Thailand to Tighten Rules for Foreign Firms Selling Baht Bonds

Thailand plans to regulate the sale of baht-denominated bonds by foreign entities to shield local investors, a move that risks driving away borrowers from Laos and Myanmar.

Under a new set of rules proposed by the Securities and Exchange Commission, overseas sellers of baht bonds will be required to have their new securities rated by international credit rating companies for both private and public offerings. They will also require the approval from the commission starting Jan. 1.