The Interior Ministry today withdrew for review a controversial draft ministerial regulation that would pave the way for limited foreign land ownership in exchange for investments in Thailand.

Government Spokesman Anucha Burapachaisri said the Cabinet approved the withdrawal to allow the Interior Ministry to assess potential impact of the new regulation which is designed to spur foreign investments.

The regulation has come under heavy criticism by the opposition  politicians and government critics who accuse the Prayut government of attempting “to sell off the country”. The draft regulation is currently being vetted by the Council of State.

Anucha said in withdrawing the regulation, the Interior Ministry proposes to conduct further study on its impact and to collect more opinions from parties concerned and the public.

The regulation, a revised version of a similar regulation introduced in 2002 by the Thaksin government, was approved by the Cabinet on October 25. It allows foreigners to buy up to 0.16 hectares of land if they have an investment of at least 40 million baht for a period of at least three years.