Thailand to launch new digital token trading platform for securities firms

Jomkwan Kongsakul, the deputy secretary-general of the Thai Securities and Exchange Commission, recently discussed the successful implementation of a platform aimed at helping small and medium-sized enterprises (SMEs) access funding from capital markets. Kongsakul highlighted the importance of expanding capital market access for SMEs, stating that it would not only benefit these businesses but also contribute to the overall economic growth of the country.

The platform’s goal is to provide SMEs with opportunities to raise capital through the issuance of debentures, thus offering an alternative financing option to traditional bank loans. By tapping into the capital markets, SMEs can diversify their funding sources and potentially access larger amounts of capital to support their business growth and expansion.

Kongsakul emphasized the need to create a supportive ecosystem that enables SMEs to navigate the complexities of the capital market. This includes providing them with the necessary information, resources, and guidance to facilitate their participation in debt issuance activities. By doing so, SMEs can enhance their financial capabilities and establish a more robust foundation for long-term success.

The platform’s successful implementation demonstrates the commitment of the Thai Securities and Exchange Commission to fostering a conducive environment for SMEs to thrive. By empowering these businesses with greater access to capital markets, the commission aims to strengthen the overall resilience and dynamism of the Thai economy.

Furthermore, Kongsakul highlighted the potential benefits of debt issuance for SMEs, such as lower interest rates compared to bank loans and increased investor diversification. This can help SMEs reduce their financing costs and attract a broader range of investors interested in supporting their growth and development initiatives.

In addition to expanding funding opportunities for SMEs, the platform also plays a crucial role in enhancing transparency, accountability, and investor confidence in the capital market. By promoting good governance practices and regulatory compliance, SMEs can build credibility and trust among investors, ultimately fostering a more sustainable and vibrant investment landscape.

Kongsakul underscored the importance of collaboration among relevant stakeholders, including regulators, financial institutions, and SMEs themselves, to ensure the effective functioning of the platform. By working together to address challenges and leverage opportunities, these stakeholders can collectively drive the growth and competitiveness of SMEs in Thailand.

In conclusion, the successful implementation of the platform for SMEs to access funding from capital markets represents a significant milestone in advancing financial inclusion and economic development in Thailand. By bolstering SMEs’ access to alternative financing options and fostering a supportive ecosystem, the platform paves the way for sustainable growth and prosperity for these businesses and the broader economy.