This is an identity theft whereby Internet hackers trick some naïve customers into revealing their sensitive information such as User ID and password through fake email addresses, through social engineering, or spy ware. The Bank of Thailand has recently issued notifications to address these issues and encourage financial institutions to raise customer awareness of such frauds through education. As stated earlier, financial institutions now take advantage of IT to innovate financial products and services. Such innovation brings to a financial institution new dimensions to traditional risks, which include strategic risk, credit risk, market risk, liquidity risk and operational risk. Therefore, the lack of efficient and appropriate controls may amplify the likelihood of each risk and its impact. Internet banking, e-money and IT outsourcing are good examples that highlight the importance of IT supervision. At this point, may I draw your attention to the next topic which is IT risk-based supervision. 3. IT risk-based supervision  BOT has adopted risk based supervision for the past several years. Supervision objectives: The primary objective of BOT supervision is to encourage FIs in Thailand to conduct banking business in a safe and sound manner and consistent with related laws, rules and regulations. It is also our duties to ensure that supervisory framework is keeping up with demand from the financial community as well as with market innovation, international best/ sound practice; finally, to protect customer rights as well. IT risk-based supervision helps ensure the safety and soundness as well as legal compliance of a FI.
No doubt at some point such perceptions will change - or the anticipated differences in future earnings growth be discounted by the change in asset prices, including the effect of exchange rates. There are some tentative signs that this may be beginning to happen. But in the meantime it is not at all clear that there is much that we could do - even if we wanted to - to weaken sterling against the euro by marginal changes in short-term interest rates. As it is our interest rate differential over the euro zone has halved since the euro started, while our exchange rate against the euro has appreciated by around 15%. We do already, of course, take full account of the exchange rate - and other prices - in both our forecasts and our policy decisions. Indeed, it was partly to avoid pushing sterling higher and so aggravating the imbalance within the economy, when we were not wholly convinced that we needed to take that risk in order to achieve the inflation target, that the Committee refrained from further monetary tightening over the past eight months. But looking ahead the risks and uncertainties are such that it would be unrealistic to suppose that we can altogether exclude the need for further tightening at some point.