Customers depositing more than five million baht in cash will be required to disclose the source of their funds from the fourth quarter of 2026 under new Bank of Thailand measures aimed at tackling the grey economy and illegal financial activity. Bank of Thailand governor Vitai Ratanakorn announced the policy during a meeting with economic reporters on Saturday 11 July 2026, saying the central bank wants to prevent financial institutions from being used as channels for illicit transactions. Get today's headlines by email Mr Vitai said the central bank is reviewing the scope of its legal authority before finalising the new disclosure requirements. The rules will also apply to large cash exchange transactions, with customers who wish to exchange 1,000-baht banknotes for 100- or 500-baht notes required to explain the purpose of the transaction and why smaller denominations are needed. The latest measures follow enhanced due diligence rules introduced earlier this year for cash withdrawals exceeding five million baht. Since those requirements came into force in April and May, commercial banks and state-owned financial institutions have been required to verify customers’ reasons for using large amounts of cash and determine whether electronic transfers or cheques could be used instead. Mr Vitai said legitimate business transactions remain fully permitted. According to the governor, cash withdrawals above the five million baht threshold have fallen by 35% since the earlier measures were introduced. He added that enforcement will be standardised across all banks to further reduce the use of large cash transactions and strengthen oversight of the financial system. Mr Vitai also used the briefing to highlight what he described as Thailand’s long-standing structural economic problems. He said successive governments had focused mainly on short-term projects, promotion and public relations while making little progress in addressing deeper economic weaknesses. Despite concerns over the impact of the conflict in the Middle East, the Bank of Thailand now expects the economy to grow by 2.3% this year rather than contract by 1.5%, which had been considered the worst-case scenario. However, Mr Vitai said structural challenges remain the country’s biggest obstacle to stronger long-term growth. “We have structural problems because resources are concentrated in the hands of large businesses, and we also face issues relating to the grey economy,” he said. “What we have seen over the years are mainly short-term projects. There has been very little effort to solve long-term problems.” The Bangkokpost reported that he said these structural weaknesses include persistently low productivity due to years of insufficient investment in innovation and modern infrastructure, an ageing population reducing the workforce, and an increasingly unequal K-shaped recovery in which large companies continue to recover and access financing while low-income households and small businesses struggle to obtain formal credit. Join the discussion? 13 July 2026
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