Politics
Senator Proposes Allowing 100% Foreign Ownership to Combat Nominee Issues
Senator Prathum Wongsawat has suggested permitting full foreign ownership of companies in Thailand as a strategy to address the prevalence of illegal nominee arrangements.
According to a report by Thai Post on September 2, 2026, Senator Prathum Wongsawat has proposed a significant shift in Thailand’s foreign investment policy. The Senator suggests that allowing foreign entities to hold 100% ownership in companies could effectively resolve the ongoing issue of 'nominee' structures, where foreign investors use Thai citizens as proxies to bypass existing ownership restrictions.
For residents and expatriates, this proposal highlights a potential shift in the regulatory landscape regarding business operations and investment. If adopted, such a policy could simplify the process for foreign entrepreneurs to establish and manage businesses in the country without the need for local partners solely for compliance purposes. However, the proposal has sparked public debate, with some questioning the feasibility and implications of such a drastic change to the Foreign Business Act.
It remains to be confirmed whether this suggestion will be formally drafted into legislation or if it will gain sufficient support within the Senate and the broader government. As of now, the proposal remains a topic of discussion rather than an enacted change. Observers are waiting to see if the government will consider this approach as a viable solution to the long-standing challenges associated with nominee-led businesses in the Thai market.