Law amended to allow assets management firms to manage non-performing assets
Amendments to the Assets Management Companies Act which will enable AMCs to manage or to accept transfer of non-performing assets from non-bank operators have passed the deliberation of the Council of State and to be submitted to the cabinet for approval soon, according to Lavaron Saengsanit, director of Fiscal Policy Office.
He said he was confident that the amendments bill would sail through the National Legislative Assembly before the term of the current government expires.
He explained that the essence of the bill is to expand the business operation of AMCs to cover the purchase or manage non-performing assets from non-bank operators which include FICO finance and other financial business operators.
However, he said that AMCs that accept transfer of non-performing assets would not be exempted from taxation because the transactions are still covered by the Civil and Commercial Code.