Conclusion

This chapter outlines the principal conclusions of this study, which conducted a longitudinal, evidence-based policy analysis of the financial reforms following the Asian Financial Crisis. In the Thai commercial banking sector, the aftermath of the crisis saw the continuation of a strong oligopoly, characterized by intense competition among large local banks. The entry of mainly Asian-origin foreign banks introduced a medium-sized banking segment and, along with the rise of small banking groups funded by both local and foreign capital, restructured the banking hierarchy. Despite the diverse impacts of foreign capital, large traditional family-owned banks retained robust leadership and management structures, mitigating the effects of reduced family ownership and maintaining their competitive edge. Overall, it appears challenging to assert that Thailand’s post-crisis financial reforms—aimed at enhancing competition and advancing technological progress—have been explicitly successful. This analysis suggests that while structural changes have occurred, the intended policy goals have not been fully realized.