The Ministry of Finance supports “branchless banks”

Bangkok, The Ministry of Finance supports 'Virtual Banks' to drive the financial industry in the digital age. Towards an ASEAN financial hub, supervised by the BoT, under the protection of the Deposit Protection Agency. Dr. Paophum Rojanasakul, Secretary to the Minister of Finance, revealed that the Ministry of Finance has issued an announcement. Criteria for requesting and issuing a Virtual Bank license to be a branchless bank Combining expertise in 3 areas: banking - digital technology - behavioral analytics data together to promote access to financial services Accelerating entry into the digital economy and becoming an ASEAN financial hub 'Branchless Bank' focuses on providing financial services to 1. people without regular income and SMEs 2. groups who do not receive adequate financial services. (Unserved) and 3. Groups that do not have access to financial services (Unserved) 4. Groups that do not have access to credit and are in debt outside the system. There is also no limit on the number of licenses (previously limited to 3) because the Treasury wants to open it up to potential and qualified applicants by allowing the BoT to consider the number of licenses that will stimulate competition. and do not pose a risk to the stability of the financial system 'Branchless banks' are regulated by the BoT like other commercial banks. It is under the protection of the Deposit Protection Agency. Branchless banks will not use deposit systems, credit systems, Internet Banking in conjunction with other financial institutions both domestically and abroad. The Ministry of Finance and BoT jointly consider applications for permission within 9 months from the end of application submission. Must establish a public limited company and open for service within 1 year. The Ministry of Finance specifies that the headquarters will be established in Thailand. Have a registered capital of not less than 5,000 million baht in the initial stage and not less than 10,000 million baht in the normal stage. Can be a joint venture company ( Joint Venture) to combine additional specialized expertise. Source: Thai News Agency