Banking and insurance to be liberalised

Pongpun Gearaviriyapun, director-general to the department, said those businesses are set to be liberalised soon as they are already strictly regulated by specific agencies and governed by a special set of laws and regulations. 

“In the near future, foreigners interested in doing those businesses will not have to obtain a permit from the Foreign Business Committee. They can seek operating licences from the Bank of Thailand and the Insurance Commission. However, related businesses, such as leasing, in-house lending and consulting services will still require permits from the committee, she explained.

Other businesses related to banking and insurance, trading of agriculture products in the futures market listed in Annex III will also be considered for liberalisation in the future. 

In addition, the department clarified that the Commerce Ministry will delay amending the FBA as the public hearing agreed the time was not right because it could affect investor confidence amid a recovering economy.

From the perspective of investors and business enterprises, they foresee FBA amendments could raise concerns over future business undertakings and investment choices during the upcoming Asean Economic Community. Hence, to ensure stability the Thai government should delay plans to amend the bill.

Pongpun said the department would wait for a more appropriate time to amend the FBA. It will proceed with investigating problems pertaining to nominees, where foreigners assign Thai citizens as shareholders to draft laws, to ensure transparency and ensure good governance.