The number of new business registrations fell for the fourth consecutive month in September, leading the Commerce Ministry's Business Development Department to admit the total may not reach 80,000 this year as earlier projected.
The department reported yesterday that the number of new business registrations tallied 6,313 last month, down 3% year-on-year, compared with a 10% fall in August, a 0.3% drop in July and a 0.2% drop in June.
Registered capital rose 52% year-on-year in September to 48 billion baht.
The top three categories for registrations were building construction, property and restaurants.
All are benefiting from the government's transport projects and growing tourism.
In the past nine months, new business registrations totalled 56,271, up 1% from the same period last year, with a combined registered capital of 240 billion baht, down 9%.
Vuttikrai Leewiraphan, director-general of the department, said that given September's drop and prospects for the remaining months of the year, the department is not optimistic that business registrations will reach 80,000 as earlier expected, citing the base factor and the absence of government measures to stimulate business registration.
The number of new businesses registered with the Commerce Ministry hit a five-year high of 74,500 in 2017, up 16% from 64,200 in 2016, driven by the recovering economy, growing tourism and the state welfare scheme.
The government's tax incentives to support individual entrepreneurs, especially for gold trading, drug stores and real estate, in establishing businesses through juristic persons also played a vital part in driving registration last year.
The government's massive investment in myriad infrastructure projects encouraged confidence in the private sector.
Total registered capital of new companies surged 119% year-on-year to 519 billion baht.
Mr Vuttikrai said the department still believes that new business registrations this year will increase by more than 7% on last year, citing government investment in both infrastructure and the Eastern Economic Corridor as stimuli for private investment.
