On March 17, Prime Minister Paetongtarn Shinawatra took to her personal Facebook page to announce that she had invited key financial authorities for discussions aimed at tackling problems in the Thai stock market and related financial cases.
The invitees include Ms. Pornanong Busaratrakul, Secretary-General of the Securities and Exchange Commission (SEC); Mr. Asadej Kongsiri, Director and Manager of the Stock Exchange of Thailand (SET); and Police Major Yutthana Praedam, Director-General of the Department of Special Investigation (DSI).
Ms. Paetongtarn emphasized that the government has been consistently monitoring and prioritizing issues concerning the Thai stock market. During the meeting, four key points were discussed:
- Expedite and monitor cases affecting a large number of people and the economy, ensuring rapid progress.
- Amend laws to prevent misconduct in the stock market, such as revising regulations on securities trading to prevent future occurrences.
- Enforce regulations on free float management and sanction non-compliant listed companies by delisting them from the market.
- Implement comprehensive legal enforcement to urgently and fairly restore confidence.
“This initiative is part of the government’s mission to build trust and confidence through law enforcement, ensuring that investors have faith in the Thai stock market and its ability to compete internationally,” Ms. Paetongtarn concluded.
Mr. Asadate reported on the progress of ongoing cases in the capital market, noting full cooperation from relevant agencies. Additionally, SET presented ongoing projects aimed at capital market and listed company development, including the JUMP+ program, which aims to enhance the value of listed companies to foster growth in the Thai capital market.
Mr. Asadate further elaborated on the progress of measures and guidelines currently under review. He announced that SET is receiving public feedback on the review of regulations for short-selling and High-Frequency Trading (HFT) to ensure that these supervisory measures align with current trading conditions. Comments are open until March 31.
Following the post from the Thai Prime Minister, the Thai government also released a statement of the discussion panel, saying that the Prime Minister has reiterated the significance of ensuring equality in the stock market, treating both Thai and foreign investors as well as institutional funds without discrimination. This aligns with the Stock Exchange of Thailand’s (SET) policy focused on fostering equality and transparency at every level.
Ms. Pornanong further added that the Prime Minister is closely monitoring the operations of various agencies to ensure effective law enforcement. This is particularly critical in matters relating to justice and fairness in the capital market. Apart from holding offenders accountable under the law, there is also a need to instill confidence among all groups of investors through various measures. For example, flagging listed companies that fail to comply with the free float requirements could enhance the transparency and credibility of the Thai stock market.
Moreover, all parties have a shared objective of establishing stability and promoting the growth of the Thai economy. Current policies are being implemented to encourage listed companies to increase their value and disclose information transparently. These efforts are expected to support the development of a robust and internationally trusted Thai capital market.
