Thailand’s former premier Thaksin Shinawatra is calling for revival of the abandoned long-term equity fund scheme or LTF to revitalise the country’s stock market, according to a report in the Bangkok Post.
Launched in 2007, the LTF provided investors with tax breaks as long as they didn’t pull out from the scheme. It was shut down in 2019 and replaced in 2023 with the environmental, social and governance fund scheme, which also offers tax breaks.
Thaksin, whose daughter Paetongtarn Shinawatra is now the prime minister, doesn’t have a formal government role.
Speaking at a dinner last week, he is reported to have said that inventors’ trust, confidence and sentiment are key components to revitalise the stock market.
“We have to admit all three are absent at the moment… We must urgently bring them back,” he is quoted as saying in the Bangkok Post report published on January 17. “Offering more LTFs could boost the market, contributing to positive sentiment for the stock exchange.”
According to Thaksin, the Thai ESG Fund that replaced the LTF has not boosted the stock market, mainly because most of its investments are in bonds.
Spokespersons for the Prime Minister’s Office did not immediately respond to questions from Asia Asset Management.