Mr. Kritsada Jinavijarana, Director of the Fiscal Policy Office, revealed that the Cabinet has approved in principle the Thai Capital Market Development Plan Version 3 (2017 - 2021) on September 12, 2017, as proposed by the Ministry of Finance. The plan aims to develop the Thai capital market to compete and connect with global capital markets while supporting sustainable economic development through five main measures.

  1. Providing funding sources for SMEs and innovations.
  2. Serving as a fundraising source for national infrastructure, such as increasing funding models for private sector participation in public investments (Public Private Partnership: PPP).
  3. Enhancing the competitiveness of the Thai capital market, including amending laws and regulations to increase flexibility and reduce costs for domestic and foreign businesses, providing more options for investors to accommodate technology-driven financial services, elevating the credibility, structure, and decision-making of the Stock Exchange of Thailand to meet international standards, and developing human resources in the capital market.
  4. Developing the Stock Exchange of Thailand as a regional hub by promoting a competitive environment with products ready to support significant investments for global investors.
  5. Implementing plans to address the aging society, including establishing retirement savings policies along with a national pension registry system, organizing mandatory provident funds for the workforce, enhancing basic financial literacy in Thailand, and enacting laws to support housing loan businesses for the elderly.

 

        According to this plan, over the next five years, the government expects the capital market to be a crucial mechanism for both the public and private sectors, particularly for SMEs that will have easier access to the capital market, thereby driving the economy to compete in the global market.

          Additionally, the Stock Exchange of Thailand will serve as an investment source for CLMV countries, offering Thai and foreign investors a variety of currencies and asset types according to market demand, competing with leading capital markets in the region. The goal is to develop the market capitalization in the stock exchange to be 1.5 times the Gross Domestic Product (GDP) and for the market value of private sector bonds to be 0.25 times GDP.