Thai Central Bank’s New Blockchain-Enabled Bond Infrastructure Passes Test With $1.6B Bond Sale
Bangkok, Thailand (Thanapol Tontinikorn/Shutterstock)
The Thai central bank, Bank of Thailand, announced on Friday that it has launched a blockchain-enabled platform for the issuance of government saving bonds.
- According to a press release, the Thai central bank sold 50 billion Baht (approximately $1.6B) worth of government savings bonds over one week’s time.
- The release added that the blockchain-enabled platform will help build a more secure, efficient mechanism for issuing government bonds and also aid in reduction of associated operational costs.
- Thailand has been pivoting its bond market toward blockchain-enabled platforms as the country’s finance ministry had earlier in June announced plans to sell $6.42 million worth of low-face-value government savings bonds using state-owned Krung Thai Bank’s blockchain wallet.
- “In the next phase, the infrastructure will expand to support all different government bonds,” the release said. Thailand’s finance ministry announced last month that the funds obtained from selling $1.6 billion worth of savings bonds would go toward financing the government’s budgetary deficit.
