The government policies along with regulation were rehabilitated to make up their accountability and transparency. And also social reforms carried out in social service, human resource development, and social services. In the path of education, on-job training programs and job oriented education have taken a specific place.
Also, government enhanced the social services quality such as personal security, healthcare and public housing schemes. For the development of human resource, the government fully focused on the enhancement and performance of public officers via the knowledge transfer and technical expertise. Government also expects to improve the human resources with all adequate abilities and techniques.
Human resource has been the driving force of development of the economy and advancement of any other economy. For this type of case, knowledge, technology and abilities exchange with the other countries via many mechanisms such as annual consultation programs, joint commissions. These reforms in the economic sectors, social service, human resource and education development have played the key role in the advancement and development of the country via raise productivity of resources like labour and increased effectiveness and efficiency in the production process in every sector such as agriculture, industrial and service. In simple term, when competencies, skills, and human resource expertise go up, the productivity will increase the production cost will decrease.
Thailand government aims to encourage the capital inflows in the key economic sectors. In the year 2006, Thaksin Shinawatra government implemented the privatization process for the state-owned enterprises. In which, several state-owned organization was privatized except Thailand Petroleum Authority, Mass Communication Organization, and Airport Thailand Authority.
Also in 1999, the state Enterprises Corporation Act structured the framework of formulating the government firm into the stock companies and some corporations as an alternative to privatization. It also permitted the foreign investors to participate in the privatization with the many restrictions bestowed by the 1999 . This strategy encouraged the capital inflows in the country and marks the process to bring advanced techniques and technology into the economy. With privatization, efficiency and effectiveness of enterprises raise and also the quality of the service sector and manufacturing sector was uplifted. Such kind of privatization program helps in strengthening the development process in Thailand country.
Thai government took many steps in order to avoid the privatization process drawbacks. For the Targeted industries and the policy formulation, the Thai government highly concerned regarding the position that the country should put in the world of competitive. It expects to enhance the industries, which can add the value of the domestic economy, such as preserving the environment, creating more job opportunities and maintaining natural resources in a proper way.
Also, the government of Thailand is willing to search marketing places, which should not be served by any another country, particularly, market segments, where China isn’t competing. Some of the industries, in which country can work at the best efficiency and productivity, such as in agriculture sector, automobile and parts, fashion like leather goods, Thai silk, jewellery, healthcare, spa, long-stay tourism, energy & renewable energy and electronic industries.
Thai government already prepared some action plans in order to work in the selected industries. Government authorities are responsible for implementation, designing, trouble shooting and monitoring in the selected industries. Presently, Thailand has become one of the finest countries in the field of agriculture industry in the world. Thailand promoted the agricultural programs with the name of ‘Kitchen World’.
The government has found the industrial segments, in which the country can operate with the available resources at less cost by achieving higher efficiency and productivity as well as government reviews that countries are experiencing can match with industries, which wereselected. Recently, Thailand has been working with the suitable industries, raising its resources and itslabour employment is heading the sustainable growth and development. FDIs favorable policy and laws have been reviewed accordance with investor’s needs and changing objectives development. Policies and laws are reviewed once in every five years.
The FDI’s policy and laws in Thailand country are more comfortable when compared with other countries such as Vietnam. Furthermore, in the country of Thailand, FDI marketing has been strong and it renders every detail related to the economy, opportunities, investment incentives, promotion policies, BOI services, and international cost comparison and approval procedure for foreign investors accurately on time. Information is given in the brochures, websites and as slide presentations that can be updated frequently by FDI.