BANGKOK (Reuters) – Funding functions in Thailand dropped by 42% within the first half of 2022 in comparison with the identical interval final 12 months, official information confirmed on Wednesday, led by a pointy fall in international tasks as the worldwide economic system slowed.

International investments, which made up 60% of the general 220 billion baht ($6.22 billion) of functions in January-June, greater than halved year-on-year, information from the Board of Funding (BOI) confirmed.

However a surge in electrical automobile (EV) and digital investments bucked the pattern, and the BOI mentioned on Wednesday it had permitted a number of new main funding pledges.

“We’ll proceed to observe the scenario and alter our insurance policies and incentives to make sure Thailand stays the resilient vacation spot of alternative for world traders in quick rising sectors comparable to electrical autos,” BOI mentioned in an announcement.

The Southeast Asian nation has promoted high-tech sectors and supported EVs to take care of its standing as a regional auto manufacturing base.

In January-June, funding pledges in EVs surged 212% from a 12 months earlier to 42.four billion baht whereas ones within the digital sector jumped 202% to 1.45 billion baht, the BOI mentioned.

On Wednesday, the BOI permitted funding pledges value 44.5 billion baht – together with China’s BYD’s 17.9 billion baht challenge to provide EVs, and PTT’s 18 billion baht gasoline manufacturing challenge, the company mentioned.

(Reporting by Kitiphong Thaichareon, Satawasin Staporncharnchai and Panarat Thepgumpanat; Writing by Orathai Sriring; Modifying by John Geddie)

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