Key Highlights  Muslim population in southern region presents significant opportunity   Positioned to become a regional hub for Islamic finance in Southeast Asia.  Islamic funds have a combined AuM of US$46.27 million  Overview  The Islamic investment landscape in Thailand has been gradually expanding over the past three decades. Making up about 5-6% of Thailand’s otherwise mainly Buddhist population, the majority of Muslims reside in the southern provinces along the Malaysian border – where this populace is exposed to and influenced by Malaysia’s Shariah initiatives.  In June 2013, iBank revealed plans to issue a THB5 billion (US$143.58 million) Sukuk, marking the country’s first attempt to attract Islamic investors and promote Shariah compliant investments in the local market. However, there has been no Sukuk issuance to date, largely due to ongoing political unrest that has created uncertainty in the sector.  Thailand is making efforts to develop its investment sector by offering incentives to attract foreign capital. The Eastern Economic Corridor (EEC) initiative targets key sectors like technology, aerospace, and biofuels. While not specifically focused on Islamic finance, as the region develops, opportunities for Islamic investors may arise within these growing sectors. The initiative aims to boost Thailand's economy and create new avenues for investment growth.  Regulatory Framework  Thailand's capital market operates...