Chonburi, CIMB Thai Bank aims for 2024 to push retail loans to grow 5-10%, aiming to expand automotive loans, revealing NPL from automotive loans at 2%, accepting increased NPL risk, but confident. Manageable, setting the NPL framework this year at 3.3 – 3.5%
Mr. Paul Wong Chee Kin, President and Chief Executive Officer of CIMB Thai Bank, spoke about the operational strategy in 2024 that will focus on driving retail loans to grow 5-10%, coming from Expansion of car loans which currently accounts for 30% of retail loans Acknowledging that automotive loans are at risk of becoming non-performing loans (NPL), the Bank has managed risk in three ways: increasing credit limits for existing debtors; Collaborate with car dealers to find new customers. And most recently on February 1st, ‘One Auto Platform’ was launched, an automotive loan service. Covers both cars and motorcycles. By raising the level of competitiveness in the market and increasing business diversity through new services such as registration pawn loa
ns with transfer of title and non-transfer of title. However, the development of automotive loans continues to be carried out in parallel with home loans. which has the same risk management
As for non-performing debt or NPL, the goal is to control it within the range of 3.3 – 3.5% from 2023 at 3.3% and confirm that there is no plan to sell NPL because the bank is still able to manage it itself, which is NPL from loans. Automotive at 2%, while reserves will be close to 2023 at the level of 3,110 million baht after already having set reserves at a high level.
In addition, in 2024, it will also support loans for sustainability. The target budget is 15 billion baht, equal to 2023, and aims to reduce carbon dioxide emissions by 36% compared to 2019. It also focuses on using digital and technology to drive business towards digital banking.
For operating results in the past year 2023, there were incomes of 13,772 million baht, an increase of 1.3%, deposits of 310 billion baht, an increase of 7.1%, loans of 245 bi
llion baht, an increase of 4.1%, a reserve of 3,110 million baht, and a profit. After tax, 1,605 million baht.
Source: Thai News Agency