BOT sets banking app downtime at maximum of 8 hours per year
The Bank of Thailand (BOT) has issued regulations to curb banking system outages at no more than eight hours a year.
Issues with financial transactions or banking systems, especially disruptions via mobile banking apps still persist although their occurrence has fallen. A recent example was the collapse of the interbank mobile banking system in early July, which hindered money transfers between banks. As mobile banking has become a primary channel for financial transactions, its disruption inevitably impacts a large and diverse user base.
According to the BoT Assistant Governor, Sirithida Phanomwan Na Ayutthaya
who oversees the Payment and Service User Protection Group, discussions have taken place between the BOT, relevant agencies, and financial institutions to find ways to prevent such service disruptions.
In light of the recent disruption to the interbank system, it is expected that further discussions will involve chief information officers from different banks. After two rounds of joint discussions, each bank will examine and identify potential issues leading to system failures in order to prevent future occurrences.
Furthermore, the BOT has received feedback and conducted hearings on establishing Service Level Agreement standards to ensure that the banking system is out of operation for no more than 8 hours per year.
These standards are expected to be officially announced in the Royal Gazette sometime around the end of the third quarter of this year. The enforcement of these standards specifically targets the critical mobile banking system.
Once the standards are officially published, they are expected to take effect by the end of 2024 to allow banks enough time to prepare their systems and ensure that mobile banking services experience reduced outages.
"Even though there is currently no legal enforcement, we have observed a decline in banking system outages compared to the past, as banks have continuously improved their service levels. Some banks still experience outages exceeding 8 hours per year, but the number is relatively small. We anticipate more significant improvements in system stability once the regulations are enforced," Sirithida said.
