public health infrastructure, its network of rural
hospitals and robust biopharma industry, it shouldn’t come
related investment.
as a surprise that the country has experienced an upswing
in medical-related investment.
FDI commitments into Thailand’s sectors, from January to June 2020,
increased 7 percent from that same period last year, with 754 projects
announced in those months. The investment value fell 17 percent to 158.9 The numbers speak for themselves. During the first six months of 2020
billion baht due to COVID-19 and the smaller average size of projects. the BOI experienced a noteworthy increase in the number of applications
However, despite the pandemic, Thailand grew its share of FDI. filed for medical sector projects: 52 projects worth 13 billion baht. These
applications represent a 174 percent increase in the number of projects
Japanese companies continue as the top investors in Thailand; the country and a 123 percent increase in investment value compared to the same
has been Thailand’s leading foreign investor since the 1980s. Seventy period last year.
percent of the companies listed on the Japanese stock market have
investments in Thailand. Investors are attracted to Thailand’s thriving and Thailand is a regional medial hub, and every year the country hosts more
well-established supply chain and the country’s excellent connectivity and than 3 million international medical tourism patients, says Secretary General
physical infrastructure, notes Thailand Board of Investment’s (BOI) Secretary Asawachintachit. Additionally, the country is home to highly qualified and
General Duangjai Asawachintachit. certified hospitals and medical personnel. The government has also ramped

16. FDI ALLIANCE INTERNATIONAL