This article highlights foreign direct investment (FDI) in Thailand in 2025, the government’s transformative “Quick Big Win” initiative and recent updates to data center project requirements.

A Look at Thailand’s FDI Trends in 2025

From January to September 2025, the Board of Investment (BOI) reported investment promotion applications totaling 1.37 trillion baht (around USD 42 billion), representing a 94% year-on-year increase. This growth has been driven by targeted investments in key sectors such as:

• Digital infrastructure
• Smart electronics manufacturing
• Renewable energy
• Automotive technology
• Petrochemicals and chemicals
• Healthcare and medical industries

The top five FDI sources were Singapore, Hong Kong, China, the United Kingdom, and Japan. One of the key factors driving this increase is the BOI’s enhanced incentive schemes — including corporate income tax exemptions of up to 13 years, import duty exemptions, and non-tax benefits such as 100% foreign ownership, land ownership for conducting the promoted projects, and visa/work permit facilitation[1].

Thailand Accelerates Investment Approvals Through the FastPass System

To maintain the FDI momentum, the Thai government introduced the “FastPass” System under its “Quick Big Win” plan. This system aims to accelerate approval timelines by 20–50% across seven key agencies, including:

• BOI
• Department of Industrial Works
• Industrial Estate Authority of Thailand (IEAT)
• Office of Natural Resources and Environmental Policy and Planning (ONEP)
• Department of Employment
• Eastern Economic Corridor (EEC) Office
• Immigration Bureau

The FastPass system is designed to resolve major challenges for investors related to issues such as electricity supply, industrial land access, and visa and work permit procedures. These challenges have resulted in delays in commencing business operations in Thailand. To resolve these issues, the Subcommittee on Accelerating Investment has been appointed, comprising representatives from the key agencies mentioned above, to expedite essential business processes related to permit and license applications required for doing business in Thailand[2].

Recent Changes in Requirements for Data Center Projects

One of the strongest indicators of investor confidence is the rapid surge in data center investments, which is positioning Thailand as a key digital hub in ASEAN. To ensure sustainable growth, the BOI updated promotion conditions for data centers to emphasize resource efficiency, high environmental standards, and technology transfer to Thai talent. Eligible projects must demonstrate tangible benefits to Thailand in their applications, such as providing training, developing academic partnerships, conducting R&D, or enhancing the local supply chain[3].

The BOI has also revised the Corporate Income Tax (CIT) exemption period for data center projects. The duration now varies based on the category of the data center—such as high-efficiency power usage facilities versus other types—as well as the project’s location, specifically whether it is situated inside or outside the EEC. High-efficiency power usage data centers located outside the EEC will be eligible for an 8-year CIT exemption. These revised conditions and incentives will apply to investment promotion applications submitted from 14 November 2025 onward[4].

Who Is Likely to Be Affected or Benefit From These Updates

Businesses planning to expand operations or set up data centers in Thailand are the most likely to be affected by these updates. Companies should review their investment plans carefully to ensure alignment with the BOI’s updated criteria, which is essential to take full advantage of the available benefits and avoid potential delays or rejection of their BOI applications.

How Alvarez & Marsal Can Help

Alvarez & Marsal Thailand provides expert guidance to help businesses identify and capitalize on investment opportunities in Thailand. Our team of seasoned professionals provides a comprehensive range of services to support clients throughout all stages of applying for government incentives in Thailand, including the following:

• Feasibility study and evaluation of applicable incentives: review business and investment plans, conduct feasibility studies to assess eligibility for promoted activities, and provide practical insights to maximize the benefits of BOI incentives.
• Application and negotiation Support: prepare investment promotion applications, compile the necessary supporting documentation, liaise with BOI officials, and monitor application progress to ensure a successful outcome.
• Compliance support after obtaining government incentives: provide post-approval supports, including BOI reports, training, project commencement, and assist in reviewing manufacturing processes to ensure compliance with the requirements for essential production processes, both under Thai regulations and those of export destination countries.
• BOI health check and BOI due diligence: assess compliance with BOI conditions to identify any potential risks and provide recommendations to mitigate issues and retain privileges.
• Advisory service related to government incentives: advise on government incentives, including program strategy, investment promotion transfer, and the restructuring plan and process of BOI promoted companies.

For more information, please contact Alvarez & Marsal Thailand to explore how we can help your organization prepare for this new incentive framework and pursue investment opportunities in Thailand.