MESSAGE FROM THE GOVERNOR
It is generally accepted that although the 1997 financial crisis started from
disequilibriam in the currency market, it was the weaknesses within Thailand’s financial
system, previously masked by rapid economic growth that intensified the economic
recession. Thailand has undertaken numerous policy measures to restore stability to the
financial system such as closing of nonviable banks and finance companies,
recapitalization of the financial institutions by both private and public initiatives, debt
restructuring and resolution, asset liquidation, and the consolidation of weak financial
institutions with stronger ones. Complementary to these efforts, the Bank of Thailand
has also engaged in dramatic internal reforms that resulted in the realignment of its
organization structure with the new risk-based supervisory framework.