Bank of Thailand sticks to 3 virtual bank licences

The Bank of Thailand is maintaining its policy of initially granting only three virtual bank licences, despite receiving a large number of applications from interested operators.
The central bank is initially issuing three virtual bank licences, which it deems appropriate to maintain the stability of the domestic financial market and safeguard depositors from risks associated with new business ventures, said Chayawadee Chai-anant, the regulator’s assistant governor for corporate relations.
The Bank of Thailand studied virtual banking models overseas and found some banks were unable to sustain their operations, leading to exits from the financial system.
These exits can pose risks to the financial system. As a result, the central bank will carefully evaluate the business models and exit strategies of virtual bank applicants, she said.
According to Ms Chayawadee, the regulator wants to see innovative financial services made available to a wide range of Thais, especially to those in the unbanked and underbanked segments, to enhance financial inclusion.
In addition to lending services, the central bank expects virtual banks to help Thais with savings and investments, promoting long-term financial stability and wealth. Access to these services is currently limited to mostly wealthy individuals.
Key criteria for virtual bank licence approval includes the use of innovative technology to reach unbanked and underbanked customers, along with strong consumer protection measures against cyber-risks. Ensuring fair competition and good governance are also crucial factors, she said.
“The central bank does not want excessive or unfair competition in the new banking sector that could pose risks to the financial system,” said Ms Chayawadee.
Arthid Nanthawithaya, chief executive of SCB X, confirmed the company submitted a virtual bank application in partnership with KakaoBank and WeBank.
The strong interest from various business consortiums is a positive sign for the development of the country’s financial services, he said.
The central bank expects virtual banks to start operations in 2026 after the deadline for applications came on Thursday, with five major business groups confirming their interest.
According to Ms Chayawadee, more details about the applicants are likely to be made available next week.
The central bank is scheduled to unveil the winning applicants by June 2025.
The Finance Ministry suggested the number of virtual bank licences should not be limited.
The central bank requires minimum registered capital of 5 billion baht for a virtual bank, later increasing to 10 billion baht.
Among the contenders are the Gulf consortium (Gulf Energy Development, Krungthai Bank, Advanced Info Service and PTT Oil and Retail Business); the SCB X consortium (SCB X; KakaoBank, South Korea’s largest digital bank; and WeBank, a global digital bank known for its advanced technology); a partnership led by Singapore-based Sea Ltd, the parent of Shopee; Ascend Money, a financial technology firm backed by the Charoen Pokphand (CP) Group; and the consortium of Lighthub Asset-WeLab.
Lighthub Asset, a Thai fintech powerhouse, and WeLab, a leading pan-Asian fintech platform, issued a statement indicating they applied for a licence.
The alliance appointed MR Chatu Mongol Sonakul, a former central bank governor, as an advisor of the consortium. Co-founded by Chatchaval Jiaravanon and Lightnet Group, Lighthub serves 46 million Thai customers across various sectors, including agriculture, food and beverage, and e-commerce.
“The consortium aims to empower Thailand’s financial future by revolutionising banking services, delivering an AI-powered intelligent experience. Their combined expertise, proven track record, and ready-to-launch services are set to bring fresh solutions to the Thai banking sector,” Lighthub said in a statement.
Mr Chatchaval is a businessman and a co-founder of AEON Thana Sinsap and Finansia Syrus, with more then 30 years of experience in the financial sector, both in Thailand and internationally.
He is also the principal owner of the global media brand Fortune magazine.
Lightnet Group is a Thai global fintech leader dedicated to developing next-generation financial technology to enhance access, mobility and efficiency for everyone.
Licensed by the central bank and four other central banks in Asia and Europe, it processes more than US$10 billion in annual fund volume.
WeLab has more than 65 million users in Asia, disbursing more than $15 billion of digital loans to date.
The platform offers digital financial services, including consumer finance, enterprise technology solutions and digital banking, encompassing savings, payments, loans and wealth management.