BANKING
The banking system continued its robust performance in the third quarter in line with steadily lucrative loan growth, says the Bank of Thailand.
Anupap Kuvinichkul, a senior official, said bank lending grew by 14% year-on-year in the third quarter thanks to healthy consumer purchasing power and the 300 billion baht in soft loans for flood rehabilitation.
The corporate loans, accounting for 70% of total lending, grew by 13% year-on-year during the period. Loans to small and medium-sized enterprises expanded by 14% year-on-year during the quarter.
Both these sectors declined from the second quarter.
The banking sector recorded 135 billion baht in net profit over the first nine months of this year, jumping 19% from the same period last year.
Operating profits stand at 4.2 billion baht for the third quarter, steady from the second quarter and a decrease of 8% year-on-year, due to an increase in loan provisioning and taxes.
The banking system's net interest margin dipped slightly to 2.54%, while returns on assets stood at 1.31% for the first nine months.
Deposits accelerated as banks offered special promotions to prepare for future lending and payment of the redemption of debt papers, resulting in higher cash flows.
Prasarn Trairatvorakul, governor of the Bank of Thailand, said healthy consumer and corporate lending mirrored economic growth and fiscal stimulus such as tax waivers for first-time car buyers and homebuyers.
"Bank lending will still remain strong even if these factors are excluded. The central bank sees no need to implement measures to slow down any bank lending segments," he said.
Bangkok Post online classifieds
Try buying selling goods and properties 24/7 in our classifieds which has high purchasing power local expatriate audience from within Thailand and around the world.
About the author
Writer: Parista YuthamanopPosition: Writer
Source: http://www.news.thethailandlinks.com/2012/11/18/imagine-that-banks-record-another-lucrative-quarter/
0 comments:
Post a Comment