RESTRICTED
WORLD TRADE GATS/SC/85/Suppl.1
28July1995
ORGANIZATION(95-2208)
Trade inServices
THAILAND
Schedule ofSpecific Commitments
Supplement 1
(This isauthentic inEnglish only)
_______________
This textreplaces theFinancial Services section contained inpages 29to38of
document GATS/SC/85.THAILAND -SCHEDULE OFSPECIFIC COMMITMENTS
Modes ofsupply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence ofnatural persons
Sector orsubsector Limitations onmarket access Limitations onnational treatment Additional commitments
7.FINANCIAL
SERVICES
A.Insurance including
reinsurance and
retrocession
(a)Lifeinsurance services
(CPC 81211)(1)None
(2)None
(3)(a) Foreign equity participation
limited to25percentof
registered share capital.
(b) Newestablishment issubject to
licence approved bytheMinister
withtheconsent oftheCabinet.
(4)Only senior managerial personnel,
specialists andtechnical assistants with
theapproval oftheInsurance
Commissioner.(1)None
(2)Lifeinsurance premium istax
deductible uptoacertain amount
forholders ofpolicies issued by
localcompanies.
(3)None
(4)None
- ThisSchedule ofSpecific Commitments isconditional upon thelevel ofcommitments undertaken byother Members.
- Thailand reserves allrights tomodify, reduce orwithhold anypartofthislistprior to30June 1995.
- With regard tothescope ofoperation andtypes offinancial services thatcanbeprovided, each typeoffinancial
institution willbepermitted tooperate thesector orsubsector ofbanking andother financial services onlytothe
extent thattheir respective governing legislation permit them todoso.GATS/SC/85/Suppl.1
Page1THAILAND (continued) GATS/SC/85/Suppl.1
Page2
Modes ofsupply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence ofnatural persons
Sector orsubsector Limitations onmarket access Limitations onnational treatment Additional commitments
(b)Non-life insurance
services
(CPC 8129)(1)Unbound except forinternational
marine, aviation andtransit andall
classes ofreinsurance.
(2)None
(3)(a) Foreign equity participation
limited to25percentof
registered share capital.
(b) Newestablishment issubject to
licence approved bytheMinister
withtheconsent oftheCabinet.
(4)Only senior managerial personnel,
specialists andtechnical assistants with
theapproval oftheInsurance
Commissioner.(1)Unbound
(2)None
(3)None
(4)NoneTHAILAND (continued)
Modes ofsupply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence ofnatural persons
Sector orsubsector Limitations onmarket access Limitations onnational treatment Additional commitments
(d)Services auxiliary to
insurance (excluding
pension funding
services)
Insurance broking and
agency services
(CPC 81401)
(Brokers shallnot
induce, advise ordo
anyactssoasto
cause anyperson to
enter intoinsurance
contracts with
insurers abroad,
except forreinsurance
contracts)(1)Unbound
(2)Unbound
(3)Foreign equity participation notto
exceed 25percent.
(4)(a) Only senior managerial
personnel, specialists and
technical assistants withthe
approval oftheInsurance
Commissioner
(b) Unbound forindividual broker
andagent.(1)Unbound
(2)Unbound
(3)Nolimitations aslongasforeign
equity participation doesnotexceed
25percent.
(4)None
Insurance consultancy
services excluding
pension consulting
services
(CPC 81402)(1)None
(2)None
(3)None other thanthatindicated inthe
horizontal section
(4)Only senior managerial personnel,
specialists andtechnical assistants with
theapproval oftheInsurance
Commissioner.(1)None
(2)None
(3)Nolimitations aslongasforeign
equity participation doesnotexceed
49percent.
(4)None
GATS/SC/85/Suppl.1
Page3THAILAND (continued) GATS/SC/85/Suppl.1
Page4
Modes ofsupply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence ofnatural persons
Sector orsubsector Limitations onmarket access Limitations onnational treatment Additional commitments
Average andloss
adjustment services
(CPC 81403)(1)None
(2)None
(3)None other thanthatindicated inthe
horizontal section
(4)Only senior managerial personnel,
specialists andtechnical assistants with
theapproval oftheInsurance
Commissioner.(1)None
(2)None
(3)Nolimitations aslongasforeign
equity participation doesnotexceed
49percent.
(4)None
Actuarial services
(CPC 81404)(1)None
(2)None
(3)None other thanthatindicated inthe
horizontal section
(4)Only senior managerial personnel,
specialists andtechnical assistants with
theapproval oftheInsurance
Commissioner.(1)None
(2)None
(3)Nolimitations aslongasforeign
equity participation doesnotexceed
49percent.
(4)NoneTHAILAND (continued)
Modes ofsupply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence ofnatural persons
Sector orsubsector Limitations onmarket access Limitations onnational treatment Additional commitments
Services auxiliary to
financial
intermediation other
thantoinsurance and
pension funding
services
Credit cardservices
(CPC 81133)
(Mobilizing funds
from thepublic is
prohibited, unless
licensed under a
financial law)(1)None
(2)None
(3)(a) Asindicated inB(3)(j) below.
(b) Financial institutions must obtain
prior approval from theBank of
Thailand.
(4)Asindicated inthehorizontal section.(1)None
(2)None
(3)Nolimitations aslongasforeign
equity participation doesnotexceed
49percent.
(4)None
Financial consultancy
services
(CPC 81332)(1)Unbound
(2)None
(3)None other thanthatindicated inthe
horizontal section
(4)Asindicated inthehorizontal section.(1)None
(2)None
(3)Nolimitations aslongasforeign
equity participation doesnotexceed
49percent.
(4)None
GATS/SC/85/Suppl.1
Page5THAILAND (continued) GATS/SC/85/Suppl.1
Page6
Modes ofsupply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence ofnatural persons
Sector orsubsector Limitations onmarket access Limitations onnational treatment Additional commitments
B.Banking andother
financial services
(excluding insurance)
Acceptance of
deposits andother
payable funds from
thepublic
Lending ofalltypes,
including consumer
credit, mortgage
credit, factoring and
financing of
commercial
transactions(1)None forfinancial advisory and
financial dataprocessing. Unbound for
allother services.
(2)None forfinancial advisory and
financial dataprocessing. Unbound for
allother services.
(3)(a) Representative office ofbanks
None
(b) Foreign bankbranches(1)None
(2)None
(3)(a) Representative office ofbanks
None
(b) Foreign bankbranchesTHAILAND (continued)
Modes ofsupply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence ofnatural persons
Sector orsubsector Limitations onmarket access Limitations onnational treatment Additional commitments
Financial leasing
Payment andmoney
transmission services
including credit,
charge anddebit
cards, travellers
cheques andbankers
drafts
Guarantees and
commitments
Trading forown
account, orfor
account ofcustomers
inthefollowing:
(a)money market
instrumentsI.Bound forexisting foreign bank
branches under present
shareholding structure. Unbound to
grant newlicence except in(d)IV.
II.ATM operations permitted under
thefollowing conditions only:
(i) joining ATM pools operated
byThaibanks; or
(ii)operation within ownpremises
orsharing thefacilities with
other commercial banks in
Thailand.None forexisting foreign bank
branches. Unbound togrant
newlicence except in(d)IV.
GATS/SC/85/Suppl.1
Page7THAILAND (continued) GATS/SC/85/Suppl.1
Page8
Modes ofsupply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence ofnatural persons
Sector orsubsector Limitations onmarket access Limitations onnational treatment Additional commitments
(b)foreign exchange
(c)exchange rateand
interest rate
instruments
(d)transferable
securities
Participation inissues
ofallkinds of
securities, including
underwriting and
placement asagents
(whether publicly or
privately) and
provision ofservices
related tosuchissuesIII. By1997, existing foreign banks
which already havebranches in
Thailand willeachbepermitted
toopennomore thantwo
additional branches under terms
andconditions tobeannounced.
IV. None forparticipation incheque
clearing andsettlement system.
(c)Locally incorporated banks
I.Market access limited toshare
acquisition ofexisting banks and
notmore thanfiveother newbanks
thelicences ofwhich willbe
granted by1997 only.
II.Maximum foreign equity
participation limited to25percent
ofpaid-up registered capital.
Combined shareholding ofan
individual andhis/her related
persons nottoexceed 5percentof
bank'spaid-up registered capital.(c)Locally incorporated banks
None.THAILAND (continued)
Modes ofsupply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence ofnatural persons
Sector orsubsector Limitations onmarket access Limitations onnational treatment Additional commitments
Asset management as
follows:
-cashorportfolio
management
-collective
investment
management
-custodial and
depository
services
Advisory,
intermediation and
other auxiliary
financial services
Provision andtransfer
offinancial
information, and
financial data
processing andrelated
softwareIII. Atleastthree-fourths ofthe
directors must beThai
nationality.
(d)International banking facility1
I. Licences required from the
Ministry ofFinance.
II. Bound forthose Bangkok
International Banking Facility
(BIBF) licences granted to
foreign banks andstilleffective
inMay1994.
III. Bound forthose Provisional
International Banking Facility
(PIBF) licences asgranted to
foreign banks inJanuary 1995.
IV. Notmore thanseven foreign
banks withBIBF licence inII
above willbegranted full-branch
licence by1997 under terms and
conditions tobeannounced.(d)International banking facility
None.
1IBFunitspermitted tooperate onlythebanking andinvestment banking business asspecified intheMinisterial Order issued on16September 1992, andNotification oftheBank ofThailand dated 14December 1993.
GATS/SC/85/Suppl.1
Page9THAILAND (continued) GATS/SC/85/Suppl.1
Page10
Modes ofsupply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence ofnatural persons
Sector orsubsector Limitations onmarket access Limitations onnational treatment Additional commitments
V. Alimited number ofBIBF
licences tobegranted tonew
foreign banks by1997 under
terms andconditions tobe
announced.
VI. Foreign banks withBIBF licence
inIIabove willeachbegranted
toopennomore thantwo
additional PIBF by1997.
(e)Finance companies andcredit foncier
companies
I. None forrepresentative offices.
II. Market access limited toshare
acquisition theacquisition of
shares ofexisting companies
only. Unbound fornew
licences.(e)Finance companies andcredit
foncier companies
None.THAILAND (continued)
Modes ofsupply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence ofnatural persons
Sector orsubsector Limitations onmarket access Limitations onnational treatment Additional commitments
III. Maximum foreign equity
participation limited to25per
centofpaid-up registered
capital. Combined shareholding
ofanindividual andhis/her
related persons nottoexceed
10percent.
IV. Atleastthree-fourths ofthe
directors must beThai
nationality.
(f)Securities companies
Securities brokerage, securities dealing,
investment advisory service and
securities underwriting:(f)Securities companies
None.
GATS/SC/85/Suppl.1
Page11THAILAND (continued) GATS/SC/85/Suppl.1
Page12
Modes ofsupply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence ofnatural persons
Sector orsubsector Limitations onmarket access Limitations onnational treatment Additional commitments
I. None forrepresentative offices.
II. Market access limited toshare
acquisition ofexisting companies
only. Unbound fornewlicence.
III. Maximum foreign equity
participation limited to49per
centofpaid-up registered
capital.
IV. Atleastone-half ofthedirectors
must beThainational.
(g)Asset management companies
Collective investment schemes:
I. None forrepresentative offices.THAILAND (continued)
Modes ofsupply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence ofnatural persons
Sector orsubsector Limitations onmarket access Limitations onnational treatment Additional commitments
II. Market access limited toshare
acquisition ofexisting companies
andnotmore thanfiveother new
licences willbegranted to
companies which meetSecurities
andExchange Commission
(SEC) prudential requirement
(excluding alicence thatwillbe
granted toawholly-owned
subsidiary setupbytheStock
Exchange ofThailand (SET) to
operate theThaitrustfund
scheme).
III. Maximum foreign equity
participation limited to25per
centofpaid-up registered capital
during thefirstfiveyears after
thelicences havebeengranted.
IV. Atleastthree-fourths ofthe
directors must beThainational.
V. After fiveyears, maximum
foreign equity participation
limited to49percentofpaid-up
registered capital, andatleast
one-half ofthedirectors must be
Thainationals.
GATS/SC/85/Suppl.1
Page13THAILAND (continued) GATS/SC/85/Suppl.1
Page14
Modes ofsupply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence ofnatural persons
Sector orsubsector Limitations onmarket access Limitations onnational treatment Additional commitments
(h)Financial leasing services
Canonlybeprovided byleasing
companies which aresubject to
maximum foreign equity participation
of49percentofpaid-up registered
capital, orbyfinance companies which
aresubject tomaximum foreign equity
participation of25percentofpaid-up
registered capital.(h)Financial leasing services
None.
(i)Factoring services
Canonlybeprovided byfactoring
companies which aresubject to
maximum foreign equity participation
of49percentofpaid-up registered
capital, orbyfinance companies which
aresubject tomaximum foreign equity
participation of25percentofpaid-up
registered capital.(i)Factoring services
None.THAILAND (continued)
Modes ofsupply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence ofnatural persons
Sector orsubsector Limitations onmarket access Limitations onnational treatment Additional commitments
(j)Credit, charge anddebit cards
Credit, charge anddebit cards canonly
beprovided bycompanies which are
subject tomaximum foreign equity
participation of49percentofpaid-up
registered capital orlocally
incorporated banks andforeign bank
branches.
Theconduct ofbusinesses under (h),(i)
and(j)willbesubject tolicensing and
regulations tobeannounced.
(4)Limitations onthenumber offoreign
personnel perforeign bankoffice:
(a)twopersons forbanks operating as
representative office
(b)sixpersons foreachfull-licensed
branch
(c)fourpersons foreachBIBF branch
(d)twopersons foreachPIBF branch
(e)eight persons forbanks operating as
full-licensed andBIBF branch.(4)None
GATS/SC/85/Suppl.1
Page15THAILAND (continued) GATS/SC/85/Suppl.1
Page16
Modes ofsupply: (1) Cross-border supply (2) Consumption abroad (3) Commercial presence (4) Presence ofnatural persons
Sector orsubsector Limitations onmarket access Limitations onnational treatment Additional commitments
Forfinance companies:
(a)twopersons forarepresentative
office
(b)maximum offourdirectors permitted
forfinance companies
Forsecurities companies andasset
management companies:
twopersons forarepresentative office.
9.TOURISM AND
TRAVEL-RELATED
SERVICES
A.Hotel lodging
services
(CPC 64110)(1)Unbound
(2)None(1)Unbound
(2)None