Samui leads Thai property growth

The Thai government has made no secret that it has big plans for developing the country’s island resort destinations. The foreign investment in Thailand has fueled the economy, which has seen an increase of almost 6 percent compared to last year. The government has said publicly that it plans to push for private investment in the country, which is giving most of the benefits to the huge development plans currently underway on the islands of Koh Samui and Koh Phangan.

"Continued growth in Asia is excellent news for property investment in Thailand, especially in the emerging markets of Thailand's islands of Koh Samui and Koh Phangan, where growth is primarily fuelled by spiraling regional tourism. Property prices in Koh Samui, an island with more five and six star resorts than any other in the world, grew by 50% per year, in 2006 and 2007,� said IIF head of international research Liam Bailey.

He expected that Koh Phangan, as the newcomer to the Thai luxury property market would prove to be a hot location for some time to come.