Non-performing loans growing as net loan value rises

The net loan value in Thailand’s commercial banking system in September rose slightly from the previous month by Bt1.1 billion to Bt10.726 billion, according to Kasikorn Research.
It said loan growth had decelerated to 2.15 per cent YoY (compared to 2.78 per cent in August).
Although major loans have been paid off to large commercial banks, the SME loans are still slowing down while minor loans show signs of improvement, Kasikorn Research said. 
“Savings are down from the previous month amidst growing non-performing loans (NPLs), creating the tightest liquidity scenario for the banking sector this year,” it said.