AI Boom Sees Thailand’s FDI Applications Jump 80% to $41 Billion in First Half

Foreign investors applied to invest 1.37 trillion baht ($40.6 billion) in Thailand in the first half of 2026, up 80% from a year earlier, amid a wave of investments in artificial intelligence and data center projects.

The Board of Investment received 1,299 foreign and domestic applications to invest 1.47 trillion baht in the six months through June 30, with FDI bids targeting 877 projects, BOI Secretary General Narit Therdsteerasukdi said in a statement Thursday. The digital sector alone accounted for 1.12 trillion baht, or more than three-quarters of total applications.

The proposed investments, not all of which may come to fruition, are good news for the government of Prime Minister Anutin Charnvirakul, who has vowed to galvanize an economy where growth lags that of neighbors like Indonesia, Malaysia and Vietnam. They also show the impact of the war in the Middle East, which has driven up energy and other costs, is failing to derail the country’s attractiveness.

“Thailand’s investment growth held steady even as the world economy faced real turbulence,” Narit said. “This reflects strong investor confidence in Thailand’s potential as a base for the industries of the future.”

The investment surge comes as Thailand has emerged as a regional destination for AI and cloud infrastructure.

Global technology companies including Alphabet Inc.’s Google, Amazon Web Services and Microsoft Corp. have announced major investments to expand cloud and AI infrastructure in the country. In May, the BOI approved TikTok System (Thailand)’s 842 billion-baht data infrastructure expansion, including data-hosting services, servers and storage facilities.

Aside from the digital sector, electrical and electronics projects attracted 120.2 billion baht of applications, followed by agriculture and food processing at 61.4 billion baht; logistics and high-value services at 40.2 billion baht; and automotive projects at 25.7 billion baht.

Narit said the approved projects are expected to create more than 82,000 jobs, generate annual exports exceeding 1.24 trillion baht and consume about 386 billion baht of domestic raw materials each year.

“Investment value is not the only goal,” Narit said. “Real success means quality jobs, higher skills and better income for Thai workers.”