BANGKOK, August 13 (TNA) – Financial institutions must
take into account social responsibility and good governance in order to retain
public trust, says Bank of Thailand (BOT) Governor Veerathai Santiprabhob.
Addressing the central bank’s annual “Bangkok Sustainable
Banking Forum 2019” on Tuesday, Mr. Veerathai also said Thai financial sector
must together work to tackle challenges such as income inequality,
environmental degradation, household debt and corruption.
By seeking short-term profit while neglecting future risks,
the financial institutions undermined public trust and their own stability, he
said.
From his observation, he was optimistic of increasing
awareness on social and environmental issues and good governance in the
financial sector, the central bank chief added.
The BOT Governor also reiterated the central bank’s
neutrality and independence from interference in carrying fiscal and monetary
policies.
Through its Monetary Policy Committee, the central bank
would remain autonomous to make formulate policy in response to global economic
threats such as the on-going US-China trade war, said Mr. Veerathai.
The MPC last week cut the policy interest rate from 1.75 per
cent to 1.50 per cent aiming to cope with the impacts of the trade war on Thai
exports.(TNA)
