Information

    Idea / Concept
        The Thai Capital market was deeply affected by the financial crisis which gripped the country in 1997. Mr.Somkid Jatusripitak, then serving as Deputy Prime Minister, realiszed its importance an called for a meeting to formulate the "Capital Market Development Master Plan." At the meeting, public agencies as well as various private organizations provided a variety of input and valuable comments; however, key measures were focused on the promotion of good corporate governance of all participants in the capital market. The plan aimed to deepen and broaden good corporate governance among listed companies, intermediaries as well as regulators. The government inaugurated the good corporate governance campaign in 2002.

        To continue active promotion of good governance, the government set up a National Corporate Governance Committee at the beginning of 2002, chaired by the Prime Minister. The committee instigated a policy to encourage all organizations to promote good corporate governance and designated this issue as a project for the national agenda.

        The main policies for the promotion of good corporate governance are as follows:

        1. gradually introduce the concept of good corporate governance;
        2. encourage organizations to realize the importance of having good corporate governance, rather than putting in place a set of rules and regulations;
        3. emphasise law enforcement by focusing on market surveillance as well as taking effective legal action against offenders;
        4. induce good corporate governance by using both incentive and punishment measures;
        5. changes to rules or regulations to be based on practicality and fitness-and-properness;
        6. use of a pro-active public relations campaign to promote good corporate governance