Bangkok (15 February 2017) –
Krungsri (Bank of Ayudhya PCL and its business units), announces its 2017 commercial banking business strategy to become a top-tier bank with a loan growth target of 5% and a deposit growth target of 12.6%. Through Krungsri’s unique position built upon the synergy between Krungsri’s local expertise and MUFG’s global strength, Krungsri aims to provide total financial solutions, explore business opportunities for existing customers, and expand its customer base in new industries linked to the Thailand 4.0 economy.
Mr. Pornsanong Tuchinda, Krungsri Head of Commercial Banking, said, “Commercial banking has become a key driver for Krungsri asset growth since 2015, reflecting the successful integration between Krungsri and BTMU Bangkok branch, part of the MUFG group. By leveraging MUFG’s global capabilities and network, Krungsri has succeeded in expanding its customer base and providing total solution services including lending, investment banking, business matching, and debt and capital market advisory to Thai corporations, international companies, and small and medium sized enterprises (SMEs). With the conscious aim of being a trusted banking partner, we continue to enhance our relationship with existing customers and create business opportunities.”
Thai corporate loans accounted for 45% of portfolio in 2016. Despite challenges in the economic environment and higher competition, loans to Thai corporates grew by 11%, outperforming the market. The large corporate segment accounted for 30% of total portfolio, while the SMEs segment was at 15%. Meanwhile, deposits from commercial banking clients increased by 9.8%.
“Krungsri’s unique position as a member of MUFG, one of the world’s largest financial groups, has brought lots of opportunities to Krungsri’s customers, including global networks and in-depth research. We are committed to provide sound and well-rounded solutions to customers to capture more opportunities. Last year, we provided financial support to large leading corporations in Thailand to expand their businesses overseas. For SMEs, we set a strategy to be a main operating bank with continued emphasis on value chain solution, trade finance, working capital products, and financial management services. In addition, we have been active in arranging business matching activities for our clients both domestic and overseas which have expanded business opportunities for our customers continuously,” Mr. Pornsanong said.