Banks win DPA staring contest, fee is 0.47% | Bangkok Post: business

Business > Economics

Banks win DPA staring contest, fee is 0.47%

State-owned banks must pay fee too

The long-running dispute over the new rate banks have to pay for deposit protection was finalised with a slight rise of 0.07% to 0.47% of deposit value, said Deputy Prime Minister Kittiratt Na-Ranong yesterday.

In addition to the tiny rate increase, the government bent to private banks' demand that they impose the same rule on state-owned or specialised banks.

The government passed an executive decree transfering responsibility of the 1.14 trillion baht in bailout debt of the Financial Institutions Development Fund (FIDF) stemming from the 1997 economic crisis from the Finance Ministry to the Bank of Thailand.

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Writer: Chatrudee Theparat & Wichit Chantanusornsiri

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