New SEC chief vows to restore confidence in Thai stock market

The new chairman of the Securities and Exchange Commission (SEC), Prof Wisit Wisitsora-at, has pledged to focus on the two most important tasks before him: restoring confidence in the Thai stock market and promoting the Thai capital market.

The Thai capital market has been shaken by various scandals in recent months, which have taken a toll on investor confidence, leading to a sharp decline in trading volume. 

The Cabinet recently appointed Wisit the new chairman of the SEC, replacing Pichit Akrathit, who completed his four-year term on July 2.

The new SEC chief has announced an urgent policy to restore investor confidence in the Thai stock market, with clear results expected within the next 3-6 months. This policy will be presented to the SEC board for consideration in early August.

The policy aims to "reform the SEC's law enforcement process to increase efficiency and effectiveness", he said, thereby boosting investor confidence and ensuring that the Thai capital market operates according to true market mechanisms and fundamentals.

"We need to standardise the SEC's law enforcement process more clearly, differentiating cases by their impact levels, such as high impact, medium impact, and low impact," he added.

He also emphasised the importance of expediting the law enforcement timeline, reducing it from years to months, from the beginning to the prosecution of each case.

Wisit said he intends to collaborate with all relevant sectors of the Thai capital market, integrating cooperation with external agencies such as the courts (prosecutors) and the Department of Special Investigation, to enhance effectiveness and clarity of SEC's law enforcement. The communication process with the Stock Exchange of Thailand (SET) and all related parties would be streamlined to reduce disputes, he added.

Additionally, drafting new laws related to the Thai capital market is underway in discussions with the Ministry of Finance, which also prioritises restoring investor confidence urgently.

Quick disposal of pending cases 

Wisit expects the SEC to expedite the resolution of pending cases within the next 3-6 months, especially those that significantly impact investor confidence. The SEC must conclude these major cases quickly to prevent delays, and other pending cases would be addressed progressively, he promised.

"The duration of case resolution must have measurable standards. If cases remain pending, there must be justifiable reasons," Wisit said.

Recently, the SEC underwent an internal restructuring and amended laws, such as granting more investigative powers to SEC officials and establishing a complaint centre to better prevent and mitigate issues. However, he believes multiple methods must be combined. The SEC is also preparing to employ artificial intelligence (AI) technology to analyse evidence, detect irregularities, and link data with the SET system for more effective and quicker prevention, minimising damage to investors and the Thai capital market.

Promoting investment in new assets

Regarding the second urgent task of promoting the capital market, Wisit said that the SEC would focus on investments in new assets, particularly investment tokens, to expand fundraising for supporting Thailand's economic growth, such as carbon credits, potentially creating broader value and trading systems.

"We believe that if the SEC increases relevant licensing and implements supportive measures, the investment token market can grow significantly, considering the current cryptocurrency market's value of 3 trillion baht."