Board of Investment Thailand: A Complete Guide for Foreign Investors

Thailand has long been one of Southeast Asia’s most attractive destinations for foreign investment. Its strategic location, skilled workforce, developed infrastructure, and pro-business policies make it a regional hub for manufacturing, technology, and services. At the center of this investment ecosystem is the Board of Investment Thailand (BOI)—a government agency dedicated to promoting, supporting, and facilitating both foreign and local investments.

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This guide provides a comprehensive, up-to-date explanation of the Board of Investment Thailand, its role, incentives, eligible industries, and how investors can benefit from BOI promotion.

What Is the Board of Investment Thailand?

The Board of Investment Thailand (BOI) is a government authority operating under the Office of the Prime Minister. Its primary mission is to encourage investments that strengthen Thailand’s economy, enhance competitiveness, and support sustainable development.

Unlike general business registration authorities, the BOI offers special privileges and incentives to companies that meet specific criteria, especially those contributing to innovation, advanced technology, exports, and regional development.

Why the Board of Investment Thailand Is Important

The BOI plays a strategic role in shaping Thailand’s economic future. It does so by:

• Encouraging high-value and knowledge-based industries

• Reducing dependency on low-cost labor manufacturing

• Supporting foreign direct investment (FDI)

• Promoting technology transfer and workforce development

• Enhancing Thailand’s global competitiveness

For foreign investors, BOI promotion often determines whether Thailand is a viable and cost-effective investment destination.

Key Benefits Offered by the Board of Investment Thailand

One of the main reasons investors seek BOI promotion is the extensive range of incentives. These benefits are divided into tax incentives and non-tax incentives.

1. Tax Incentives

BOI-promoted companies may qualify for:

• Corporate income tax exemption (up to 8 years, depending on activity)

• Corporate income tax reduction after exemption period

• Import duty exemption on machinery

• Import duty exemption or reduction on raw materials for export production

• Double deductions for transportation, electricity, and water costs

• Additional deductions for infrastructure and facility installation

These tax privileges significantly reduce startup and operational costs.

2. Non-Tax Incentives

In addition to tax benefits, the Board of Investment Thailand provides crucial non-tax advantages, including:

• Permission for foreign investors to own land for BOI-approved projects

• Permission to bring in foreign experts and skilled workers

• Simplified visa and work permit procedures

• No foreign ownership restrictions for promoted activities

• Freedom to remit foreign currency abroad

These incentives are especially valuable for multinational companies and regional headquarters.

BOI-Promoted Industries and Activities

The Board of Investment Thailand prioritizes industries that align with national development strategies. These industries are categorized into several groups.

High-Priority Industries

• Advanced manufacturing

• Electronics and smart devices

• Automotive and electric vehicles

• Digital technology and software development

• Biotechnology and medical devices

• Renewable energy and environmental services

• Aerospace and aviation

• Food innovation and agriculture technology

Service and Knowledge-Based Sectors

• International business centers

• Research and development (R&D)

• Logistics and supply chain management

• Data centers and cloud services

• Regional headquarters and shared service centers

Each activity has specific requirements related to capital investment, technology, and employment.

Who Can Apply for BOI Promotion?

Both Thai and foreign companies can apply for BOI promotion. Eligible applicants include:

• New business projects

• Existing companies expanding their operations

• Joint ventures between Thai and foreign entities

• Wholly foreign-owned companies (in BOI-approved sectors)

There is no minimum Thai shareholding requirement for BOI-promoted businesses in most categories.

BOI Application Process Explained

Applying for BOI promotion involves several structured steps.

Step 1: Business Planning

Investors must prepare a detailed business plan outlining the project scope, technology, investment value, and economic contribution.

Step 2: Online Application Submission

Applications are submitted through the BOI’s digital platform along with supporting documentation.

Step 3: BOI Review and Interview

The BOI evaluates the project and may request a clarification meeting or interview.

Step 4: Approval and Promotion Certificate

Once approved, the investor receives a BOI promotion certificate outlining the granted privileges.

Step 5: Compliance and Reporting

BOI-promoted companies must comply with ongoing reporting and performance conditions.

BOI vs Non-BOI Companies in Thailand

Aspect	BOI-Promoted Company	Non-BOI Company
Foreign ownership	Allowed (100%)	Restricted in many sectors
Corporate tax	Exempt or reduced	Standard tax rates
Import duties	Often exempt	Fully payable
Work permits	Streamlined	Standard process
Land ownership	Allowed for projects	Generally restricted

This comparison highlights why BOI promotion is highly sought after.

Challenges and Compliance Considerations

While BOI incentives are attractive, compliance is critical. Companies must:

• Meet minimum capital requirements

• Hire the required number of Thai employees

• Submit annual progress reports

• Operate strictly within approved activities

Failure to comply can result in suspension or revocation of BOI privileges.

Choosing the Right BOI Strategy

Navigating BOI regulations requires expertise, particularly for foreign investors unfamiliar with Thai laws. Many businesses choose to work with experienced advisory firms such as Interloop Thailand to ensure accurate structuring, compliance, and long-term success.

Future Outlook of the Board of Investment Thailand

The BOI continues to evolve its policies to attract next-generation industries. Key focus areas include:

• Digital transformation and AI

• Green and sustainable investments

• Smart cities and infrastructure

• High-skill employment creation

These trends indicate Thailand’s commitment to remaining a top investment destination in Asia.

Frequently Asked Questions (FAQs)

What is the main purpose of the Board of Investment Thailand?

The BOI promotes domestic and foreign investment that supports Thailand’s economic development, innovation, and competitiveness.

Can foreigners own 100% of a BOI company?

Yes, in most BOI-approved activities, foreigners can own 100% of the company.

How long does BOI approval take?

The approval process typically takes 40–90 working days, depending on project complexity.

Is BOI promotion available for small businesses?

Yes, certain BOI activities support startups and SMEs, especially in technology and innovation sectors.

Do BOI incentives last forever?

No, tax incentives are time-limited, but non-tax privileges may continue as long as the company remains compliant.

Can an existing company apply for BOI promotion?

Yes, existing companies can apply when expanding operations or adding BOI-eligible activities.

Final Thoughts

The Board of Investment Thailand remains a cornerstone of the country’s investment framework, offering unparalleled incentives, strategic support, and long-term opportunities for growth. For investors seeking access to Southeast Asia, BOI promotion can be a decisive factor in building a successful and compliant business in Thailand.