On 10 April 2021, the Emergency Decree Amending the Civil and Commercial Code B.E. 2564 (2021) ("Emergency Decree") was published in the Royal Gazette. The Emergency Decree came into force on 11 April 2021. The Emergency Decree reduces the statutory interest rate from 7.5% to 3% per year. With regard to default interest, it is reduced from 7.5% to 5% per year, unless otherwise agreed in accordance with the law. The Emergency Decree also provides that the default interest rate in the case of installment payments may accrue only on the principal amount of the instalment which becomes overdue. The changes set out in the Emergency Decree only apply to the interest which is due from 11 April 2021 onwards.
