NXPO Executive Board meeting took place on 2 September 2020. The meeting was chaired by Prof. Dr. Anek Laothamatas, Minister of Higher Education, Science, Research and Innovation (MHESI). This is the first NXPO meeting that Prof. Anek attended since he was appointed to the ministerial post in August.
Dr. Kitipong Promwong, NXPO President, reported to Minister Anek and the board members on the progress of NXPO’s initiative in establishing Innovation Driven Entrepreneurship (IDE) Ecosystem to encourage research and innovation activities in the private sector. A number of mechanisms have been developed and implemented by NXPO in collaboration with organizations in the RDI system, such as the establishment of regional science parks, 300% RDI tax exemption and talent mobility. NXPO is in the process of implementing a few more programs such as SME Innovation Fund, financial instrument for Small Business Innovation Research & Small Business Technology Transfer (SBIR/STTR), and the setting up of innovation network for each individual industry cluster.
In addition, NXPO has performed in-depth system research on the promotion of innovation-based entrepreneurs in order to design and test new system and mechanisms to drive innovation. Based on the study, recommendations have been made in three areas: finance, manpower and infrastructure in order to promote innovation in enterprises.
- Recommendations on Finance.
- Introduce measures such as tax audit exemption and eligibility for the government’s financial assistance to encourage innovation-based businesses to register to pay tax.
- Expand the scope of R&D tax incentive to cover marketing innovation.
- Relax rules/regulations to allow private enterprises to be eligible for the government grant and encourage the transfer of knowledge and technology to small businesses.
- Expand the scope of loans to support operational excellence.
- Establish cashless infrastructure to facilitate microfinancing.
- Provide/increase tax credit to venture capitals and enterprises investing in SMEs.
- Build a network of business angel investors and promote equity financing.
- Set up SME Innovation Fund with contribution from large enterprises who will receive 200% tax exemption on the donations. The fund will be used to support SMEs in acquiring technologies & advanced equipment and conducting R&D.
- Develop financial instrument to support small businesses to develop new products and subsequently create new jobs.
- Recommendations on Manpower.
- Relax rules to allow government scholars bound by contracts with the public sector to work in the private sector to facilitate brain circulation.
- Expand programs such as Hi-Fi and ITAP that support experts to assist industry.
- Design mechanisms to attract foreign students to work in Thailand.
- Recommendations on National Quality Infrastructure (NQI).
- Encourage relevant agencies to develop a roadmap and identify focus sectors in order to support Thai industry.
Minister Anek acknowledged the report of NXPO and suggested that NXPO explore the mechanisms to support digital transformation and promote the use of big data. An initiative to put digital technology in the reskilling and upskilling program was proposed.
