Governments and banks wants a piece of the fast-growing e-commerce pie. Singapore, Thailand, Indonesia and Malaysia governments may consider imposing an e-commerce tax on online vendors and subject items to Goods-and-Service tax. Thailand’s Revenue Department estimated a boost of 15% annual increase in tax revenue if a e-business levy imposed.
Thailand Banks are also considering developing their own e-commerce platform to get a stake in t this fast-growing market place.
Thailand’s e-commerce market is estimated to expand by 9.86% to 2.8 trillion baht. Of the total value, B2B is forecast to amount to 60%, while B2C and business-to-government (B2G) are projected at 28.9% and 11.6%, respectively. However, there are challenges the banks face. They don’t have the expertise, networks, data or logistics.
But with massively growing markets and the vast opportunities these bring. We will see more and more diverse players moving into this space. Can they have an impact on the market or will the Governments tax initiatives dampen every bodies desire.
Commentary by Maverick Chung