Bangkok (VNA) - The Thai Government is accelerating efforts to amend the Securities and Exchange Act to establish a legal framework for the issuance and use of electronic securities, a move aimed at improving capital mobilisation, reducing transaction costs and supporting the growth of the digital economy.
Ratchada Thanadirek, spokesperson for the Office of the Prime Minister of Thailand, revealed that the government prioritises updating economic laws to keep pace with technological developments, especially by amending the Securities and Exchange Act to systematically support the issuance and use of electronic securities under a clear, transparent, and verifiable regulatory framework.
Recently, the draft law passed the House of Representatives' first reading with 455 votes in favor, and a special committee was appointed to examine the details before resubmitting it for second and third readings. This marks a significant advancement in restructuring Thailand's capital market laws to concretely support the digital economy.
This legislative push is part of the government's policy to support the digital economy and upgrade the infrastructure of Thailand's capital market to align with modern financial transactions. Electronic securities will enable the issuance, holding, transfer, and use of securities as collateral to be conducted electronically with legal effect.
Ratchada stated that this legal amendment is not about introducing new types of digital assets without regulation but about leveraging technology to enhance existing securities such as stocks, bonds, or investment units.
At the same time, the Thai Government emphasises risk management by supporting regulations concerning the rights of securities holders, securities registries, segregation of client assets, the use of securities as collateral, and penalties for non-compliance to maintain investor confidence and capital market stability.
The spokesperson said that once the law is enacted, it will provide more fundraising options for businesses of all sizes, especially small and medium-sized enterprises seeking more efficient access to capital. It will also prepare Thailand's capital market to support modern financial technology and connect with the digital economy in the long term./.
Thailand steps up crackdown on online investment scams
Authorities have also expanded their crackdown on so-called "mule accounts" bank accounts rented, borrowed, or purchased to facilitate illegal transactions as well as cryptocurrency accounts linked to criminal activities, bringing the total number of suspended accounts to more than 58,000.
