Thailand’s Declining Transparency Raises Concerns for Investment and OECD Aspirations
– Thailand’s economic outlook is facing increased scrutiny following a sharp decline in its Corruption Perceptions Index (CPI) score, reaching a 14-year low. The country received a score of 33 out of 100, placing it 116th globally and falling below the world average of 42, according to Transparency International’s 2025 report.
The concerning score has prompted warnings from the Joint Standing Committee on Commerce, Industry and Banking (JSCCIB) and the ‘JSCCIB and Friends Not Tolerating’ network, who argue that the issue extends beyond mere perception and poses a significant structural risk to the Thai economy. Concerns center on foreign investor confidence, the nation’s competitiveness and its long-term goal of joining the Organisation for Economic Co-operation and Development (OECD).
The private sector has highlighted that the reduced score, particularly in areas reflecting business and investor perspectives, signals ongoing challenges related to transparency in business operations, fair competition, and trust in the judicial process.
“Corruption is not just a moral problem, but an economic cost that undermines the country’s potential.”
— Perspective from the ‘Friends Not Tolerating’ network
Government Urged to Act Despite Interim Status
Despite operating in a caretaker capacity, the JSCCIB and its network believe the current government retains the authority to maintain stability and the country’s image. They are urging swift action to elevate standards of good governance, transparency, and the rule of law, aligning them with international benchmarks.
Key proposals include strengthening the independence and efficiency of the judicial system, reducing undue influence on policy decisions, promoting public participation, providing robust protection for whistleblowers, and improving data integration across government agencies.
A central recommendation is accelerating the connection of data across government entities – a “Connect-the-Dots” approach – to create a Data Bureau capable of overseeing and enforcing laws systematically. This would involve collaboration between key organizations such as the Bank of Thailand, the Securities and Exchange Commission, the National Anti-Corruption Commission, the Anti-Money Laundering Office, the Customs Department, and other regulatory bodies.
The aim is to reduce “information gaps” often exploited for corrupt practices and enhance the detection of irregularities through big data and digital systems.
Continuing the ‘Six-Sided Anti-Corruption Framework’
The ‘JSCCIB and Friends Not Tolerating’ network has affirmed its commitment to continuing its six-pronged anti-corruption framework, even after the recent elections. The framework encompasses:
- Cultivating ethical awareness
- Implementing anti-corruption policies
- Establishing risk management systems
- Leveraging technology and data
- Promoting open data initiatives
- Creating safe reporting channels
The network also plans to launch a new initiative focusing on “10 bribes that the private sector must pay,” highlighting hidden costs that distort fair business competition.
Structural Stakes for the Thai Economy
The private sector warns that failure to address these issues promptly could expose Thailand to systemic risks, including lost investment opportunities, pressure on its credit rating, delays in upgrading to international standards, and setbacks in its pursuit of OECD membership.
In a globally competitive economic landscape, transparency is increasingly recognized as a strategic competitive factor, comparable to infrastructure and macroeconomic stability.
The JSCCIB and its network emphasize the private sector’s willingness to collaborate with the government to establish transparency as the foundation for trade, investment, and sustainable, high-quality growth in Thailand.
Thailand’s economy is currently grappling with deflationary pressures, with the consumer price index falling in recent months. , the nation’s inflation rate for May was recorded at -0.57% year-on-year, marking the second consecutive month of decline. Core inflation rose by 1.09%, diverging from trends in other countries where inflation is returning to normal levels. Economists are concerned this could lead to economic stagnation, as consumers delay spending and businesses postpone investment.
The Bank of Thailand has cut rates by 75 basis points to 1.75% but paused further easing in amid high public debt (64.4% of GDP) and uncertain inflation recovery.
