Thailand Opens Doors to First Virtual Banks


Today, the Bank of Thailand has officially opened the door for applications to establish the country’s first virtual banks, inviting companies and business entities that have pre-registered for the opportunity. This landmark move marks a significant shift in the Thai banking sector, embracing the digital age with a new banking model that promises to expand financial services in innovative ways.

Interest in this pioneering initiative is robust, with over 200 representatives from approximately 100 companies expressing their intent to venture into the virtual banking space. This surge of interest underscores the financial sector’s eagerness to explore digital banking avenues, reflecting a global trend towards more accessible and flexible banking solutions.

Among the contenders are notable collaborations between major Thai corporations and international partners, signaling a broad spectrum of interest across various sectors. Noteworthy alliances include Krung Thai Bank teaming up with Advanced Info Service (AIS) and Gulf Energy Development, Siam Commercial Bank partnering with South Korea’s Kakao Bank, Jaymart Group Holdings with KB Financial Group from South Korea, and the CP Group in collaboration with Ascend Group. These partnerships illustrate the diverse and cross-sectorial nature of the entities venturing into Thailand’s virtual banking scene.

The application process is set to remain open for six months, followed by a rigorous nine-month review period conducted by the Bank of Thailand and the Finance Ministry. Successful applicants will then have a year to lay the groundwork for their virtual banks, aiming for a launch in mid-2026. This timeline indicates a careful and thorough approach to establishing a solid foundation for virtual banking in Thailand.

Sarath Ratanavadi, CEO of Gulf Energy Development, disclosed that his consortium, including Krung Thai Bank and AIS, is poised to invest around 5 billion baht in technology development for their virtual bank venture. Meanwhile, Thanawat Lertwattanarak, CEO of J Ventures Company, highlighted the potential of virtual banks to offer more adaptable funding options for customers traditionally underserved by conventional banks, pointing out the significant challenge and opportunity for innovation in the sector.

The criteria for virtual bank applicants indicate a requirement for substantial financial backing, with registered capital estimates ranging from 5 to 10 billion baht. This stipulation suggests that while the opportunity is open, it necessitates significant investment, steering smaller Fintech companies towards partnerships with larger entities to meet the financial thresholds.

In attendance at the announcement were key officials and representatives from the business and finance sectors, indicating the high level of interest and support for this initiative within the Thai financial community.


Please enter your comment!
Please enter your name here

Share post:




More like this

Their Majesties The King and Queen Compete in Gulf Sailing Race

In a majestic display of tradition and sporting prowess,...

Transport Minister Caps Electric Train Fare at 20 Baht

Transport Minister Suriya Juangroongruangkit has announced a significant move...

Top Thai Police Officers Suspended Over Money Laundering Allegations

Pol Gen Kitrat Panphet, serving as the acting national...

Hua Hin Muay Thai Competition Commemorates Thai Boxing Legends

Hua Hin Muay Thai Competition Commemorates Thai Boxing Legends In...