On January 24, 2019, the Bank of Thailand issued a regulation relaxing the qualifications and operational requirements for international money transfer service providers, with the aim of increasing flexibility for the benefit of consumers, and encouraging participation by new service providers. The new regulation took effect on January 31, 2019.
The key amendments are as follows:
Foreign Shareholding Restriction
Under the previous regime, any international payment transfer company registered as a limited company or publically limited company required at least 75% of its total shares to be held by Thai nationals. The new notification reduces this substantially to 25% shareholding by Thai nationals.
Any company providing international money transfer services must also have at least one Thai director, domiciled in Thailand, with the authority to control or manage the company.
In addition to shareholding structures, the new regulation also addresses the following operational issues:
For more information, and for assistance in setting up an international money transfer operation, please contact Tilleke & Gibbins at [email protected].