Thailand has begun the search for a new governor for its central bank, seeking a candidate with “modern ideas” capable of collaborating closely with the government. Finance Minister Pichai Chunhavajira confirmed that discussions are underway as the current governor, Sethaput Suthiwartnarueput, nears the end of his five-year term, which expires in September.
The move comes amid ongoing tensions between Prime Minister Paetongtarn Shinawatra’s administration and the Bank of Thailand over economic strategy, particularly regarding monetary policy and inflation targets. Governor Sethaput has consistently advocated for the central bank’s independence in decision-making.
“The new governor must be forward-thinking and adaptable, with innovative ideas,” Pichai stated during a press briefing at the finance ministry. “In today’s world, particularly within financial markets, traditional approaches are no longer enough to address challenges effectively.”
Pichai emphasized the need for the incoming governor to work closely with the finance ministry and government, requiring expertise in both economics and finance.
A selection panel, whose members have yet to be announced, will review potential candidates and provide a shortlist to the finance minister at least 90 days before Sethaput’s term concludes. Applicants will be invited to apply once the process is officially opened.
The government has also explored ways to exert more influence over the central bank, including nominating former finance minister Kittiratt Na-Ranong for the role of chairman. However, opposition has arisen due to concerns over his affiliations with the ruling party, raising questions about his suitability for the position. While the chairman does not participate in monetary policy discussions, they are responsible for assessing the governor’s performance and influencing the selection of external experts on the seven-member rate-setting panel.
Finance Permanent Secretary Lavaron Sangsnit indicated that Kittiratt’s candidacy is likely disqualified, and the ministry will propose a new chairman to the selection panel. Despite the delay, Lavaron assured that the central bank’s operations would continue smoothly, as Sethaput, also the vice chairman, can assume temporary responsibilities until his term ends on September 30. However, the new chairman should ideally be appointed before then, he added.
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