SEC Completes 15 Projects under the Regulatory Guillotine Scheme

The Securities and Exchange Commission (SEC) has summarized the progress of the regulatory guillotine scheme in 2020, with the completion of 15 projects as planned. The reviewed regulations covered main topics in the capital market, helping to alleviate burdens and operating costs for private sectors involved worth more than 153 million baht annually. SEC is committed to continuing the ongoing work and complete the other 68 projects in the pipeline within 2022 to strengthen the competitiveness of business sectors and reduce burdens on private sectors and the public in line with the principles under Section 77 of the Constitution of the Kingdom of Thailand.

 

SEC initiated the regulatory guillotine scheme with the key objectives of streamlining procedures, processes and documents required to be submitted to SEC and revising or repealing the existing regulations to remain only those necessary and consistent with current situations. These efforts aim to strengthen business sectors’ competitiveness, and reduce operating costs of private sectors and burdens on private sectors and the public in line with the principles under Section 77 of the Constitution of the Kingdom of Thailand. The regulatory guillotine scheme, which consists of 83 projects in total, is scheduled for completion by 2022.

 

SEC Secretary-General Ruenvadee Suwanmongkol announced that by the end of 2020, SEC had completed 15 projects under the regulatory guillotine scheme, covering all main areas in the capital market. Annually, these projects help to reduce burdens and operating costs of the private sectors involved worth 153.32 million baht, and cut down 48,210 hours of operating time and 1,645,764 sheets of paper use.

 

The completed 15 projects consist of five intermediary business and exchange projects, four asset management business projects, three fundraising projects, two audit and financial report projects, and one digital technology and corporate excellence project. Actions taken include:

(1)  Repealing the requirement for submission of the Summary of Types of Auditor’s Report Form (Form 61–4);

(2)  Reducing the frequency of the preparation and submission of reports and financial statements of venture capital management companies to once a year;

(3)  Revising and consolidating 32 bond offering forms into 13;

(4)  Developing systems and revising the regulations on establishment and management of mutual funds and allowing filing of supporting documents via electronic system (OFAM) without the requirement for hardcopy submission to SEC;

(5)  Improving guidelines for supervising compliance of securities brokers and dealers of non-debt securities, and guidelines for business operation of brokers by repealing redundant regulations to facilitate implementation;

(6)  Revising approval of rules and regulations of clearinghouses or securities depositories by granting an exemption for cases which do not require the approval of the Capital Market Supervisory Board, for example, an amendment to the rules and regulations in compliance with the Securities Law;

(7)  Reviewing the SEC guidelines on submission of electronic information to support electronic filing of information to request the use of SEC work systems, and repealing the requirement for hardcopy submission to SEC.

 

“SEC will continue working on the projects under the regulatory guillotine scheme with commitment and seriousness throughout 2021-2022 to reduce burdens and operating costs of private sectors. Currently, there are 68 ongoing projects. Based on the initial assessment, once all 83 projects have been completed, they are expected to  help reduce burdens and operating costs of the private sectors involved at an amount exceeding 219.25 million baht per year, reduce the operating time by 111,720 hours per year, and cut down the use of paper by 1,976,645 sheets per year,” said SEC Secretary-General.

 

Interested parties can monitor the progress of the regulatory guillotine scheme at the SEC website: https://www.sec.or.th/RegulatoryGuillotine.