Thailand Financial Sector Assessment Program

Abstract

The responsibilities of the regulator
 should be clearly and objectively stated. The regulator
 should be operationally independent and accountable in the
 exercise of its functions and powers. The regulator should
 have adequate powers, proper resources and the capacity to
 perform its functions and exercise its powers. The regulator
 should adopt clear and consistent regulatory processes. The
 staff of the regulator should observe the highest
 professional standards including appropriate standards of
 confidentiality. The regulatory regime should make
 appropriate use of Self-Regulatory Organizations (SROs) that
 exercise some direct oversight responsibility for their
 respective areas of competence, and to the extent
 appropriate to the size and complexity of the markets. SROs
 should be subject to the oversight of the regulator and
 should observe standards of fairness and confidentiality
 when exercising powers and delegated responsibilities. The
 regulator should have comprehensive inspection,
 investigation and surveillance powers. The regulator should
 have comprehensive enforcement powers. The regulatory system
 should ensure an effective and credible use of inspection,
 investigation, surveillance and enforcement powers and
 implementation of an effective compliance program. The
 regulator should have authority to share both public and
 non-public information with domestic and foreign
 counterparts. Regulators should establish information
 sharing mechanisms that set out when and how they will share
 both public and non-public information with their domestic
 and foreign counterparts. The regulatory system should allow
 for assistance to be provided to foreign regulators who need
 to make inquiries in the discharge of their functions and
 exercise of their powers.