Krungsri (Bank of Ayudhya PCL) moves to issue an urgent relief measure to help its SME business loan customers who have to close their businesses as affected by COVID-19, in response to the government's measures. They could suspend their repayments for both the principals and the interests for 2 months commencing from July 2021 onwards.
Ms. Duangkamol Limpuangthip, Krungsri Head of SME Banking Group, said "Krungsri has been continuously monitoring the COVID-19 pandemic situation and its impacts on Krungsri's customers. The severity of the current situation has increased in several areas, especially those in the high-risk provinces. Krungsri has discussed with the Thai Bankers Association and the Bank of Thailand to seek an urgent relief approach that is on-point and fast. Krungsri has, therefore, issued a new relief measure to help SME customers of all sizes by allowing a suspension of debt repayment for both the principals and the interests for 2 months commencing from July 2021 onwards. The measure is applicable with the directly affected SMEs that have to close their businesses in the controlled areas in 10 provinces being Bangkok, Nakhon Pathom, Nonthaburi, Pathum Thani, Samut Prakan, Samut Sakhon, Songkhla, Pattani, Yala, Narathiwat as well as the SMEs outside the controlled areas that have to close their businesses due to the Government's measures. However, Krungsri is ready to assist the SMEs that suffer indirect impacts causing a sales to decline although their businesses are still operating, by using other appropriate available measures taking into account the relevant type of business e.g. rehabilitation loan, Asset Warehousing Program, suspension of principal repayment, suspension of installment repayment, reduction of installment repayment amount, reduction of interest rate, and adjustment of credit type."
Each SME suffering direct impacts will be provided a 2-month suspension of debt repayment commencing from July 2021 onwards. The collection will be as per Krungsri's policy, and the interest rate during the suspension period allowed by Krungsri will be the normal interest rate, not the default interest rate. Moreover, this suspension of debt repayment will not constitute an event of default pursuant to the repayment terms under the relevant agreement and will not be deemed a debt restructuring.
Ms. Duangkamol further said "This year would still be another challenging year due to possible uncertain situations. Krungsri would still be here beside you as a partner that is ready to provide constant aids to Krungsri's affected customers through various proactive measures in order to help the customers to get through this difficult time."
Those wishing to apply for the assistance must be Krungsri's SME business loan customers that suffer direct impacts from the COVID-19 situation, who have to close their businesses in the controlled areas in 10 provinces, and those outside of the controlled areas who have to close their businesses due to the Government's measures, such as massage places/ spas, beauty salons, retail shops in department stores, etc. Also, the relevant debt must not be an NPL as of the date they apply to join the program. Those wishing to participate in the program can make a request to Krungsri through various channels from 19 July - 15 August 2021, by calling 022966262, 026262626, or through Krungsri Relationship Managers (RM) or www.krungsri.com.