In terms of structure, these efforts entail the streamlining of Thailand’s
financial institution system and development of a coherent context with which to chart
future progress. This resulted in the joint effort between the Bank of Thailand and
Ministry of Finance (MOF) to formulate the Financial Sector Master Plan (FSMP) as
the medium-term development plan for financial institutions under the supervision of
the Bank of Thailand. The main thrust of the FSMP entails the re-engineering of the
financial institution landscape through the promotion of competency driven
consolidation and modification of relevant prudential guidelines. These developments
in turn provide commercial banks with more flexibility to position themselves that best
leverages their expertise and strategic preference. As a roadmap for development, the
FSMP provides a framework to facilitate the evolution of financial services and future
increases in competition.