Huawei has signed a three-year framework with the Science and Technology Ministry to develop the “digital economy” and smart cities nationwide, beginning with Bangkok.

Deputy Prime Minister Somkid Jatusripitak, who is visiting China this week, said yesterday that the agreement would also aim to help develop Thai agriculture and tourism.

The project will enjoy a corporate-income-tax deduction of up to triple the expenses.

The centre is expected to be established this year and with the hopes of opening up about 80 local jobs.

Besides Huawei, Somkid also met with executives from Baidu to discuss their expansion plans in Thailand.

Baidu recently launched a Chinese-language virtual map and travel-information application in Thailand to serve nearly 8 million Chinese travelling to Thailand each year.

Industrial corridor

Zhao Hongjin, president of overseas business at China Fortune Land Development Co, a developer of industrial parks and other real estate, said the company was interested in investing in a smart city in an industrial corridor in Thailand as well as in the CLMV (Cambodia, Laos, Myanmar and Vietnam) region.

The Board of Investment of Thailand will later host an investment forum for Chinese investors.

Li Zhigang, senior vice president of the Industrial and Commercial Bank of China, expressed interest in Thailand.

The bank will encourage its 5 million investors to expand in Thailand.

During his visit to Beijing, Somkid presided over the inking of an agreement for a submarine cable and terrestrial network by CAT Telecom and China Telecom Global.

The two parties will work on the submarine-cable project that the Thai Cabinet has already approved.

China Telecom Global will help CAT develop a high-speed Internet network for all countries in the region.

The Cabinet has approved |a budget of nearly Bt20 billion for broadband Internet development.

RELATED STORY 4B