Kasikorn Bank predicts 4-6% growth in loans for 2020

Despite the expectation of a sluggish economy in 2020, Kasikorn bank aims to grow its loan volume by 4-6% next year. They it say they will achieve this withs emphasis “on services that meet customers’ business and lifestyle needs, effective cost management and using data in lending to retail customers”.

Banthoon Lamsam, KBank’s board chairman, says the Thai economy in 2020 will face numerous downside risks, including the ongoing US-China trade spat and the strengthening of the Thai baht which will hamper international trade.In 2020, exports are expected to see a contraction of 2% while the Thai economic growth will be mainly driven by domestic factors, such as implementation of infrastructure projects, cuts in interest rates amid growing household debt.

KBank says their strategy in 2020 will follow the goal “To Empower Every Customer’s Life and Business”, towards becoming a customer-centric financial institution which creates financial innovation, equipped with proactive operation to deliver services up to international standard and sustainable value to all stakeholders.

KBank has set an overall loan growth target of 4-6% for next year, comprising corporate loans (2-4%), SME loans(1-3%) and retail loans (9-11%). Growth in net interest margin is set 3.1-3.3% and non-interest income at minus 5-17%.

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