Mekong capital market cooperation has been approved by Thailand and other countries involved in the agreement, which aims to boost economic growth for the region.
The cooperation will be joined in by Thailand, Cambodia, Vietnam, Myanmar, and Laos. In the near future, there will be development of capital markets where the Mekong River runs. Recently after the cooperation’s meeting last month, the countries focused on developing collective investment scheme business, regulatory standards and practices’ mutual recognition, as well as financial literacy promotion. Besides such, the allowance of foreign companies to assist in fund raising has been initiated as well. Thai capital market is set to a boost, while it also moves towards global recognition. There will be rules to enhance the capital market cooperation, which will emphasize investment choices, limitations, and expansion of economies and businesses handled by foreigners.
Securities and Exchange Commission (SEC) took over the task of supporting Thai capital market growth by issuing new regulations on launching of foreign companies and their listing on Thailand’s stock exchange. The same criteria, standards, and rules followed by Thai companies in information disclosure, shareholder protection, and conflict of interest will be followed by foreign companies. Additional rules for Mekong capital market cooperation were also presented, such as compliance to work with SEC and appointing at least a couple of Thai residents in the pertained company’s board of directors.