The Thai government has long believed in a free and open economy and is recognized for its transparency in dealing with foreign investors.  Thailand is ranked 13th from 181 countries on the ease of doing business by the World Bank in its 2009 report , with the 1st ranking going to Singapore.  From the same report, it is ranked 44th on starting a business, 56th on employing workers, 11th for protecting investors, 10th for trading across borders, and 25th on enforcing contracts.

In general, foreign investment is welcome in Thailand; though restrictions are placed on certain key businesses, exemptions are granted for businesses given investment incentives. The main legislation governing foreign investment is the Foreign Business Act which sets out the types of businesses open to foreigners as well as regulations and restrictions.  For certain specific sectors such as financial institutions business, insurance business, and real estate; foreign participation is set out under specific laws.
Many incentives are granted through the Board of Investment (BOI), the Industrial Estate Authority of Thailand (IEAT), and the Petroleum Act which give special consideration and tax incentives to target and priority businesses and products.  Further the BOI and IEAT may grant investment incentives and exemptions to legal restrictions concerning priority or target industries.