Thailand Targets OECD Membership by 2028 with Comprehensive Legal Reform Roadmap

Bangkok: Prime Minister Pakorn Lakshmana has unveiled an ambitious roadmap for reforming Thailand's legal framework, with the goal of achieving membership in the Organization for Economic Cooperation and Development (OECD) by 2028. This initiative aligns with the government's policy to elevate Thailand's global standing. The plan involves the development of the "TH2OECD" system, which leverages AI technology to aid in legal reform, and introduces super licenses to facilitate business operations, ultimately enhancing competitiveness and investor confidence on an international scale.

According to Thai News Agency, Deputy Prime Minister Pakorn Nilapraphan outlined the progress and direction of Thailand's pursuit of OECD membership, emphasizing its importance in elevating the country to international standards. The government sees OECD membership not just as joining a "club of developed countries," but as a step towards achieving "Better Regulation for Better Life." Successful membership would boost the country's competitiveness, instilling confidence in consistent standards among investors and over 30 member nations. This would facilitate increased trade and investment opportunities without the need for individual bilateral agreements and strengthen trust in the government-an essential factor for future national development.

In the pursuit of aligning Thai laws with OECD standards, the Council of State has been actively working on the reform process over the past year. The challenge is substantial, given the vast number of existing Thai laws, including over 900 acts of parliament, more than 7,000 subordinate legislations, and over 21,000 legal processes that need to be adjusted to meet OECD's approximately 260 legal instruments.

Mr. Pakorn highlighted the development of the TH2OECD system, which utilizes Agentic AI and Graph RAG technology for legal processing. This system translates Thai laws into English, evaluates them against OECD instruments, and provides recommendations for gap closure. "We have reworked the database, converting PDF files into a machine-readable format for AI processing. Despite AI advancements, legal experts are required in the final review step, or what we call 'Human in the loop,' to ensure maximum accuracy," stated the Deputy Prime Minister. The OECD's Regulatory Policy Committee has commenced the evaluation of Thailand's legal framework. A successful evaluation would pave the way for simplifying the implementation of other dimensions, including digital, social, and environmental aspects, establishing a working model.

Additionally, Mr. Pakorn emphasized the need to reform Thailand's legal system to align with international standards, shifting from a traditional pre-audit control system to OECD standards that prioritize post-audit processes and public consultation. This includes amending the Business Facilitation Act to streamline licensing requirements into a single application (Super License), thereby reducing procedures and business costs.

The government also plans to amend subordinate legislation and is preparing to receive proposals from the Joint Committee of the Three Private Sector Institutions (JCC) in seven target industry groups. These proposals aim to identify and amend laws that are barriers to business, with immediate submission to the Cabinet without waiting for agency proposals. "Joining the OECD is not a political issue but a matter of national interest amidst high uncertainty. Without legal changes, which are controllable, we cannot increase the country's competitiveness," Mr. Pakorn asserted.