05-07-2025
Thailand Post offers virtual service
The Digital Economy and Society (DES) Ministry plans to support state-run logistics provider Thailand Post as it offers a neutral banking agent service to prospective virtual bank operators.
Thailand Post's core strength is its nationwide network of carriers that can provide first-mile services, said DES permanent secretary Wisit Wisitsora-at.
He said Thailand Post specialises in door-to-door delivery and has many years of experience, with a combined workforce of more than 25,000 carriers who know every metre of the country and are familiar with local communities.
Although virtual bank operators will provide the majority of services via their virtual banking systems, Thailand Post can facilitate operations through the provision of contact points, serving virtual banks' operations through its offices and network, according to the logistics provider.
The proposed service could focus on groups such as unbanked people or migrant labourers who earn their income daily as cash.
Mail carriers can take their cash and deposit it in the virtual banking system, according to Thailand Post.
Dhanant Subhadrabandhu, president of Thailand Post, said the state enterprise began discussing the business potential of a neutral banking agent service with a winner of a virtual bank licence.
He said Thailand Post could provide several forms of operational support to all of the virtual bank lenders.
"One targeted group of the service is migrant workers and Thais who do not receive a pay slip from their employers," said Mr Dhanant.
Mail carriers could offer a variety of virtual banking services and related services to people at their residences, backed by Thailand Post's 1,600 post office branches countrywide, he said.
Thailand Post currently operates a banking agent service for all of the country's banks, which allows people to deposit and withdraw their money at post office branches.
Mr Dhanant said the state enterprise wants to turn last-mile delivery into a first-mile service, making Thailand Post the first choice for Thais for every kind of service.
Moreover, Thailand Post recently adjusted its business strategy to focus more on specialised logistics services to cope with the risk of volume uncertainty associated with its delivery services.
These specialised logistics include the delivery of medical supplies for both people and pets.
Last month, the Finance Ministry approved three virtual banking licence applicants, allowing them to establish the country's first virtual banks. The new banks are expected to commence operations within a year from the date of licence approval.
The winners were ACM Holding Co (TrueMoney), which is backed by the Charoen Pokphand Group; Krungthai Bank in collaboration with Advanced Info Service and PTT Oil and Retail Business; and the SCB X consortium of holding company Siam Commercial Bank, South Korea's largest digital bank KakaoBank, and WeBank, a global digital bank renowned for its advanced technology.
The successful applicants were selected after a rigourous review by the Finance Ministry and the Bank of Thailand from five submissions received between March 20 and Sept 19, 2024.
