The “Virtual Banks in Thailand: Opportunities, Risks, and Governance Challenges” panel at Thailand Focus 2025 featured insights from Mr. Manop Sangiambut, Chief Financial Officer of SCBX, and Mr. Ithinan Watsuksanti, Head of Lending at Ascend Money and Head of Business Development – Business Lending Product at Ascend Nano. Both offered complementary visions for how virtual banks can address Thailand’s substantial underbanked population.
Three entities that acquire virtual bank licenses are:
1. ACM Holding Company Limited (TRUE and partners)
2. Krung Thai Bank Public Company Limited, Advanced Info Service Public Company Limited, PTT Oil and Retail Business Public Company Limited
3. SCB X Public Company Limited, WeTechnology Limited, KakaoBank Corp.
SCBX: AI-Native and Cost-Efficient
Mr. Manop described virtual banking as “the business of the future” for both Thailand and SCBX. Despite high mobile banking penetration, he pointed out that many Thais remain underbanked—an opportunity large enough for all three licensed virtual banks to succeed.
SCBX’s strategy draws heavily from global leaders. Having partnered with Kakao Bank and WeBank—two of Asia’s most successful digital banks—SCBX aims to replicate lessons on innovation, user experience, and hyper-personalisation to deliver “customer delight.”
A key differentiator will be its AI-native, cloud-based architecture, built from scratch without legacy constraints. SCBX plans to maintain a cost-to-income (C/I) ratio in the low 30s, or even below for the new virtual bank, compared to its current high-30s for the SCBX Group and around 30s for its partner.
On competition, Mr. Manop argued that virtual banks will create a “new market segment” by focusing on the underbanked rather than competing directly with incumbents. Trust, he said, will not be a major obstacle since virtual banks are regulated like traditional banks—the challenge will be offering the right products.
Regarding financial inclusion, he stressed that while virtual banks can bring borrowers out of informal lending, they will not solve Thailand’s household debt problem, which stems primarily from income inequality and requires government policy action. Early success will be measured by customer acquisition, engagement, and product adoption, with long-term goals focused on significantly higher returns on equity than SCBX’s traditional operations.
SCBX has committed an initial THB 5 billion in capital, rising to THB 10 billion, and will develop an independent core banking system and a neutral, “plug-and-play” ecosystem. In five years, the bank aims to be recognised as Thailand’s “most preferred virtual banking platform.”
Ascend Money: Embedding Banking into Daily Life
Mr. Ithinan presented a complementary vision, emphasizing how Ascend Money will leverage the extensive TrueMoney ecosystem, which serves more than 30 million users daily, alongside its wide network of partners. The goal, he said, is to “make banking part of customers’ daily lives” by embedding financial products seamlessly and tailoring solutions through data-driven insights.
He outlined three expected impacts of virtual banking:
- Inclusive and flexible credit using AI scoring and alternative data for gig workers and informal workers.
- Mobile-first access that prioritises simplicity and trustworthiness, especially for first-time users of formal banking.
- A broader product suite including savings, investment, and protection tailored to customer needs.
For Ascend Money, trust rests on four pillars: transparency, a proven track record, humanized digital support, and strict data security.
Mr. Ithinan emphasized practical financial inclusion, citing how small credit lines could help street food vendors cover daily business needs or emergencies, reducing reliance on informal lenders. Deposit products with features like goal-setting and gamification could further encourage saving.
Competition, he noted, should not be seen as a “zero-sum game.” Instead, he envisions collaboration between virtual and traditional banks, such as co-lending and open banking initiatives. Ascend Money will operate independently but leverage insights from TrueMoney’s ecosystem.
Looking ahead, Ascend Money seeks to build sustainable value through responsible lending and partnerships, ensuring borrowers can repay rather than maximising loan volumes. In five years, Mr. Ithinan hopes the bank will be known as one that gives people the opportunity, enabling growth and trust, not just providing financial products.
