Thai banks’ bad loans slow to 2.73% of lending at December-end

Thai banks’ non-performing loans stood at 2.73% of total lending at the end of December 2022, down from 2.77% at the end of September, helped by debt restructuring, the central bank said on Monday.

The banking system remained strong with high levels of capital, loan-loss provisions and liquidity and was able to support the economic recovery and future lending, the Bank of Thailand said in a statement.

Bad loans are likely to increase but not sharply, while existing debt measures are sufficient to support vulnerable groups, assistant central bank governor Suwannee Jatsadasak told a news conference.

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