In 2007 and 2008, Thailand faced the global economic crisis. Although
this crisis influenced on many countries, including both advanced and developing
ones, it had little impact on Thailand (BOT, 2010). The Bank of Thailand had
experienced the Asian financial crisis in 1997, so it increased supervision and
created policies for risk management of banks, and control foreign capital inflows.
In addition, Thailand had low reliance on foreign sources of funding as well as its
low exposure to foreign assets since foreign banks which operate locally account
for only 10% of the total assets of the banking system. Currently, Bank of
Thailand is still trying to reduce the non-performing loans (NPLs) and
implementing strict monetary policies on the overall economy.