While Thailand's economy has performed with tepidness, with the World Bank suggesting this year and next year's growth would be 2.5 and 2.6 percent, respectively, growth in security has been more noticeable – with many companies citing double digit growth expected for this year.
A main reason for this is an anticipated spending increase by Thailand's military government, which has allocated budgets for infrastructure development and expansion. The move is expected to give the country's security industry a boost.
“The current government is striving hard to move Thailand forward and is pushing through infrastructure projects such as rail, which requires comprehensive security systems,” said Henny Beeber, CEO of AES Group. “The Red Line metro rail project in Bangkok commenced on June 28, and estimates indicate almost 4,000 cameras and 500 access doors are required for this project alone.”
Upgrading the country's major airports is part of the government's infrastructure expansion plan as well. The two major international airports of Bangkok, Suvarnabhumi and Don Mueang, are currently undergoing expansion. Upgrades for four other airports in Thailand – Chiang Mai, Chiang Rai, Phuket and Hat Yai – are also being planned. These projects are expected to benefit security as well.
“The Airport Organization of Thailand (AOT) has awarded a large contract earlier this year to upgrade the CCTV systems in the major airports of Thailand,” Beeber said. “The Suvarnabhumi Airport Terminal 2 project is expected to finally move forward this year and will require an upgrade of the existing access system in Terminal 1 and a comprehensive security system including IP video surveillance, access control and alarm monitoring.”
Besides government spending, a noticeable increase in private investment has also been seen, due possibly to the perception that the government has made Thailand more stable. This has drawn investors to put money in various sectors including real estate, retail, and hospitality.
“Many five- and six-star hotels are currently under development in Thailand and the region including Park Hyatt (Bangkok), Rosewood (Phnom Penh, Bangkok and Phuket) and Ritz Carlton (Bangkok). These hotels are implementing comprehensive integrated security systems to meet the stringent global requirements of these brands,” Beeber said.
Finally, a rise in criminal activities also serves as a growth driver for security. This has gained significance especially after the Bangkok bombing last year. “I believe that at this point in the development it is expected by the residents that proper CCTV coverage and security be provided at locations they frequently visit such as walking through the city, shopping malls, condos, hotels and tourist attractions,” he said.