EXCHANGE CONTROL ACT B.E. 2485
IN THE NAME OF HIS MAJESTY KING ANANDA MAHIDOL
THE COUNCIL OF REGENCY
(ACCORDING TO NOTIFICATIONS OF THE PRESIDENT OF THE ASSEMBLY OF THE PEOPLES REPRESENTATIVES DATED 4 TH AUGUST B.E. 2480 AND DATED 16 TH DECEMBER B.E. 2484)
ENACTED ON 27 TH JANUARY B.E. 2485
BEING THE 9 TH YEAR OF THE PRESENT REIGN
Whereas the Assembly of the Peoples Representatives has passed a resolution that it is deemed expedient to enact a law relating to the exchange control.
Be it therefore enacted by the King by and with the advice and consent of the Assembly of the Peoples Representatives, as follows:
Section 1. This Act shall be called the Exchange Control Act B.E. 2485
Section 2. This Act shall come into force on and from the date of its publication in the Government Gazette.
Section 3. In this Act
Currency means legal tender in Thailand;
Foreign currency means legal tender in any country other than Thailand including foreign exchange;
Foreign exchange means bank balance, bill of exchange, cheque promissory note, telegraphic transfer, mail transfer, or money order payable in foreign currency;
Gold means gold coin, gold bar or ingot;
Securities means shares, bonds, debentures and deposit receipts;
Competent Officer means a person appointed for the execution of this Act;
Minister means the Minister in charge and control of the execution of this Act.
Section 4. The Minister is empowered to issue Ministerial Regulations controlling, restricting, or prohibiting the execution of all exchange or other operations in which foreign currency is concerned in whatever form and is also empowered to issue Ministerial Regulations as regards the following:
(1) the purchase, sale and loan of foreign currency or gold;
(2) the exportation of currency, bank notes, money orders, securities, foreign currency, or gold;
(3) the transfer of securities out of Thailand;
(4) the drawing or negotiation of bills of exchange or promissory notes, the transfer of securities, or the acknowledgement of any debt so that a right to receive payment in Thailand is created or transferred as consideration:
(a) for receiving a payment or acquiring property outside Thailand
(b) for a right to receive a payment or to acquire property outside Thailand, including the making of any payment as such consideration.
(5) the fixing of rate of exchange, in this particular case the Minister may, if he sees fit, fix the rates by Notification;
(6) the granting of an authorization to any bank or any other person to transact exchange operations;
(7) to require exports to be sold in foreign currency or imports to be paid for in foreign currency and to specify the said foreign currency;
(8) to require the sale of the foreign currency proceeds of exports to or the purchase of foreign currency for payment for imports from the person prescribed by the Minister and to fix the period of time, manner and conditions for the said sale or purchase;
(9) to detain, restrict, or prohibit the exportation of goods of which the foreign currency proceeds are not sold, or the importation of goods for which foreign currency is not purchased for payment within the period of time, in the manner or under the conditions prescribed;
(10) to prescribe the manner and conditions under which a remittance from abroad may be received or utilized;
(11) to require exporters or importers to declare particulars regarding the money received or paid for goods exported or imported, together with particulars relevant to the said goods.
Section 4 bis. In purchasing or selling any foreign currency or letter of credit and remitting or transferring money abroad, a bank or any other person who has been authorized to transact exchange business is required to transact his business in accordance with the Notifications or Directions of the Minister.
Section 5. The Minister is empowered to order the sale of gold, foreign credit or foreign currency, the right to receive foreign credit or foreign currency or foreign securities to the Competent Officer or such other person as he may prescribe for currency at such rate as he may determine.
The person receiving an order given by the Minister under the foregoing paragraph shall carry out such order within the specified time.
Section 6. The sale of any property under Section 5 shall be exempted from payment of stamp duty.
Section 7. The Minister is empowered to appoint the Competent Officers and determine their power and duties, particularly as regards the demand for submission of relevant books, accounts and documents.
Section 7 bis. After the Minister has entrusted the Bank of Thailand with the execution of this Act, the Governor of the Bank of Thailand shall be empowered to appoint the officers of the Bank to be the Competent Officers under this Act.
Section 8. Any person who contravenes or fails to comply with the Ministerial Regulations, Notifications, or Directions issued under this Act shall be liable to a fine not exceeding Baht 20,000 or to imprisonment not exceeding 3 years or both.
Section 8 bis. For purposes of prevention and suppression of unauthorized exportation or importation of currency and foreign currency, it shall be deemed that currency, foreign currency, foreign bank notes, and Thai or foreign securities are articles under the Customs laws.
Exportation or importation of currency, foreign currency, foreign bank notes or Thai or foreign securities that violates or fails to comply with the Ministerial Regulations, Notifications and Directions issued under this Act, any attempt to conduct such activity, or any assistance or involvement in such activity shall, regardless of means, be considered exportation or importation of restricted articles which is unlawful under the Customs laws as well. In such case, the Custom laws and the power conferred upon the Customs Officer by the said laws, especially those on inspection and prevention of smuggling; search and confiscation; or arrest of the culprits, false declarations, and prosecution, shall apply to such activity, the culprits, and the involved articles.
Section 9. The Minister of Finance shall have charge and control of the execution of this Act and shall have power to issue Ministerial Regulations for carrying out its provisions. Such Ministerial Regulations shall come into force upon their publication in the Government Gazette.
Marshall P. Pibulsonggram
Prime Minister
MINISTERIAL REGULATIONS NO. 13 (B.E. 2497)
ISSUED UNDER THE EXCHANGE CONTROL ACT B.E. 2485
By virtue of the power conferred upon him by Section 4 of the Exchange Control Act B.E. 2485 as amended by the Emergency Decree amending the Exchange Control Act B.E. 2485, B.E. 2486 and by Section 9 of the Exchange Control Act B.E. 2485, the Minister of Finance hereby issues the Ministerial Regulations as follows:
Article 1. The Ministerial Regulations issued under the Exchange Control Act B.E. 2485 dated 4th July 2485, the Ministerial Regulations No. 4 issued under the Exchange Control Act B.E. 2485, the Ministerial Regulations No. 5 issued under the Exchange Control Act B.E. 2485, the Ministerial Regulations No. 6 issued under the Exchange Control Act B.E. 2485, the Ministerial Regulations No. 8 (B.E. 2494) issued under the Exchange Control Act B.E. 2485, the Ministerial Regulations No. 9 (B.E. 2495) issued under the Exchange Control Act B.E. 2485, the Ministerial Regulations No. 10 (B.E. 2495) issued under the Exchange Control Act B.E. 2485, the Ministerial Regulations No. 11 (B.E. 2495) issued under the Exchange Control Act B.E. 2485 and the Ministerial Regulations No. 12 (B.E. 2496) issued under the Exchange Control Act B.E. 2485 shall, subject to Article 28, be repealed.
Article 2. In this Ministerial Regulations;
Foreign means of payment means foreign currency and letters of credit;
Letters of credit includes authority to purchase and instructions or documents of similar nature and means specifically those payable abroad;
Authorized bank means a commercial bank authorized to transact business relating to foreign means of payment;
Authorized company means a limited company, which is not a bank, authorized to transact business relating to foreign means of payment;
Authorized money changer means a person authorized to buy, sell, loan, and exchange foreign currency notes, foreign bank notes, foreign coins, or travellers cheques payable in foreign currency;
Remittance agent means a person who transacts business as an agent to collect money from other persons for the purpose of buying foreign means of payment from an authorized bank, or authorized company to be remitted for the maintenance of those persons9 families and relatives abroad.
Article 3. No person shall transact business relating to foreign means of payment unless the permission has been granted by the Minister.
Any person wishing to undertake business relating to foreign means of payment shall apply for permission in prescribed forms to the Minister through the Bank of Thailand. The Minister may issue notifications prescribing rules to be followed by applicants in applying for and on being given permission.
In the case where the person given permission is an authorized bank or an authorized company, it shall be deemed that the branches of such authorized bank or company is likewise covered by such permit unless otherwise stated in the permit. Whatever the case may be, the Minister has the power to alter the permit so as to exclude any specific branch of the authorized bank or authorized company.
Article 4. Permits granted under Article 3 shall not cover any act prohibited under article 7 bis., Article 8, and Article 9, and permits granted specifically to authorized money changers shall not cover the purchase, sale, loan, or exchange of any foreign currency other than foreign currency notes, foreign bank notes, foreign coins and travellers9 cheques payable in foreign currency.
Article 5. The Minister may revoke any permit granted under Article 3 in the case where the holder of the permit fails to comply with or violates the exchange control laws, rules, regulations, orders or notices issued under the said law or endangers the exchange system or the public in economic matters.
Article 6. As from thirty days after these Ministerial Regulations come into force, all permits granted or held as granted to banks, limited partnerships, companies, or foreign exchange dealers to undertake the business relating to foreign means of payment, including permits granted or held as granted to carry on the business of a remittance agent before these Ministerial Regulations come into force, shall expire.
Article 7. No person other than an authorized bank, authorized company, or authorized money changer shall buy, sell, loan, exchange, or transfer any foreign means of payment unless the permission has been granted by the Competent Officer.
The provision in the first paragraph shall not apply to:
(1) purchase, sale, or exchange of foreign means of payment with an authorized bank or authorized company;
(2) purchase or sale of foreign currency notes, foreign bank notes, or foreign coins with an authorized money changer, or sale of travellers9 cheques payable in foreign currency to an authorized money changer.
Article 7 bis. No person shall accept deposits in foreign currency, borrow in foreign currency, or incur any debt in foreign currency, whether in transactions of the head office, branch, agent, or any other person, or in transactions between such persons, unless the permission has been granted by the Competent Officer.
The provision of the first paragraph shall apply, whether applied generally, specifically, wholly or partly, as prescribed by the Minister in the Government Gazette.
In giving prescription according to the second paragraph or granting permission according to the first paragraph, the Minister or the Competent Officer may prescribe the rules, conditions and period of enforcement.
Article 8. Any person, who has acquired foreign means of payment and has been permitted to employ them for a specific purpose or under certain conditions, shall not employ them whether locally or abroad for any other purpose or in contravene to the conditions under which they were acquired.
Article 9. Except where general exemption has been granted by the Minister, no person shall export or take out currencies from the country unless the permission has been granted by the Competent Officer.
The Minister may also prescribe conditions on such exemptions.
Article 10. (repealed)
Article 11. (repealed)
Article 12. (repealed)
Article 13. (repealed)
Article 14. (repealed)
Article 15. Except where general exemption has been granted by the Minister, no person shall buy, sell, or lend gold unless the permission has been granted by the Competent Officer.
Such exemption may be granted with any condition prescribed by the Minister.
Article 16. Any person who exports goods shall acquire foreign currency from exports immediately upon receipt of the export proceeds unless the term of payment is specified, which shall not exceed 120 days from the date of exportation. In the case where the term of payment is specified, the exporter shall acquire foreign currency immediately upon receipt of payment within the specified period. When acquiring such foreign currency, the person shall sell the foreign currency to or deposit it with an authorized bank or authorized company in Thailand within 7 days from the date of acquisition.
The Minister may, nonetheless, grant general exemption or the Competent Officer may permit otherwise.
For deposit of foreign currency obtained from exports with an authorized bank or authorized company and withdrawal of such foreign currency, the exporter, the authorized bank, and the authorized company shall comply with the rules, procedures, conditions, limits and periods of time concerning deposit and withdrawal of foreign currency as prescribed by the Competent Officer.
The order of the Minister may be given with any condition.
Article 17. (repealed)
Article 18. (repealed)
Article 19. (repealed)
Article 20. Any person who has acquired foreign currency from abroad by means other than those prescribed in Article 16 shall sell the foreign currency to an authorized bank, authorized company, or authorized person in Thailand or deposit such foreign currency with an authorized bank or authorized company in Thailand within 7 days from the date of acquisition or importation of such foreign currency, as the case may be, unless general or specific exemption with or without conditions has been granted by the Competent Officer.
For deposit of the foreign currency described in the first paragraph with an authorized bank or authorized company and withdrawal of such foreign currency, the person acquiring foreign currency, the authorized bank, and the authorized company must comply with rules, procedures, conditions, limits and periods of time concerning deposit and withdrawal of foreign currency as prescribed by the Competent Officer.
Article 21. (repealed)
Article 22. (repealed)
Article 23. (repealed)
Article 24. (repealed)
Article 25. The Minister may issue general orders as follows:
(1) Importers or exporters shall declare, in the form as prescribed by the Competent Officer, imported or exported goods, prices of goods, methods of payment, and foreign currency or currency paid or to be paid, or other descriptions to the Competent Officer through the Customs Officer upon submitting the Imports or Exports Entry to the Customs.
(2) A person who purchases or sells foreign means of payment with an authorized bank or authorized company shall declare, in the form as prescribed by the Competent Officer, the foreign means of payment, details on the use or sources, purpose of the purchase, or other descriptions to the Competent Officer through an authorized bank or authorized company on buying or selling foreign means of payment.
(3) A person who deposits foreign currency with an authorized bank or authorized company under Article 16 or Article 20 shall declare, in the form as prescribed by the Competent Officer, deposits or withdrawals of foreign currency from the account, details of the sources or withdrawal, purpose of the deposit or withdrawal, or other descriptions to the Officer through an authorized bank or authorized company on deposit or withdrawal of foreign currency.
Article 26. In the case where the Minister has issued a notification to the effect that an open account arrangement has been concluded between Thailand and any foreign country, a remittance to or from a person in such country shall be made through this account by the procedures prescribed by the Minister, unless the exemption has been granted.
Article 27. No person shall undertake the business of a remittance agent unless under the permission has been granted by the Minister.
Any person wishing to undertake the business as a remittance agent shall apply for permission in the prescribed form to the Minister through the Bank of Thailand.
The Minister shall prescribe notifications for applicants in applying for and on being given permission.
In the case where the person given permission is an authorized bank or an authorized company, it shall be deemed that the branches of such authorized bank or company is likewise covered by such permit unless otherwise stated in the permit. Whatever the case may be, the Minister has the power to alter the permit so as to exclude any specific branch of the authorized bank or authorized company. Article 28. The Ministerial Regulations (No. 4) issued under the Exchange Control Act B.E. 2485 as amended by the Ministerial Regulations No. 8 (B.E. 2494) issued under the Exchange Control Act B.E. 2485 and by the Ministerial Regulations No. 10 (B.E. 2485) issued under the Exchange Control Act B.E. 2485 shall continue in force to all persons under obligation to acquire foreign currency for sale to the Bank of Thailand until such obligation has been fulfilled.
Given on 3rd December B.E. 2497
P. Boribhandyuddhakich
Minister of Finance
(Government Gazette, Vol. 71, Part 35, 14th December B.E. 2497)
