Thailand BOI Approves 200 Billion Baht Investments in Rail and Digital Infrastructure Projects
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The Thailand Board of Investment (BOI) at a meeting today approved investment applications worth a total of 200 billion baht (ca. US$ 5.9 billion) in rail and digital infrastructure projects. The meeting also approved incentives to encourage public – private joint ventures in hospital projects.
The first approved project is Bangkok Expressway and Metro PCL’s 109.2 billion baht investment in the construction of the Orange Line which will connect Bangkok’s western and eastern suburbs, from Bang Khun Non to Min Buri (Suwinthawong), over a distance of 35.9 kilometers, facilitating travel in the city. The new line will offer many connecting points to the existing Blue Line, Red Line, Pink Line, Purple Line and Airport Rail Link.
“The projects as well as the policy measures approved today will reinforce Thailand’s overall infrastructure, in the rail transport, digital and healthcare sectors,” Mr. Narit Therdsteerasukdi, Secretary General of the BOI, said after the meeting. “Ensuring that the digital infrastructure, including data centers, keeps in line with the demand of foreign investors and local entrepreneurs is essential to Thailand’s competitiveness in the age of the digital economy.”
The board approved three data center and cloud services projects, by three different operators, which will be respectively located in Bangkok, Chonburi, and Rayong. The projects, which include one hyperscale data center, represent a total investment of 90.9 billion baht and a combined IT load of almost 350 MW.
The details of the three data center projects are as follows:
- China’s Beijing Haoyang Cloud Data Technology Co., Ltd. will invest 72.7 billion baht to setup a data center with an IT load of 300 MW in WHA Eastern Seaboard Industrial Estate 4, in Rayong Province;
- Singapore-based Empyrion Digital will invest 4.72 billion baht to setup in Bangkok a data center with an IT load of 12 MW;
- GSA Data Center 02 Co., Ltd., a Thai company, will invest 13.5 billion baht to setup in Chonburi Province a data center with an IT load of 35 MW.
Healthcare Sector
The Board also approved a review of the eligible business types in the healthcare sector, aimed to expand the scope of investment promotion and raise the standard of medical services in the country.
Companies entering joint ventures with government agencies according to the Public-Private Partnership (PPP) scheme to build hospitals with a capacity of at least 91 beds for overnight patients will be eligible to two additional years of corporate income tax exemption on top of standard benefits.
In line with this revised policy, the Board approved in principle a request from the Ministry of Health to grant those benefits to a first hospital project in Rayong province which will be built under a Build-Transfer-Operate (BTO) process under the PPP scheme.
”By supporting PPPs in hospital projects, the BOI will help increase the standard of medical services to reach all groups of people, while further promoting Thailand as a regional medical hub,” Mr. Narit said.
