Bangkok--29 Oct--EXIM Thailand
EXIM Thailand announces operating results during January-September 2010 with a net profit of 302 million baht, compared with the 2010 year-end target of 230 million baht.
According to Mr. Kanit Sukonthaman, President of Export-Import Bank of Thailand (EXIM Thailand), during January-September 2010 EXIM Thailand approved new loans and export credit insurance policies to support Thai exporters and business enterprises in the total amount of 14,795 million baht. As of end-September 2010, the loan amount outstanding accounted for 50,956 million baht while export credit insurance outstanding stood at 32,390 million baht.
The steady appreciation of the Thai baht since August 2010 has adversely affected the Thai export sector since export profits naturally decrease after converting US dollar earnings into baht. To alleviate the impact of the rising baht on Thai exporters, especially SMEs, EXIM Thailand offers the following services; 1) Pre-shipment Financing (PSF) Facility in US dollar, which exporters can use as working capital for export goods preparation by converting the US dollar-denominated loan into Thai baht upon drawdown and repaying in US dollar on the loan due date and 2) Baht-denominated PSF Facility coupled with Forward Contract Service, which exporters could use to hedge currency risk enabling them to calculate their cost and profit accurately on the contract entering date.
To take advantage of the rising baht, EXIM Thailand also encourages Thai entrepreneurs to invest overseas and benefit from the readily available production materials and labor as well as export privileges offered by developed countries, especially in the “ASEAN+6” community, comprising of the ASEAN countries, China, Japan, South Korea, Australia, New Zealand and India. In addition, EXIM Thailand is ready to join force with government and private sectors including the Board of Investment of Thailand (BOI) and Ministry of Commerce in promoting Thai investments abroad. The Modernization Program was also introduced in order to fully support the import of machinery and manufacturing equipment to upgrade Thai exporters’ production capability and also cut down their production costs in the long term.
Furthermore, EXIM Thailand is prepared to help exporters mitigate international trade risks by providing export credit insurance service (EXIMSurance) through cooperation with other financial institutions. In September 2010, EXIM Thailand in collaboration with 9 banks including TMB Bank Public Company Limited, Islamic Bank of Thailand, Government Savings Bank, Bank of Ayudhaya Public Company Limited, Kasikornbank Public Company Limited, Krung Thai Bank Public Company Limited, Siam Commercial Bank Public Company Limited, Bangkok Bank Public Company Limited and Siam City Bank Public Company Limited arranged the “EXIMSurance Alliance Fair.” This event featured booth displays by participating banks to furnish Thai exporters with counseling service as well as EXIMSurance and other international trade finance services that help Thai exporters penetrate or expand their market in the global arena with confidence.
Public Relations Division
Office of Top Management
For further information, please contact Public Relations Division, Office of Top Management
Tel. 0 2271 3700, 0 2278 0047, 0 2617 2111 ext. 1140-7