The involvement of banks in the rise of FinTech
The major banks in Thailand significantly drive the country’s FinTech scene through their products and services. To acquire the latest FinTech developments, banks in Thailand establish their services by building business relationships with FinTech startups. For example, Siam Commercial Bank bought shares from Bitkub, one of Thailand’s leading cryptocurrency exchanges, to give themselves an advantage in the digital assets market. Furthermore, Kasikorn Bank has also provided institutional support for FinTech startups through its Startup Launchpad competition, allowing winners to receive training, prize money, and a chance to work with the bank and its subsidiaries. As of 2022, the Fintech sector had the most number of startups in Thailand, partially due to the immense support these firms receive from banks.Although the country’s established commercial banks are the main drivers of the country’s FinTech scene, the Bank of Thailand’s regulatory efforts also significantly direct the movement of the FinTech sector. Some crucial regulations include setting lower taxes to attract digital payment use controlling FinTech investment ceilings among commercial banks, and developing Thailand’s mobile banking system to become more efficient through the PromptPay service.
