Beyond investment attraction: Green investment governance for sustainable regional development in Bantaeng Industrial Estate

Abstract

Investment in natural resource-based industrial areas has become a key strategy for regional governments to stimulate economic growth and enhance competitiveness. However, investment policies often prioritize capital inflows without sufficient governance mechanisms to ensure environmental sustainability and equitable socio-economic benefits. This study examines investment governance in the Bantaeng Industrial Estate (KIBA) and proposes a Green Investment Governance framework for sustainable regional development. Using a qualitative case study approach through literature review and document analysis, the research analyzes government regulations, policy documents, official reports, and academic publications related to Foreign Direct Investment (FDI), investment governance, and sustainable development. The findings show that investment governance in KIBA remains predominantly growth-oriented, focusing on investment realization, employment generation, and regional revenue. Although this approach has improved investment attractiveness through infrastructure development and regulatory facilitation, it has not fully optimized local economic spillovers or addressed environmental and social risks. The study proposes a Green Investment Governance framework based on sustainability performance-based incentives, life-cycle investment governance, integrated investment monitoring, and strengthened transparency and public participation. This framework offers a policy direction for balancing economic competitiveness, environmental sustainability, and inclusive regional development in resource-based industrial areas.