Commerce Ministry Pushes IP Finance to Transform Intellectual Property into Capital for SMEs and Startups

Oramon Supataveedharm, Director-General of the Intellectual Property Department, revealed that the department is supporting the Ministry of Commerce's Quick Big Win policy to elevate intellectual property (IP) as an economic value creation mechanism. The goal is to develop an ecosystem that enables full commercial utilization of IP, especially by establishing a concrete IP Finance system for the country. Following discussions with Kittipong Polprayoon, Secretary-General of the Valuation Association of Thailand (VAT), the department aims to push IP as a financial asset that can genuinely connect businesses to financial mechanisms, including capital raising and financial collateral. Currently, using IP as business collateral in Thailand remains limited, as financial mechanisms still primarily focus on tangible assets. The department is urgently gathering insights from all sectors to create an IP Finance ecosystem that addresses key weaknesses, particularly concerns about valuing intangible assets and the lack of a secondary market for IP transactions. The department plans to collaborate with the World Intellectual Property Organization (WIPO), valuation associations, businesses, educational institutions, and financial institutions to enhance IP knowledge and valuation capabilities. They will also drive the IP Finance Thailand Pilot Project, establishing a six-pillar structure to create a comprehensive financial ecosystem that supports IP development, valuation, financing, and market expansion.