SCB boosts SME loans
Siam Commercial Bank is boosting SME loans in the last quarter with a new campaign, promising clients to borrow five times of the appraised value of their collateralised assets or Bt10 million maximum.
The borrowers, with annual sale of Bt10-Bt75 million, are offered the maximum repayment period of 7 years.
The bank is confident that the new campaign should boost new SME loans by Bt3 billion in the quarter. According to Sirichai Sombutsiri, a senior executive vice president, new SME loans would hit Bt50 billion at the end of this year to bring the outstanding loans to Bt210 billion. The loan growth represents a 30 per cent annualised growth.
In the first nine months, the bank's SME loans expanded 27 per cent, against the 10 per cent average growth in the industry, he said.
Eligible assets are vacant land plots, condominiums, and resort homes. The list of eligible assets is extended as most SMEs drew full loans from their core assets and it is costly to borrow clean loans (or loans without collateral).
