CIMB Thai Bank (CIMBT) has urged policymakers to prioritise sustainable investment in data centre projects to maximise the long-term benefits for the Thai economy.
Amid robust growth in foreign direct investment, particularly in data centre projects, the Thai government should focus on the quality rather than the quantity of investment, said Amonthep Chawla, chief economist at CIMBT.
In addition, he warned that data centres could place significant pressure on the country's energy, water and infrastructure resources if their development is not properly managed.
"As Thailand becomes one of the region's leading destinations for data centre investment, the Board of Investment [BoI] should seize the opportunity to prioritise projects that generate greater value for the economy, rather than relying solely on tax incentives to attract foreign investors," said Mr Amonthep.
He suggested the BoI adopt sustainability-focused investment criteria, such as setting standards for power usage effectiveness, promoting greater use of renewable energy, encouraging water recycling and waste heat recovery, and requiring reductions in lifecycle greenhouse gas emissions.
Investment promotion should also maximise domestic economic benefits by strengthening linkages with local suppliers, encouraging the use of local content, developing engineering and digital talent, facilitating technology and knowledge transfer, and supporting R&D, Mr Amonthep noted.
"If Thailand can strike the right balance between attracting investment, generating economic value and mitigating environmental impacts, the expansion of the data centre industry could become a key pillar of the country's digital economy and enhance its long-term competitiveness," he said.
In the first half of 2026, applications for BoI investment promotion exceeded 1.47 trillion baht, up 37% year-on-year, with data centres accounting for a significant share. Between 2024 and May 2026, the BoI approved investment promotion for 44 data centre projects with a combined investment value of 1.59 trillion baht.
Panida Tangsriwong, head of corporate and investment banking coverage at CIMBT, said Southeast Asia has steadily developed its data centre industry over the past two decades, beginning with Singapore before expanding to Malaysia, Thailand and Indonesia.
"Data centres are more than a standalone industry; they have a multiplier effect by stimulating investment across the supply chain. As this trend continues, data centre development will benefit the regional digital economy," she said.
Thailand has strong potential across a wide range of businesses within the data centre value chain, such as printed circuit board manufacturing, the production of advanced electronic materials, and the manufacture of electrical equipment and power systems such as transformers, switchgear, uninterruptible power supply systems and high-quality power cables, said Ms Panida.
Other industries with strong growth potential include cooling systems and energy-efficient solutions, specialised construction and engineering services, and industrial estates and other infrastructure supporting data centre investment, she said.
CIMB Group, the Malaysia-based regional banking group, has supported investors developing data centre projects and related supply chains across the region, including in Singapore, Malaysia, Thailand and Indonesia.
