Is Thailand really immune to the banking turmoil in the US and Europe?

13 Sept 13:11 Key points summarised by AI

Recent banking turmoil in the US, including the collapse of Signature Bank and Silicon Valley Bank due to crypto market issues and concentrated deposits, has sparked global financial concerns, compounded by Europe's Credit Suisse rescue and Deutsche Bank jitters.
The Bank of Thailand (BOT) asserts the Thai banking system's robust health and limited exposure to these troubled Western banks, citing strong financial ratios like a 19.4% capital adequacy ratio and 197.3% liquidity coverage ratio, well above minimum requirements.
Thai banks benefit from a broad deposit base, unlike the concentrated bases of the failed US banks, which enhances their stability and significantly improves their solvency compared to the 2008 global financial crisis.
Despite banking system resilience, economists caution that continued interest rate hikes by the US Federal Reserve and European Central Bank to combat inflation could slow the global economy, potentially impacting Thailand's exports and overall economic growth.
The International Monetary Fund (IMF) warns of increased financial stability risks and a challenging 2023 with global growth slowing due to pandemic after-effects, the Ukraine war, and monetary tightening, creating an indirect challenging outlook for export-dependent economies like Thailand.

Nationwide crackdown launched on illegal nominee shareholders and land holdings

Yesterday 15:20 Key points summarised by AI

Thailand's Prime Minister Anutin Charnvirakul initiated a nationwide crackdown on illegal Thai nominee shareholders in foreign-run businesses and land holdings to safeguard national interests.
The government will integrate efforts across all relevant agencies to target illicit foreign operations, forced sales of illegally acquired property, and high-risk land ownership schemes.
Key strategies include auditing suspect land and building holdings, establishing a long-term monitoring system, and cross-referencing data from various authorities to trace ultimate beneficial owners.
Prime Minister Anutin emphasized that no influential figures or corrupt officials are above the law, promising straightforward prosecution, asset seizures, and protection for enforcing officers.
Beyond land ownership, the integrated crackdown will also extend to tackle transnational crimes, including drug and human trafficking.