The Bank of Thailand (BoT) is planning to upgrade payment system standards in order to strengthen financial services and minimize digital banking issues.
According to Siritida Panomwan Na Ayudhya, BoT’s assistant governor for payment system policy and financial technology Group, the central bank plans to implement upgrades to the country’s payment system during the fourth quarter of this year. This will help improve the system, offer more stability, and protect consumers from financial risks.
The Bank of Thailand has partnered with banks and National ITMX Co Ltd, a provider of digital payment infrastructure systems, to closely monitor financial transactions and inform banks if there are any systemic issues.
The BoT assistant governor stated that the central bank is also developing PromptBiz, a digital payment infrastructure system for the business sector, building on the success of PromptPay for consumers. The system is part of the BoT’s payment directive paper for 2022-2024, which aims to enhance its payment structure and pave the way for a stronger digital payment system to fuel the nation’s digital economy.
Currently, digital payment transactions average 370 per user each year, mostly due to the popularity of the PromptPay service. The central bank predicts that the number could rise to 800-1,000 per year in three years.
The central bank has cooperated with regional central banks to connect their digital payment networks under the ASEAN Connectivity strategy, with plans to expand its digital payment services to other countries in ASEAN and Asia. The assistant governor stated that digital payment connectivity with other countries will help transaction growth, especially as more countries reopen following the easing of Covid-19 regulations. (NNT)