Exim Bank announces Jan-Sept operating results
THE Export-Import Bank of Thailand exhibited satisfactory performance in the first nine months of this year, with net profit of Bt931 million, and achieved its target of enhancing the trade and investment competitiveness of Thai entrepreneurs, particularly small and medium-sized enterprises, said bank president Pisit Serewiwattana.
As of the end of September, Exim Bank recorded outstanding loans of Bt74.468 billion, up by Bt928 million from the end of 2015, with a new loan drawdown of Bt16.02 billion and partial repayment of existing loans. This contributed to a business turnover of Bt90.717 billion, of which Bt59.707 billion was for SMEs.
Outstanding SME loans amounted to Bt30.867 billion, surging Bt7.604 billion or 32.68 per cent year on year. This was attributable to Exim Bank’s strengthened collaboration with public and private enterprises and the development of new products catering to SMEs, especially small businesses that had limited access to the financial facilities of commercial banks.
Recently, Exim Bank introduced “Exim Instant Credit”, a pre- and post-shipment working-capital loan at an interest rate of 3.5 per cent per annum requiring only a personal guarantee. Offering a credit line of up to Bt500,000, the new facility features quick approval within seven business days and aims to help boost SME exporters’ liquidity as well as drive Thai export growth in the fourth quarter of 2016.
Exim Bank’s non-performing-loan ratio as of the end of September stood at 5.07 per cent or Bt3.774 billion. The bank’s allowance for doubtful accounts was Bt6.424 billion, of which Bt3.111 billion was the minimum provisioning requirement by the Bank of Thailand, representing a ratio of loan-loss provision against the requirement of 206.52 per cent, enabling Exim Bank to maintain a strong financial status.
In addition, with the launch of “Instant SMEs Export Insurance” in mid-2016, the bank recorded an increasing number of export credit insurance customers. It generated Bt41.671 billion from January-September in export and investment business turnover, of which Bt8.135 billion came from SMEs’ exports, representing 19.52 per cent of the bank’s total export credit insurance business. The export credit insurance business turnover is expected to improve gradually and meet the target set for the end of 2016.
From the fourth quarter of 2016 and through 2017, Exim Bank says it aims to accelerate its development of products and services to serve Thai entrepreneurs’ trade and investment in emerging markets known as New Frontiers and CLMV (Cambodia, Laos, Myanmar and Vietnam).
To date, the bank has approved a total accumulated amount of Bt52.328 billion in international trade and investment loans, with outstanding loans accounting for Bt31.641 billion as of September.
Exim Bank plans to open representative offices in Myanmar, Laos, Cambodia and Vietnam over the next couple of years to promote and support Thai trade and investment in CLMV.
