House, Government spokesperson praises “Young Man from Chanthaburi” asks the Bank of Thailand about the Thai Bank’s record profit of 200 billion baht from rising interest rates. Touching the heart of the bank Reduce the interest difference
Mr. Chai Watcharong, spokesman for the Prime Minister’s Office, revealed that in the case of an article by a young man from Chanthaburi (Mr. Sakon Adulyanon), a novelist, who posted the article on Facebook. A young man from Chanthaburi on January 6, 2024, from the headline of the Prachachat Turakij newspaper, the message read: “The bank has the highest profit of 220 billion, benefiting from rising interest rates – BBL champion” and stated that “Today, I’m stunned. I didn’t know that the “Bank of Thailand” would feel annoyed. Do you have anything on your mind?’ A young man from Chanthaburi presented an article to the aforementioned headline. From the case of the Thai bank making record profits from rising interest rates. and the current Thai economic situation
If the econ
omy is good People have purchasing power Merchants can sell things. Every business has increased profits. The banking business is like the “heart”, pumping blood or money to nourish the body or the business sector will make a profit in this situation, it is normal. But right now the economy is very bad. The Bank of Thailand recently cut GDP for 2023 from 3.6 percent to 2.4 percent. Merchants complained that sales were not good. SME businesses: In the past 11 months of 2023, 17,858 businesses closed, an increase of 11 percent from 2022. 27,000 cars were confiscated per month because people couldn’t pay their installments. Approximately 50 percent of people who apply for a home loan are rejected by the bank. But if it is a house or condominium priced at 1-3 million baht, the loan failure rate is as high as 70 percent because the interest rate is higher and the monthly installment rate is higher. While the salary is the same Banks won’t lend money because they’re afraid of bad debt. The economy alone is not good
. But the bank’s profit has increased, so it is considered abnormal. like a weak body But the heart is strong
Mr. Chai added that Where does the bank’s soaring profits come from? It comes from “the increase in the net interest income difference” or NIM, meaning that when interest rates are in an upward trend, the bank increases the “difference” between the interest on deposits and the bank’s loans. Thai increased from before Paying low interest to depositors but lending expensively makes an easy profit. The bank that makes the most profit from this “difference” is Bangkok Bank. Don’t be surprised because Bangkok Bank’s 1-year fixed deposit interest rate is the lowest compared to all major banks. Now it’s 1.6 percent, while other banks have moved up to 2-2.2 percent. People accuse the bank of being a “liar” so it’s not an accusation. The agency that regulates commercial banks is the Bank of Thailand. Like a doctor who takes care of the “heart” if the function of the “heart” is abnormal like this. Won’t you th
ink about doing anything? Or is this normal? Because the economy is recovering
‘The post of a young man from Chanthaburi on Facebook has many people commenting. and shared the post more than 700 times. I agree with and really like the writings of the young man from Chanthaburi on Facebook. Because it is accurate and very much in line with the reality of the Thai economy at this time,’ said a government spokesperson.
Source: Thai News Agency