Tuesday, January 09, 2007
Thai stockmarket gets jitters again.
The Thai government has approved plans to tighten rules regulating foreign businesses. The Cabinet has agreed in principle to changes in the Foreign Business Act. The market is concerned that the new rules will force foreign firms to reduce their Thai holdings. The market is still very nervous following last month's stock market crash sparked by the governments decision to limit the amount of money that could be withdrawn by investors and the bombs in Bangkok at New Year. Rumours of a further coup will not have helped either. According to The Nation here foreign ownership in Thai businesses will be limited to about 50% and according to the Bangkok Post website the stock market shed 2.69 per cent today.