Bangkok, Monday 18 May 2020 - SEC has introduced the “Regulatory Guillotine” scheme to amend the regulations in all aspects by shortening processes and procedures, and lessening document required to SEC. Regulatory reviews will also be conducted to keep pace with current situations and remain as necessary only for more convenience, less unnecessary costs, elevation of business-sector competitiveness and less burden on people. This scheme is in alignment with Section 77 of Thailand’s Constitution on an occasion of the 28th anniversary of SEC since its establishment.
SEC Secretary-General Ruenvadee Suwanmongkol said that SEC is well aware of the importance and necessity in enhancing competitiveness with standardized rules and regulations and convenience to the business sector. Therefore, the Regulatory Guillotine is an important scheme under SEC strategic plan (2020-2022). SEC will lessen its processes, procedures and document required for submission toward SEC, while reviewing the existing regulations to be in line with the current situations and remain as necessary for more convenience, less business-sector costs, lower burden on people and compliance with the principles in Section 77 of
the Constitution.
“On the occasion of the 28th anniversary, SEC has implemented the Regulatory Guillotine scheme that aims to revise regulations in all aspects for the Thai capital markets, business sector and people. Throughout this year, there will be the regulatory revisions to lessen burden of the private sector. These include reduction of procedures and implementation, cancellation of submission of paper document or reports, and codification of rules and regulations with manuals for convenience. SEC will gradually proceed with these by the end of 2020,” Ruenvadee said.
About 19 projects of the Regulatory Guillotine scheme is scheduled to complete within the period of 2020-2021. The examples of pilot projects are as follows:
1. Project to develop paperless processes for submission to set up and manage mutual funds. SEC has developed a system and revise the regulations for submission to set up and manage mutual funds with a filing via electronics system: the Online Fund Approval and Management (OFAM) System. Submission is no longer required in paper document to SEC. This project helps the private sector without any burden to submit application and related document in paper, meaning 100% paperless submission. The system has completed and has been already to use since the first quarter of 2020.
2. Project to revise the filing form for offering debt instruments. A total of 32 filing forms will be reduced to only 13. As a result, the filing forms the private sector is required to submit to SEC will be lessened by 60%. The filing form reduction is expected to be complete within the second quarter of 2020.
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Remark: Regulatory Guillotine is the regulatory review of the existing laws and regulations. The reviewed laws and regulations that are not necessary or do not keep pace with situations or remain obstacles to living or occupations will be abolished or revised to lessen burden on people. By doing so, methods used must be done with speed, transparency, low costs with participation from all related parties.