The Fintech Association (TFA) has thrown its support behind a draft bill on fintech, saying the law will help pave the way for infrastructure and create an ecosystem that will strengthen local fintech firms' competitiveness against foreign operators.

A law governing fintech is key to making the ecosystem complete because no current laws are designed for fintech business, said Korn Chatikavanij, the TFA chairman and former finance minister.

A committee led by Vorapol Socatiyanurak, a former secretary-general of the Securities and Exchange Commission (SEC), is drafting the bill.

Others represented on the committee include the SEC, the Bank of Thailand, commercial banks and the TFA.

The growing threat from foreign fintech companies has prompted local financial institutions and startups to prepare themselves, Mr Korn said.

TFA president Jessada Sookdhis said core infrastructure, including open data, is an integral part of the draft bill. With open data, consumers can apply to use any service without having to fill in their information again.

With each operator currently keeping data in paper form, they are unable to share information about customers, who then have to file their personal information every time they use a service at a new financial institution.

If the act takes effect, customers will merely have to give their consent to share their personal information, rather than re-enter.