Regulator Issues Limited Licences
PUBLISHED: 21 Aug 2024 at 05:23
Five business groups are preparing to apply for virtual bank licences from the Bank of Thailand, including both local and regional players.
Industry sources report that five consortiums are interested in obtaining a licence, among them SeaMoney Thailand, which is known for its digital financial services, payment solutions, and lending through popular channels.
SeaMoney, part of Singapore’s Sea Group, operates digital banking services in Thailand and holds a full digital bank licence in Singapore.
The Bank of Thailand is set to release three virtual bank licences in its initial issuance phase, despite recommendations from the Finance Ministry to consider a larger allocation.
The central bank has established a minimum registered capital requirement of 5 billion baht, with plans to increase this to 10 billion baht in the future.
Applications are due by September 19.
VGI, part of BTS Group, has shown interest in the virtual banking space and is exploring partnerships with prominent local financial institutions, including Bangkok Bank.
Bangkok Bank’s president noted that the bank is adapting to evolving customer expectations and is actively exploring digital banking opportunities.
The other consortiums preparing applications include SCB X, Charoen Pokphand Group, and Gulf Energy Development.
SCB X is working with KakaoBank, a leader in digital banking, to form a consortium aimed at securing a virtual bank licence, while also collaborating with WeBank, recognized for its cutting-edge financial technology.
Meanwhile, CP Group plans to deliver virtual banking services through TrueMoney, enhancing its offerings using retail channels like 7-Eleven, in partnership with Ant Group.
Gulf is joining forces with Krungthai Bank, Advanced Info Service, and PTT Oil and Retail Business, with plans to submit their application ahead of schedule.
