Capability Development

The Banking Sector
Part of the Contributions to Economics book series (CE)


We have seen that the Asian economies studied have undergone considerable changes in payment systems and that this has affected commercial banking. In this chapter we show in detail how innovation has occurred in the Thai banking sector. In Thailand banks were placed under enormous pressure to innovate in the mid-late 1990s first by a push towards financial services liberalisation, followed closely by a major financial crisis. In this transformative period numerous innovations arose and we show how the banking community responded to them and the means by which they were disseminated and implemented. We assess survey results that illustrate the broad indicators of innovation. We apply these assessments to IT introduction and usage in the commercial banking industry, the level of automation among types of payment routines, and the major sources of commercial bank capabilities contributing to, or constraining, innovation.


Central Bank Smart Card Commercial Bank Payment System Technological Capability 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.


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Copyright information

© Physica-Verlag Heidelberg 2009

Authors and Affiliations

  1. 1.University of Westminster and Bank of ThailandPranakhonThailand
  2. 2.Department of Management Information Systems and Innovation GroupLondon School of Economics and Political ScienceLondonUK

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