Blacklisting may affect financial transactions
Bank of Thailand expressed concern over the Financial Action Task Force on Money Laundering (FATF)'s action on Thailand, as more obstacles on financial transactions are likely if the Kingdom's status is on the blacklist.
Deputy Governor Krirk Vanikkul said on Wednesday that the Bank of Thailand still has no clear knowledge on penalties on blacklisted countries, as at present only some countries are on the black list. Thailand is now in the Gray List, like China and Burma.
"We don't know the exact penalities. Now, as Thailand is in the Gray List, cross-border transfers are not a problem. But if we are blacklisted, some problems could emerge," he said.
The FATF will convene next week. On the likelihood that Thailand's status may be downgraded following slow promulgation of anti-money laundering laws, Thai capital market associations last week urged the Anti-Money Laundering Office to act quickly. They fear that such downgrade could divert investment away from Thailand.
