BoT seeking clarity on how to manage Fin Tech services

 

BANGKOK, 16 November 2016 (NNT) – The Bank of Thailand (BoT) foresees greater use of Financial Technology (Fin Tech) in 2017, creating an opportunity for Start Ups. 

BoT Financial Institution Applications Department Executive Director Vireka Suntapuntu has let on Fin Tech services will likely come into wider use in 2017, enhancing Thailand’s financial services and creating a demand for new Start Ups offering such technologies. 

She noted 2 particular kinds of Fin Tech businesses have already begun to approach to the central bank more frequently; the first being Person to Person Lending services and Fin Tech management firms. 

BoT is currently studying Person to Person Lending to set regulations for the service and criteria for service providers. The recommendations are to be forwarded to the Ministry of Finance this year. Eighteen to 20 such businesses have already requested licenses from the bank but are pending Ministry of Finance approval. 

For newer Fin Tech services, Vireka explained special laws will be employed to manage them during their debut and that a Sandbox approach, as seen in the UK and Singapore, will be used. She assured the BoT is aware of both the risks and benefits of Fin Tech services and is accordingly seeking clarity in how to manage such firms. She reminded consumers that they have the right to report any damages brought on by Fin Tech services and to receive compensation.

 

-- nnt 2016-11-16

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