KBank unfazed by slow loan growth in Q1
Despite low lending growth in the first quarter, Kasikornbank president and chief executive officer Banthoon Lamsam is confident that loan expansion this year will achieve the target of 8-9 per cent.
KBank posted year-on-year loan growth of 0.8 per cent in the first quarter.
He said that considering deals in the pipeline, the bank had room to grow, adding that lending performance should not be judged only by the first quarter.
Based on anticipated growth in gross domestic product of 5 per cent, KBank believes it can achieve loan growth of 8-9 per cent.
Although Banthoon is optimistic about the country’s economic growth, he said Thailand should beware of unexpected natural disasters and the political situation.
The recent earthquakes in southern Thailand indicate a new risk for doing business, while the political situation has not stabilised as expected, he said.
The private sector should focus on increasing productivity after the increase in the daily minimum wage, Banthoon said.
The wage increase will boost spending and consumption. However, companies should have management strategies to deal with the higher labour cost, he suggested.
