It is estimated that more than a quarter of assets under management globally are now invested using the Environment, Social, and Governance or ESG principles5. Ladies and gentlemen, It is now up to all of us—financial institutions, policymakers, and leaders—to embrace sustainability and incorporate its guiding principles in our daily lives and business practices. The objective of the Bangkok Sustainable Banking Forum is to raise awareness of the various issues of sustainability and identify gaps within our financial sector. Seeing much enthusiasm from our high-level participants this morning, I am certain we can make positive changes for our future generations. I would like to take this opportunity to thank all of you for taking the time out of your busy schedules to be here with us. I would also like to thank the speakers, some of whom have traveled from different parts of the globe, for being here to share to with us their insights and best practices. Let me, once again, urge all of us to think wisely, maintain longterm focus, and take responsible actions now so that in the next decade we would not be standing here asking ourselves again how we have allowed these challenges to get out of hand. Ladies and gentlemen, The Bank of Thailand looks forward to collaborating with all of you on our sustainability journey. Thank you very much for your participation. 5  Bernow, Sara, Klempner, Bryce, Magnin, Clarisse. “From ‘why’ to ‘why not’: Sustainable investing as the new normal.” McKinsey and Company, October 2017. 6/6

Some countries, for example, try to internalize the costs of registering subsidiaries as branches by increasing depositor and retail consumer legal protection through an option for retail clients to cancel  24  Praet, P. (2015): Structural reforms and long-run growth in the euro area, intervention on the panel “Long-run growth, monetary policy and financing of the economy” at 43rd Economics Conference of Oesterreichische Nationalbank, Vienna, 15 June 2015. 25  European Central Bank (2015): A framework for analysing and assessing cross-border spillovers from macroprudential policies, Financial Stability Review, Special features, May 2015. 26  Czech National Bank (2014): Box 7: Fragmentation, Ring-fencing of Local Activities and Foreign Bank Branches, Financial Stability Report, 2013/2014. 27  Recommendation ESRB/2015/2 on the assessment of cross-border effects of and voluntary reciprocity for macro-prudential policy measures. BIS central bankers’ speeches  7  liability/claim without penalty, extraordinary contributions to deposit guarantee systems, etc. The potential for intra-banking-group arbitrage could also be diminished if a macroprudential measure is applied at the appropriate level of consolidation and/or exposure location, making reciprocity arrangements a necessary condition for mitigating these effects. Since it may be difficult to simultaneously hit macroprudential and monetary objectives due to the general low degree of synchronisation between real and financial cycles, the policy coordination of the two is an essential prerequisite for simultaneously stabilizing the general price level and financial movements as there are “important synergies and interactions between the two policy functions” (Constancio, 2015).