Despite the expectation, the bank aims to grow its loan volume by 4-6 per cent in 2020, placing its emphasis on services that meet customers' business and lifestyle needs, effective cost management and using data in lending to retail customers.
KBank's board chairman Banthoon Lamsam said the Thai economy in 2020 will face numerous downside risks, in particular the protracted US-China trade rift and the strengthening baht which will hamper international trade.
In 2020, exports are expected to see a contraction of 2 per cent while the Thai economic growth will be mainly driven by domestic factors, such as implementation of infrastructure projects and cut in interest rates amid hefty household debt.
The bank's strategy next year will follow the goal "To Empower Every Customer's Life and Business", towards becoming a customer-centric financial institution which creates financial innovation, equipped with proactive operation to deliver services up to international standard and sustainable value to all stakeholders.
Regarding its 2020 financial targets, KBank has set an overall loan growth target of 4-6 per cent, comprising corporate loans (2-4 per cent), SME loans(1-3 per cent)and retail loans (9-11 per cent).
Growth in net interest margin is set 3.1-3.3 per cent and non-interest income at minus 5 to minus 17 per cent.
Published : October 24, 2019
By : THE NATION