Thailand's Digital Economy Minister Pushes Ahead with AI Law Amidst Investment Concerns

Thailand is actively progressing with its Artificial Intelligence (AI) Act, as confirmed by Digital Economy and Society Minister Mr. Chaichanok Chidchob during AI Governance Week 2026 in Bangkok. The proposed legislation, built upon the existing Electronic Transactions Act of 2001, seeks to create a robust legal framework to manage the increasing integration of AI into various sectors, including business, government, and daily life. This move comes despite some concerns regarding its potential to deter foreign investment. The government's commitment to AI governance is further demonstrated by the Electronic Transactions Development Agency (ETDA) and its AI Governance Centre (AIGC), which organized the event. Mr. Chaichanok emphasized that AI represents a transformative technological shift, necessitating careful regulation to ensure it serves humanity and the public good. Thailand has already shown strong performance in global AI governance evaluations, ranking highly in social acceptance and development inclusivity. Key aspects of the upcoming AI Act include the development of mandatory AI governance standards for government agencies, with proposals expected to be submitted to the Cabinet soon. Once approved, these will transition from voluntary guidelines to a compulsory framework for all state entities utilizing AI. Additionally, the authorities are considering two models for penalties for breaches of the AI Act: fixed financial penalties or fines calculated as a percentage of an organization's revenue. Beyond formal legislation, Thailand is also focusing on practical applications of AI ethics. Officials have produced a handbook titled 'AI Ethics and Governance for Schools,' offering guidance on responsible AI use for educational purposes, such as grading and lesson planning, and addressing youth-related risks like AI-driven cyberbullying. The AIGC plans to expand discussions on AI's role within the justice system and education sector, with the draft AI Act serving as the central piece of this broader governance strategy.