The approval of three virtual banks in Thailand indicates a transformative change in its financial landscape, enhancing competition and access. This strategic move could revolutionize banking services, especially for underserved sectors.
According to PANews, Thailand has granted approval to three entities to establish virtual banks, aiming to foster financial innovation, expand access in underserved markets, and increase competition within the banking sector. Following the recommendations of the Bank of Thailand (BOT), the Ministry of Finance has announced that a consortium led by Krung Thai Bank's ACM Holding Company Limited, along with telecom giant Advanced Info Service and a group from PTT Oil and Retail Business, and another consortium including SCB X, WeTechnology, and South Korea's KakaoBank, has received preliminary approval.
Among five applicants, these three were selected after a comprehensive evaluation process focused on their qualifications, digital business models, and their capacity to provide inclusive financial services. Regulators emphasized that this initiative aims to enhance service channels for retail customers and small and medium-sized enterprises (SMEs) in innovative digital ways, particularly targeting those currently outside the banking services or underserved.
