Thai Banks Record Profit Rise Amid Economic Uncertainty in 2024

[snoop1130]

 

The Thai banking sector has witnessed a modest rise in profits for the first nine months of 2024, led by increased interest and fee incomes. A collection of 10 banks listed on the Stock Exchange of Thailand reported a combined net profit of 159 billion baht, marking a 3.49% year-on-year increase.

 

Kasikornbank emerged as a frontrunner with a net profit boost of 15.4%, reaching 38.1 billion baht. TMBThanachart Bank outpaced others in profit growth, surging by 17% to 15.9 billion baht. However, six banks, including Kiatnakin Phatra Financial Group, suffered profit declines, with KKP tumbling by 25%.

 

Despite these gains, uncertainty looms over Thailand's economic landscape. Floods, baht fluctuations, and a global economic slowdown threaten stability. Kasikornbank's CEO, Kattiya Indaravijaya, advocated for supportive measures such as lowering loan interest rates to help flood-affected customers.

 

Elsewhere, SCB X, the parent company of Siam Commercial Bank, reported a slight profit decline due to a one-off subsidiary sale loss and reduced incomes. Meanwhile, Bank of Ayudhya experienced a 7% profit drop, impacted by higher credit loss provisions and reduced loans, indicating caution in an uncertain economic climate.

 

With potential growth on the horizon, banks remain vigilant, bracing for continuing challenges affecting Thailand's financial sector.

 

File photo for reference only

 

-- 2024-10-22

 

 

 

[John Drake]

The article belies the euphoria of the headline.