Government Housing Bank To Secure 30% Of Loans Worth 100 Billion Baht

GOVERNMENT HOUSING BANK WILL FUND 30% OF ITS 100 BILLION BAHT WORTH OF LOANS THIS YEAR BY SECURITIZATION

The Government Housing Bank is seeking funding for its planned release of 100 billion baht of loans this year, and is preparing to acquire 30 billion baht of the money from securitization.

Government Housing Bank Managing Director Khan Prachuabmoh (ขรรค์ ประจวบเหมาะ) said that the bank plans to expand its loans base by 100 billion baht this year. The bank would get a portion of the amount from securitization both in the country and abroad. He said foreign funds are increasingly looking to invest in Asia, and the securitization move would help the bank to reduce costs amidst the rising interest rates.

As for this year's operating results, the bank is expecting net profit to amount to 3.4 to 3.6 billion baht, down from last year's 4.6 billion baht. This would be due to the bank's inability to increase its rates as it had to comply with the government's policy of allowing people to have their own residences, and thus fixed-interest loans had to be provided.

Source: thaisnews.com ประจำวันอังคารที่ 24 มกราคม 2549