So far, 17 companies have obtained TC licenses, most of which are multinational corporations. Second, ASEAN banks and their branches are expected to gain broader access within the AEC region. Under the ASEAN Banking Integration Framework (ABIF), ASEAN countries may enter into bilateral agreements to allow Qualified ASEAN Banks (QABs) to establish branches in the partnering country. To attain QAB status, banks must meet governance and several operating standards as well as other criteria agreed on a bilateral basis. For Thailand, this is an ongoing process, and we are now under QAB negotiations with Indonesia, Malaysia and Myanmar. 7  Third, we promote the use of local currencies for cross-border transactions. This helps reduce transaction costs and mitigates the exchange rate risks amidst the backdrop of high foreign exchange volatility in advanced economies. For liquidity support of regional currencies, Thailand has established several Bilateral Swap Arrangements with neighboring countries including China, Malaysia, Cambodia, and Laos. Further arrangement is expected, especially with Indonesia and other CLMV partners. These aforementioned developments are initial steps that could lead countries in the region into a new regional financial landscape that further integrates trade and financial services. Ladies and gentlemen, I hope my talk today is not overloaded with too many details, but I think it is a good opportunity to share some of the reform efforts in Thailand that may be less frequently discussed. Let me end my talk by providing you a quick summary.

Another rising trend is FinTech, which brings about innovation and business solution in various forms. The Bank of Thailand does not view FinTech as a risky competition to our financial environment. Rather, we believe FinTech can enhance productivity and promote greater financial inclusion, which complement the current system. Nonetheless, as with many new innovations, risks are sometimes underestimated, and thus it is the responsibility of a supervisory body to strike a good balance between prudent regulation and adequate room for innovation. In light of this, the recently issued Regulatory Sandbox Framework allows banks and non-banks to test their innovations with limited group of customers before launching their services to the broader public. Ladies and gentlemen, having a good financial intermediation and payment system will greatly boost trade and investment. Regionalization is the second area that I would like to highlight. Since 2007, the GDP of ASEAN economies has almost doubled, reaching over 2.4 trillion US dollars and has continued to grow firmly, thanks in part to trade liberalization of goods and services. ASEAN policymakers strive to build on this important relationship with further integration in the financial sector. On this note, I would like to highlight some of the regional initiatives that the Bank of Thailand will focus on. First, we position Thailand as a springboard for cross-border financial services with the CLMV partners for the benefit of all parties involved. Companies with regional operations are encouraged to set up Treasury Centers (TC) in Thailand to gain benefit from more flexible foreign exchange regulations.