Connect with us

Banking

Thai banks to raise deposit and lending rates

Commercial banks are quite likely to raise both their deposit and lending rates following the Bank of Thailand (BoT) decision to raise the policy interest rate by 25 basis points on Dec 1, according to the central bank’s Deputy Governor Krirk Vanikkul.

Published

on

Commercial banks are quite likely to raise both their deposit and lending rates following the Bank of Thailand (BoT) decision to raise the policy interest rate by 25 basis points on Dec 1, according to the central bank’s Deputy Governor Krirk Vanikkul.

In order to ensure Thailand’s competitiveness in the near future, Thailand needs to improve its productivity and investment climate.Experience from countries that have managed to increase productivity and rise up the value chain such as South Korea and Taiwan have shown that productivity improvements at the national level are achievable with a concerted efforts by the private sector, government, and academia.

On Dec 2, total trading volumes increased 228.3% to THB 1415bln. Outright transactions accounted for 7.7% of total trading, amounting to THB 109bln, 251.6% higher than the previous day. For the auction, CB10D20A and BOT133A gained 1.695-1.93 and 1.98-2.09% at average of 1.90344 and 2.06408%. The bid coverage ratios were 1.15 and 0.46 times supply. For the secondary bond market, yields on bonds increased significantly, by approximately 2-6 bps due to the increased policy rate. At the end of the day, Government bond yields for all tenors changed by +1 to +10 bps.
FX RateNew York CloseTokyo Open
JPY/USD83.86//8883.74//76
EUR/USD1.3219/221.3209/15
GBP/USD1.5602/071.5589/94
CHF/USD0.9922/300.9927/37
SGD/USD///1.3079/89
HKD/USD///7.7659/69
AUD/USD0.9763/670.9755/76
LIBOR*USD$EURJPYCHF
1 month (%)0.26560.75880.11880.1350
2 months (%)0.28250.85250.14500.1550
3 months (%)0.30340.96880.18250.1683
6 months (%)0.46531.20630.35190.2383
12 months (%)0.79001.48750.58000.5250
Monetary Policy Rate
O/N2.0000 %
World Gorvernment Security
Yield (%)Spread
JGB 10 years1.20
Thai Gov’t 10 years3.61

Government in Thailand should take measures to improve the country’s investment climate such as streamlining the regulatory environment and improving public infrastructure which will help stimulate private investments as they help to reduce operating costs for firms.
Political stability would help to regain investors as well as assure them the clarity and continuity of policy directions.These could help promote investments in Thailand by the private sector amidst the unfavorable external environment.Greater public investments in infrastructure will also boost investor confidence and investments. Public investments would not only inject funds directly into the economy, but better infrastructure services will stimulate further investments and productivity of firms. Firms in the 2007 survey indicated that inadequate infrastructure services have led to increased costs, such as logistics costs, which have discouraged them from investing.

See the rest here:
BoT expects banks to raise deposit and lending rates

Banking

Bank of Thailand adds new measures to support post-COVID-19 recovery

The Bank of Thailand, the Ministry of Finance, and related parties proposed two new measures to support business recovery and transformation post-COVID-19.

Published

on

BANGKOK (NNT) – The Bank of Thailand (BoT) has added measures for retail loan restructuring, as part of its third phase of debt relief for individual borrowers, aiming to ease hardships caused by the COVID-19 pandemic.

Loading...
(more…)

Continue Reading

Banking

Singapore’s PayNow and Thailand’s PromptPay Launch Cross-border Payment System

Published

on

In a global first, Singapore and Thailand have linked their real-time payment systems, PayNow and PromptPay allowing international fund transfers between the two countries within minutes.

Loading...
(more…)

Continue Reading

Asean

12 Things to Know about the ASEAN Catalytic Green Finance Facility (ACGF)

The ACGF is an ASEAN Infrastructure Fund initiative managed by ADB’s Southeast Asia Department Innovation Hub. It helps Southeast Asian governments prepare and finance infrastructure projects promoting environmental sustainability and contributing to climate change goals.

Published

on

Southeast Asia faces an infrastructure investment shortfall of more than $100 billion a year, which may have worsened amid the COVID-19 pandemic.

Loading...
(more…)

Continue Reading

Most Viewed

Subscribe via Email

Enter your email address to subscribe and receive notifications of new posts by email.

Join 14,080 other subscribers

Latest

Trending