Bank Of Thailand Confident On Y2K Actiongreenspun.com : LUSENET : TimeBomb 2000 (Y2000) : One Thread
Bank Of Thailand Confident On Y2K Action
By Sarawooth Jirapisankul and Sasithorn Ongdee, The Nation.
With 50 days left before the turn of the millennium, Thai financial markets, including capital and money markets, are ready for any problems arising from the year 2000 computer glitches, high-ranking financial authorities claimed yesterday.
Speaking at a seminar on preparations for the Year 2000 computer problem, organized by Krungthep Turakij and the Securities and Exchange Commission (SEC), Tarisa Watanagase, Bank of Thailand assistant governor, said local banks and finance companies are all ready for the Y2K problem.
Tarisa said the 14 main computer-related systems, such as the foreign exchange trading system, the payment system and the Baht-Net system at the Bank of Thailand, will work properly when this year ends and the new one begins.
"In addition, we (the Bank of Thailand) have also prepared extra bank notes in case any unexpected event occurs during the year-end. We have 75 percent more bank notes in hand compared to normal years," she said.
She said the central bank has been closely monitoring the preparation in local banks and finance companies. All financial institutions have passed the six "mission critical" steps set by the Bank of Thailand.
The six critical steps include testing computer systems and contingency planning.
Tarisa said under the program, all banks have tested computer support systems, including lending and depositing systems and the automatic teller machine system. According to the second step of the programme, Thai banks have completed their contingency plans and tested those plans in August.
Thai financial institutions are making monthly reports explaining their preparations for the Y2K problem to authorities. Information updates are still sent to the Bank of Thailand.
She added that financial institutions under the supervision of the Bank of Thailand have passed industry-wide tests. All related organizations or parties were tested with Thai banks and finance companies. The Bank of Thailand has also set up a computer command center to monitor any malfunction of the computer system during the new year transition.
However, Tarisa said, two specialty financial institutions are not yet fully Y2K compliant because they ran into some technical problems, but the two companies are more than 90 percent ready.
Prasarn Trairatvorakul, deputy secretary-general of the Securities and Exchange Commission, confirmed all 34 securities companies and 13 assets management companies have met the commission's standard in preparing for the Y2K problem.
He said the Securities and Exchange Commission worked with Chulalongkorn University to establish world-class Y2K preparation guidelines. All brokerage houses, asset management companies, and sub-brokers in Thailand were required to follow the tough standard.
These companies also drew up contingency plans, and they have assured the commission of their Y2K readiness.
Prasarn said the Thai capital market will be tested during the three-day holiday running from Jan 1 to 3. After the tests on Jan 1, the authorities will know whether normal trading can begin on Jan 4.
"If there is something going wrong during the test on Jan 1, we still have enough time on Jan 2 and Jan 3 to prepare for the problems. If there turns out to be the worst-case scenario, the contingency plan will then be put in use. There will certainly be trading on Jan 4," he said.
While investors will be enjoying the final countdown for the new millennium, Dec 31 will be the busiest night of the year for officers of the Stock Exchange of Thailand, particularly Somkid Jiranantarat, senior vice president of the exchange.
Somkid said starting on the night of Dec 31, some units of the stock exchange will be busy testing and monitoring all the systems at the office.
"The best preparation for the Y2K problem is to test, test and test all the related systems in your organization. The Stock Exchange of Thailand confirms that everything is ready because preparation work for Y2K has been going on for two years," he said.
Somkid said even the electricity system will be tested on the night of Dec 31. Moreover, the Stock Exchange of Thailand will be monitoring the situation in foreign markets such as New Zealand, Australia and Japan.
The Stock Exchange of Thailand will ask all related parties to join the testing of the stock trading system on Jan 1. The emergency operations team, headed by Somkid, will meet at 6.30 am on Jan 1.
At 8 pm the same day, the special Y2K committee, chaired by Vicharat Vichit-vadakan, president of the Stock Exchange of Thailand, will meet to assess possible problems, and choose appropriate contingency plans if necessary. If there are problems, representatives of the brokerage houses will be called at 9 pm to be told which contingency plans should be followed.
If any contingency plans are selected, the plans will be practised on Jan 2 and Jan 3, Somkid said.
The Thai Bankers' Association, the Association of Securities Companies, and the Association of Investment Management Companies also confirm they are all ready for the Y2K problem.
-- y2k dave (firstname.lastname@example.org), November 13, 1999
All countries have to say they are ready. If they said they weren't ready, thier curriences would collapse and capital would be withdrawn from the country. Everyone is playing the same game, and it is amazing how many are falling for it.
-- Danny (email@example.com), November 13, 1999.
Thai is a big fat liar. I know my claim to be truth because its exports of canned baby corn and especially jars of pickled baby corn are in shortage in my SoCA area. When one notices Thai's most famous export is In Crises one is not going to buy any bull of its national compliancy status.
One company I could understand and one might assume it is the company at fault but not ALL the baby corn companies!
-- Paula (firstname.lastname@example.org), November 14, 1999.