EXIM Thailand special credit line for EEC investors
Export-Import Bank of Thailand (EXIM Thailand) president Pisit Serewiwattana has introduced “EXIM Special Zone Credit” to promote investment in infrastructure projects and the development of advanced production technology.
The aim is to upgrade Thai goods and enhance Thai brands in overseas markets.
Target customers are entrepreneurs seeking to invest in the Eastern Economic Corridor (EEC), covering Chachoengsao, Chonburi and Rayong, and those planning startups, business expansion or business transformation in Special Economic Zones (SEZ), border provinces, industrial estates, industrial parks and industrial zones.
“The EEC currently has 29 industrial estates with total investment value of more than US$505 billion and a production base of more than 3,700 factories and centres dealing in automobiles and parts and petrochemicals, where entrepreneurs are eligible for benefits such as tax benefits and other investment incentives and facilities,” Pisit said.
EXIM Special Zone Credit offers long-term loans for business investment or expansion at 1.75 per cent per annum (equal to 4.5 per cent per annum) in years 1-3.
It’s combined with revolving credit for liquidity enhancement with a maximum credit line of 1.5 times the long-term credit amount.
The interest rate does not exceed the prime rate of 1.50 per cent per annum (equal to 4.75 per cent per annum) with a minimum rate of 4 per cent per annum.
The maximum loan tenure is 15 years, including a grace period of up to two years.
Entrepreneurs with investments in the EEC will be eligible for a further interest rate reduction of 0.25 per cent per annum.
Pisit said EXIM Thailand was meanwhile collaborating with the Ministry of Industry, Small and Medium Enterprise Development Bank of Thailand (SME Development Bank), Office of Small and Medium Enterprise Promotion and Government Savings Bank in offering “Soft Loan for Machinery Modification Phase 2”.
It’s part of the Transformation Loan project to strengthen businesses in accord with a Cabinet resolution.
Soft loans are offered to finance SME business expansion or modification and cover their long-term working-capital requirements.
Target SMEs are those in the 10 S-curve and related industries.
The maximum credit line per customer is Bt15 million and the interest rate chargeable is 4 per cent per annum for a maximum loan tenure of seven years, including a grace period of up to one year.
