Brokers tout steps to enliven listless bourse

Measures may offer guideline for minister

- NUNTAWUN POLKUAMDEE

Brokerages are drafting a package of long-term tax incentives aimed at revitalising the capital market, hoping the measures can provide guidelines for the new finance minister Ekniti Nitithanprapas when he takes office.

Paiboon Nalinthrangkurn, chief executive of Tisco Securities and a board member of the Stock Exchange of Thailand (SET), outlined the proposals in a Facebook post, saying that they could serve as a foundation for the sustainable recovery of Thai equities.

The proposal includes a personal income tax exemption on dividends for investors holding Thai stocks for more than one year.

Another measure allows individuals to claim up to 500,000 baht annually in personal income tax deductions when directly investing in the Thai stock market, provided investments are held for at least three years, with flexibility to switch stocks.

A third proposal continues the 300,000-baht tax-deductible investment allowance for Thai ESG funds on a permanent basis, while another seeks to lower the risk weight of equity investments for life insurance companies from 25% to 10% to encourage greater participation in the Thai stock market.

Lastly, Mr Paiboon called for incentives for state-supervised institutions such as the Social Security Office and the Government Pension Fund to increase their allocations to Thai equities.