Thailand’s national economic planning agency on Tuesday told the media that the COVID-19 crisis has had a massive impact on household debt which may soar beyond 80 percent of gross domestic product (GDP).
Thai household debt stood at 79.8 percent of GDP in the first quarter of this year, it said in a June report issued by the National Economic and Social Development Council (NESDC).
“The pandemic resulted in businesses shutting down in addition to the drought already having hit households hard, leading to increased borrowing of money as incomes declined,” said NESDC secretary-general Thosaporn Sirisumphand.
Thosaporn also said that the economic impact will be severe in the second quarter, as many businesses have laid off workers or cut their employees’ salaries.
The official also said consumer loans expanded 7.5 percent in the fourth quarter of last year.
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As the world waits for mass vaccination to revive economic activity, general malaise has overtaken the financial services industry (FSI). And things will probably worsen before they get better: US banks are expected to suffer US$318 billion in net loan losses by the end of 2022, according to Deloitte.(more…)
Asia Pacific Banks shrug off commercial property risks for now
APAC commercial property prices were down around 3% on average in 2020, after a 1% rise in 2019. But the coronavirus-induced decline has been modest compared to past downturns, suggesting that the impact on banks’ commercial real estate loans will generally be much smaller this time.(more…)
Thai banks net profit stood at 146.2 billion baht in 2020
The Thai banking system remained resilient with high levels of capital fund, loan loss provision and liquidity to support economic recovery from the COVID-19 pandemic. according to latest Bot assessment.
Ms. Suwannee Jatsadasak, Senior Director, Bank of Thailand, reported on the Thai banking system’s performance in 2020 that the Thai banking system remained resilient with high levels of capital fund, loan loss provision and liquidity to support economic recovery from the COVID-19 pandemic.(more…)
Marijuana could generate up to Bt8 billion for Thailand’s pharmaceutical industry
Last year, Thailand removed cannabis and hemp leaves from its list of banned narcotics (seeds and buds remain banned).
COVID-19 situation in Thailand as of 2 March 2021
The post Coronavirus Disease 2019 (COVID-19) situation in Thailand as of 2 March 2021, 11.30 Hrs. appeared first on TAT...
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