Thailand’s central bank has disclosed that digital innovations, such as online meetings, will be implemented to help facilitate debt restructuring negotiations.

The Bank of Thailand (BOT) indicated the move through a memo, saying digital technology will be leveraged with juristic persons, SMEs and personal loan takers.

The BOT said it aims to provide greater convenience for borrowers by streamlining the process in a way that does not require physical meetings and conforms with the government’s health safety measures.

The central bank also noted that it plans to further develop its existing digital solutions to handle future financial transactions as Thailand transitions into a digital economy. The memo added that the implementation will take into consideration risk factors, as well as the readiness of entrepreneurs and borrowers.

To that end, the BoT has granted permission for organizations under its jurisdiction to use digital authentication methods in order to verify loan takers via databases and mobile applications.

Additionally, it said negotiations related to debt restructuring and term adjustments can be conducted electronically. Financial institutions, however, must also produce negotiation logs for reference.

Information and Source

Reporter : Paul Rujopakarn

Rewriter : Paul Rujopakarn

National News Bureau : http://thainews.prd.go.th

About the author

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Sign Up for Our Newsletter

Get notified of our weekly selection of news

You May Also Like

Thai Cabinet Approves Crypto-Friendly Tax Rules

The new rules will offer traders several benefits, including exemption from value-added taxes, settlement of losses and higher crypto trading activity in Thailand.

ASEAN banks face challenges to decarbonize finance

Across the ASEAN region, 15%-30% of banking system loans are to carbon-intensive industries that have high carbon-transition risks such as coal-fired power generation; coal mining; oil and gas

How are emerging markets combatting cryptocurrency-related crime?

A record $14bn in digital currencies were transferred to illegal addresses last year, according to blockchain data platform Chainalysis, up 79% on the $7.8bn recorded in 2020.