Foreign Investors Gain Confidence - Green Door Enterprises

Foreign Investors Gain Confidence

Foreign Investors Gain Confidence In Thailand's Growing Political Stability

Despite the well documented political turmoil in recent years, Thailand's economy has held it's own. Amidst a firestorm of political unrest and violent clashes between protesters and government troops, Thailand's currency remained rock solid. Foreign investment in property has remained strong, and with the seemingly encouraging signs of growing political stability, looks to be gaining momentum. Thailand enjoyed overwhelming economic success during the tenure of the controversial prime minister Thaksin Shinawatra, with one of Southeast Asia's strongest economies averaging growth of 5.7% GDP per year. 

With the growing uncertainty in the euro-zone, investors may find Thailand and Southeast Asia a more attractive place to invest

In July of 2011, Thailand elected their first ever female prime minister, Yingluck Shinawatra the sister of exiled former leader Thaksin. There are plenty of reasons for optimism regarding Thailand's future, with a stable political climate an increase in growth is expected. The Thai stock index surged shortly after the election, with investors showing confidence in what appears to be a stable democratically elected government. Now a few months after the election, the belief is that the current government will spur a rise in foreign investment, and economic growth. 

Thailand's property market is on the rise in 2011, with the price of detached homes up by over 12%. The value of residential land has also been on the rise, with an increase of more than 13%. Condominiums located on or near mass transit routes are expected to rise modestly in value by just 5% in 2011. There has also been a significant increase in demand for rental property in Pattaya. Political stability could spell a positive future for property development and real estate prices in Thailand.

With the growing uncertainty in the euro-zone, investors may find Thailand and Southeast Asia a more attractive place to invest. The future looks bright for Thailand, and despite the troubles in Europe and The United States, Thailand's economy remains strong. The current government is expected to bring peace and stability that will encourage overseas investors, and bring the economy back to where it was during the reign of Thaksin. In the early days since Yingluck's victory in the July election, all signs seem to indicate that Thailand is emerging stronger than ever, however only time will tell.

There are still plenty of questions looming, the potential return of exiled former prime minister Thaksin, is a sensitive issue that his sister Yingluck will have to tackle carefully. The rumors of Thaksin's return have been floating around even prior to the election, and even some of Yingluck's supporters feel that it might be best for Thailand that Thaksin remain in exile. It is unlikely for Thaksin to return unless a deal is reached that won't have a negative impact on Thailand's political future and stability of government. While issues such as royal succession and a potential return of Thaksin threaten to rock the boat, it is more than likely that the economic future of Thailand will remain strong. The current government enjoys strong support from the people, and all indications are that the political climate will remain stable for the near future.