Thai Bourse Surges 25% in First Half, Ranks Top Three in Regional Returns

 

 

Following a major first-half rally driven by safe-haven capital inflows, the SET unveils a major regulatory shake-up to list tech and EV giants.

 

The Thai stock market has delivered a stellar performance for the first half of 2026, generating returns of approximately 25 per cent and locking in a spot as one of the top three best-performing bourses in the region.

 

Capitalising on this momentum, the Stock Exchange of Thailand (SET) has unveiled a fresh strategic roadmap specifically designed to attract "New Economy" sectors to its trading board.

 

During the first half of the year, the benchmark SET Index rallied to reach 1,563.59 points, recording a year-to-date (YTD) return of +24.05 per cent.

 

Senior market analysts noted that the robust gains were heavily underpinned by sustained foreign capital inflows (Fund Flow) and a notable improvement in domestic political clarity.

 

Asadej Kongsiri, president of the Stock Exchange of Thailand, confirmed that the performance has placed the kingdom in an enviable position.

 

"Compared to the broader regional landscape, the Thai market has been exceptionally competitive, ranking second or third, trailing only South Korea and battling closely with Taiwan," Asadej stated.

 

Market observers attribute the strong capital inflows to growing international confidence in Thailand's political stability and a resilient Thai Baht.

 

The combination has effectively positioned the country as an attractive regional "safe haven" for institutional assets at a time when global financial markets are grappling with heightened geopolitical tensions and volatile energy prices.

 

 

 

 

The New Economy Roadmap

To future-proof the exchange, the SET is shifting its focus towards fast-growing industries that align with the government's flagship Eastern Economic Corridor (EEC) development plan.

 

The bourse is actively executing a three-pronged strategy:

 

BOI Investment Capture: The SET is partnering with the Board of Investment to encourage foreign multinationals—particularly from China and Taiwan—that operate wholly owned subsidiaries in Thailand to list those local entities domestically, replicating the successful model of Delta Electronics.

 

Listing Rule Deregulation: Working alongside the Securities and Exchange Commission (SEC), the exchange is streamlining the initial public offering (IPO) process. The reforms will slash listing times and introduce more flexible market capitalisation and profit requirements. Crucially, high-growth firms in key target sectors may be permitted to list before achieving initial profitability.

 

Industry Reclassification: The SET is evaluating plans to carve out a distinct "Technology" industry classification to make advanced tech and engineering firms highly visible to global portfolio managers.

 

 

"We expect these guidelines to become clear in the third quarter of this year," Asadej explained, though he noted a two-year transition window may be required for these New Economy firms to fully prepare for listing while maintaining market balance.

 

 

 

 

 

 

Global Roadshows and Macro Realities

The exchange plans to launch an aggressive international marketing campaign in the second half of the year, following positive investor feedback from recent roadshows in London and Hong Kong.

 

The central pillar of this outreach will be the SET Thailand Focus 2026: Reignite Thailand conference, scheduled for 26–28 August, which will mark the 20th anniversary of the event.

 

"Over the past 20 years, Thailand Focus has evolved into the country's premier international investment seminar and a trusted platform to showcase the resilience and long-term growth opportunities of the Thai capital market," Asadej added.

 

Further technical tailwinds are expected in the fourth quarter, with the bourse monitoring potential weight adjustments within the MSCI Thailand index.

 

Meanwhile, final discussions regarding the implementation of the permanent "TISA" long-term equity savings scheme are currently being finalised with the Ministry of Finance.

 

On the wider macroeconomic front, Asadej struck a realistic note. While acknowledging that pushing GDP growth back to historical highs of 7 per cent is practically unfeasible given structural infrastructure constraints, he maintained that a 4 per cent growth rate is entirely within the country's current potential.

 

"Despite challenges related to energy costs, Thailand's financial stability and superior Environmental, Social, and Governance (ESG) readiness set us apart from competitors. We remain confident that the Thai stock market will continue to be a compelling destination for foreign investors," Asadej concluded.