Thailand
Thailand: Registrations see further fall in April
New business registrations fell again in April, with the figures down 33% year-on-year from the same month last year after a 12% drop in March.
The Business Development Department reported yesterday business registrations totalled 3,996 last month, down from 5,944 in March.
On a monthly basis, registrations fell 34% from 6,066 in March.
The amount of registered capital totalled 9.01 billion baht in April, down 40% year-on-year from 15 billion and down 63% month-on-month from 24.6 billion in March.
The top three sectors for new business registrations in April were building and construction (471), real estate (169) and management consulting services (127).
Based on capital range, businesses with registered capital of less than 1 million baht made up for 2,944, while those with registered capital of less than 5 million baht totalled 980.
Businesses with registered capital of more than 5 million baht to 100 million totalled 64, and those with more than 100 million baht in registered capital numbered eight.
Vuttikrai Leewiraphan, the department’s director-general, attributed the fall in April largely to potential investors’ poor sentiment and a delay in making any new investment decisions.
Business operators continue to take a wait-and-see approach, weighing up the world’s economic situation and the impact of the virus, as indicated by the number of new business registrations and those that chose liquidation.
The number of businesses that ceased operations in April totalled 817, down 17% from the same month last year and 14% from March, with registered capital worth 3.78 billion baht, down 1% year-on-year and 16% from March.
The top three sectors ceasing operations were building and construction, real estate and restaurants.
For the first four months this year, the number of business registrations totalled 23,411, down 12% year-on-year, with registered capital worth 80.1 billion baht, up 19% from the same period of last year.
Mr Vuttikrai said the prospects for new business registrations are likely to recover in the second half of the year as the domestic impact from the coronavirus outbreak has eased and the government has announced a spate of economic stimulus and relief measures for the affected parties.
Registrations are forecast to return to normal conditions later this year, he said.
Source: https://www.bangkokpost.com/business/1925416/registrations-see-further-fall-in-april