Bangkok Bank (China) Shifts its Focus on Existing Customers to Limit Risks
Published By : 13 Jul 2015 | Published By : QYRESEARCH
The demand for loans at Bangkok bank (China) has started to improve with the aid of the local and the foreign customers of the bank, who are investing in China. However, the low demand in the first half of the year is hard to cover up, stated, Mr. Suwatchai Songwanich, chief executive, Bangkok bank (China).
The bank has set a target of double-digit growth in the loan segment this year. In the first quarter of 2015, closing on 31st March, 2015, it stood at a growth of 2-3% only in the loan segment, however, it managed to tone down its NPLs and reach a rate of 1.2%.
The slowdown in China has alerted the bank and hence, it has shifted its focus towards its existing customers to limit risk factors. Apart from this, instability in the prices of raw materials and final products prices is also causing concerns for a few investors, but mostly it remains healthy with strong debt repayment capability, he added.
Mr. Suwatchai also told that the bank has offered assistance for struggling investor in order to uphold its asset quality.
The slowdown in China and the decline in the Chinese stock markets have raised the chances of the GDP of nation missing out on meeting the target of 7% set by the government for this year. China has reported the slowest growth rate of just 7% in six years for the Q1 of the year 2015. From 2005 to 2014, the average yearly growth rate of China was 9.99%.
The second-largest bank of Thailand (in terms of assets), BBL, has done the highest business in the international arena among all the banks in Thailand.