Thailand has approved three applicant institutions to establish virtual banks to promote digital financial services.

According to Techub News, as reported by CrowdfundInsider, Thailand has approved three applicant institutions to establish virtual banks. This move aims to promote financial innovation, expand access to underserved markets, and enhance competition in Thailand’s banking sector. The Ministry of Finance, based on the recommendation of the Bank of Thailand (BOT), stated that the consortium led by Krung Thai Bank, ACM Holding Company Limited, the consortium composed of telecom giant Advanced Info Service and PTT Oil and Retail Business, and the consortium formed by SCB X, WeTechnology, and Korea’s KakaoBank have received preliminary approval. A total of five applicant institutions submitted applications, and after a detailed evaluation process, three institutions were ultimately selected. The evaluation focused on the qualifications of the applicant institutions, their digital business models, and their ability to provide inclusive financial services. Regulators stated that this initiative aims to improve service channels for retail customers and small and medium enterprises (SMEs) through innovative digital channels, especially for those customers who currently do not have bank accounts or are underserved.