Thailand
Thailand: EEC target invigorated
The Eastern Economic Corridor (EEC) Office plans to increase its investment of 1.7 trillion baht in targeted industries as global trade and investment are expected to rebound with US president-elect Joe Biden’s rise to power.
Officials are adjusting the five-year investment plan, which starts this year, and will forward the new version to Deputy Prime Minister Supattanapong Punmeechaow for approval in the next two weeks.
“We see positive sentiment in the global economy after Joe Biden won the US presidential election,” said Kanit Sangsubhan, secretary-general of the EEC Office.
Foreign investors are searching for new business opportunities and new markets for their products and services, and Thailand is a preferred destination, he said yesterday.
Of the 1.7-trillion-baht investment target, 367 billion is for infrastructure development, while up to 1.42 trillion is allocated to high-tech industries, including next-generation cars, robotics, medical technology as well as aviation and aerospace.
“The global economy should recover as the world expects a vaccine,” said Mr Kanit.
The EEC Office is also planning to set a separate “integrated budget” worth 20 billion baht in for fiscal 2022 for investment in the EEC.
The budget is money pooled from 22 ministries, state enterprises and state agencies working on EEC projects.
The 20-billion-baht budget will finance various development projects, including modern agriculture, the public health system during the pandemic and educational development.
“This budget comes close to that of the preceding fiscal year [2021],” said Mr Kanit, adding the integrated budget was previously set at 36.8 billion baht for 2018-20.
The EEC Office said the 30-billion-baht investment in the maintenance, repair and overhaul (MRO) centre as part of the EEC’s aviation infrastructure development is expected to be delayed for one year because global airlines have still not recovered and debt-ridden Thai Airways International is undergoing business rehabilitation.
The MRO centre, which is located in U-tapao airport in Rayong, is among many mega-investment projects. The state plan to promote aviation and related industries in the EEC makes the MRO centre crucial.
The government wants to make the EEC a high-tech industrial hub in Thailand. The zone spans 30,000 rai in three provinces: Chon Buri, Rayong and Chachoengsao.
Source: https://www.bangkokpost.com/business/2017463/eec-target-invigorated