financial inclusion and ( 3 ) to facilitate financial connectivity in the region. allow me to delve into some details. starting with reducing costs of financial services. as the thai economy can no longer compete on supply of cheap labors, cost competitiveness in other areas are critical. in light of this objective, the financial sector master plan and the payment system roadmap envisage that cost savings in the financial sector due to more efficient operation of financial institutions and the payment system would be passed on to the real sector and the households. here, i would like to note that the term financial institutions go beyond banks and finance companies to include non - bank players like e - payment service providers and fintech ( financial technology ) firms as well. 3 / 5 bis central banker's speeches the bank of thailand believes that the very foundation for improved financial services ’ efficiency is through the adoption of digital technology and shared infrastructure. the former comprises digitization of operations, product offerings and service channels. an example of the shared services initiatives is the promptpay system, the minister of finance mentioned in the speech. promptpay is an integrated retail fund transfer system that will allow individuals, businesses, and government to transfer funds across service providers at low costs with ease, flexibility and resilience. on top of the promotion of e - commerce, promptpay together with other e - payment initiatives, for example shared point of sales ( pos ) terminals, digital tax messaging, standardized qr codes, will lead to significant reduction in costs of cash management and paper processing, currently borne by banks, businesses, consumers, as well as the bank of thailand. in addition, the move from cash - based transactions to more electronic - based transactions can potentially reduce incidences of corruption and improve governance through greater transparency. on the regulatory front, an important development is the crafting of the payment system act which aims to consolidate fragmented laws and regulations governing electronic payments. the act will set out business rules and regulatory framework for our payment systems that meet international standards. to date, the act has been endorsed by the cabinet and expected to soon be presented to the national legislative assembly. let me say a few words about fintech. we view fintech as an important addition to our financial service ecosystem. fintech would give consumers more options and save operating costs for financial institution and service providers. on a bright side, fintech firms are agile and efficient by nature. yet allowing certain types of them to run freely may desta

. half the time allotted to each session is intended for q and a. presenters are asked to keep their eyes on the clock, to ensure that you do not erode the audience ’ s time. we look forward to your active engagement in today ’ s activities. our philosophy of regulation has always been cooperative, never coercive or confrontational. it is an approach which works very well, because it recognizes the interests of everyone, in a context where we all agree that we must, in the end, do what is in the best interests of the country. bis central bankers ’ speeches