Top execs call for transparency in doing business
Experts have urged the government to increase transparency on doing business in Thailand to remain competitive among other countries and reap benefits from the Asean Economic Community, which will come into effect in 2015.
Speaking at the Bank of Thailand’s symposium on “Keeping Pace with Rising Asia”, Vikrom Kromadit, chairman of Amata Corporation, said the government should help increase transparency so as not to erode Thailand’s economic stability and growth potential.
Also, some rules and regulations such as ceilings on foreign investment were too stringent and civil servants were inefficient. “If we [Thailand] need to step up as a leader [in Asean], we need to resolve the problem of corruption and regulations,” Vikrom said.
Kan Trakulhoon, chief executive officer and president of Siam Cement Group (SCG), also said transparency was essential in doing business.
No matter which government takes office, long-term policies especially on research and development should continue. “We suggest the R&D budget be 3 per cent of GDP,” Kan said. In the 11th National Economic and Social Development Plan (2012-16), the R&D budget is set at 1 per cent of gross domestic product.
Kan also cautioned that the main obstacle for Thai companies was their mindset of staying in the comfort zone of the home country and being afraid to invest overseas.
SCG has expanded its home boundary to Asean from only Thailand, he said, expecting to make more investment in the region in the future.
The group’s regional operations extend from Vietnam to the Philippines. Its assets in Asean amounted to Bt44.2 billion, or 12 per cent of the total, as of the first half of this year, up from Bt13 billion or 5 per cent of total assets.
“We will have a bigger investment budget for Asean and put more into Vietnam,” Kan said.
