Governor Vitai Ratanakorn unveils unprecedented measures to track suspicious transactions and regulate gold trading amid structural economic challenges.

The Bank of Thailand (BOT) is dramatically expanding its regulatory reach to combat grey money flows and unregulated gold trading, as Governor Vitai Ratanakorn announced a sweeping transformation of the central bank’s role from passive observer to active problem-solver of Thailand’s structural economic challenges.

Speaking at the KKP Year Ahead 2026 seminar on Tuesday, Vitai unveiled unprecedented measures to track suspicious banknote exchanges, regulate digital gold trading, and monitor cryptocurrency transactions — all aimed at stabilising the volatile baht and addressing what he described as deep-seated structural weaknesses in the Thai economy.

Targeting Gold Trading’s Outsized Impact

The most significant intervention targets Thailand’s massive but largely unregulated digital gold trading market, which Vitai revealed accounts for approximately 50-60% of GDP in transaction volume — a figure he described as “enormous.”

The BOT discovered that on days when the baht strengthened, between 45% and 62% of all dollar selling in the country came from gold shops, creating severe exchange rate volatility.

The central bank is seeking authority from the Ministry of Finance to regulate gold transactions that affect the baht, including requiring transaction reporting and potentially limiting trading volumes for large players.

The measures are expected to be implemented by late January.

Tracking Grey Money Flows

In an unprecedented move, the BOT will leverage expanded powers to trace suspicious money flows, including large cash exchanges.

Commercial banks will now be required to report unusual transactions to the central bank.

The governor candidly acknowledged the challenge: “When I asked around, I know that money will be used in elections. I know that people will come to exchange 100-baht, 500-baht, and 1,000-baht notes.”

The BOT is also tightening controls on money exchange services and e-wallet transfers to prevent money laundering, with clearing systems expected to be operational by the end of this month.

Foreign currency inflows exceeding 200,000 US dollars will now require declaration of income sources.

Cryptocurrency Under Scrutiny

The central bank is also examining the cryptocurrency market, where Vitai revealed that 40% of USDT (stablecoin) sellers on Thai platforms are foreigners who “should not be trading in Thailand.”