BoT Hearing criteria for setting up a "Virtual Bank" again, expected to present to the Ministry of Finance in July 66. Add a condition not to change shareholders during the first 5 years.

According to a press release from the Bank of Thailand, following the public consultation period from January 12, 2566, to February 12, 2566, regarding the guidelines for allowing the establishment of branchless commercial banks (Virtual Banks) , the Bank of Thailand received valuable feedback and suggestions from various sectors, including the government, the public, and businesses both in Thailand and abroad.

Most of them agreed with the overall objectives and guidelines for granting permission to establish a Virtual Bank and asked for details of the criteria in many dimensions. Some of these issues are important and may affect the decision or design of the applicant's plan. Including the business model of the Virtual Bank that will be established.

Therefore, the BoT has taken the comments received to improve the guidelines for granting permission to establish a Virtual Bank by clarifying important issues. So that all applicants receive information that is beneficial to decision-making adequately and equally. Summary of important points as follows:

(1) What we want to see (green line) and what we don't want to see (red line). For example , the BOT wants to see Virtual Banks help stimulate appropriate competition in the financial system by providing mechanisms that support and facilitate customers in sending or transferring personal data to other service providers under the rights of customers according to the law.

This is in line with the BoT's Open Data policy and does not want to see Virtual Bank block or create obstacles in sending or transferring information that has received consent from customers to providers. Other services under the rights of customers according to law

(2) The important qualifications of applicants for the establishment of a Virtual Bank are further clarified as follows:

(2.1) Regarding governance, add the following details: Directors, authorized managers, or advisors of Virtual Bank are prohibited from ^{simultaneously} holding positions as directors, authorized managers, or employees of other financial institutions in order to prevent potential conflicts of interest and to allow such personnel to dedicate their time fully to managing their work.

(2.2) Regarding the use of technology and information technology (IT) systems that are flexible, stable, secure, and capable of providing continuous service, it is further detailed that the Virtual Bank must not share critical IT systems with other financial institutions, such as Core Banking systems, Mobile Banking systems, and Internet Banking systems, in order to prevent risks from interconnectedness and interdependence (contagion risk), data leaks, and cyber threats.

(2.3) Regarding access to, management, and utilization of diverse data, add details that the applicant for the establishment of a Virtual Bank must demonstrate the ability to manage data in accordance with data governance principles and the ability to develop data systems and connectivity to facilitate customers in using their data to conduct transactions with other financial service providers.

(3) Selection of suitable candidates to establish the Virtual Bank: Add details that the BOT will select the most suitable candidates, taking into account their ability to help address the green line in a quality, sustainable manner and to benefit the Thai economic and financial system as a whole.

(4) Other conditions : Add a condition that during the first 3-5 years of operation of Virtual Bank (phasing period), no changes to shareholders that significantly affect the success of Virtual Bank shall be allowed unless authorized by the BOT in the event of a justifiable reason, since such shareholders play an important role in building the business during the initial period.

In order to establish virtual banks in Thailand that can effectively offer new financial services that meet the needs of various financial service groups, the Bank of Thailand (BOT) is seeking public comments and suggestions again regarding the guidelines for authorizing the establishment of virtual banks, specifically concerning significant additional details or conditions. Comments can be submitted from June 19, 2566, to July 4, 2566, via the BOT website or by email at [email protected] The BOT will incorporate these comments and suggestions into the development of the guidelines for authorizing the establishment of virtual banks. These guidelines are expected to be submitted to the Ministry of Finance for consideration within July 2566.