Thailand Country Summary

FATF Status

Thailand is no longer on the FATF List of Countries that have been identified as having strategic AML deficiencies

Compliance with FATF Recommendations

The last follow-up Mutual Evaluation Report relating to the implementation of anti-money laundering and counter-terrorist financing standards in Thailand was undertaken in 2023. According to that Evaluation, Thailand was deemed Compliant for 4 and Largely Compliant for 29 of the FATF 40 Recommendations. It was also deemed Highly Effective for 0 and Substantially Effective for 4 with regard to the 11 areas of Effectiveness of its AML/CFT Regime.

Thailand ranks 108 out of 180 countries in Transparency International's Corruption Perceptions Index, indicating significant corruption issues, particularly in government licensing and approvals. Despite a legal framework aimed at combating corruption, including the Organic Law to Counter Corruption and the Anti-SLAPP law, challenges persist due to state-level corruption and a politicized judicial system. Additionally, Thailand faces serious problems with human trafficking, drug trafficking, and financial crimes, exacerbated by the influence of foreign criminal groups and a lack of effective governance.

Thailand is classified as an upper middle-income country with a robust economy valued at half a trillion dollars, supported by pro-investment policies and advanced infrastructure. The civilian-led coalition government, formed after the May 2023 elections, prioritizes foreign direct investment and domestic stimulus as key components of its economic growth strategy, making Thailand a significant destination for foreign investment, particularly from U.S. companies.

Thailand has a generally favorable investment climate characterized by pro-investment policies and a well-developed infrastructure. The government actively promotes foreign direct investment, particularly through the Board of Investment (BOI), which offers various incentives and assistance to both domestic and foreign investors. Additionally, the U.S.-Thai Treaty of Amity provides U.S. businesses with significant advantages, allowing them to operate on the same basis as Thai companies, although certain sectors remain restricted.