Bangkok--Feb 8--EXIM
Mr. Sataporn Jinachitra, President of Export-Import Bank of Thailand (EXIM Thailand), announces the Bank’s operating results in the fourth quarter of 2005 which registered a net profit of 201 million baht, up from 150 million baht in the same period in 2004. Provisions for bad debts and loss from debt restructuring in this quarter accounted for 248 million baht, falling from 339 million baht in the correspondent period of 2004. Therefore, the Bank posted a net profit of 457 million baht in 2005 (unaudited), declining from 477 million baht a year earlier. The reduction in net profit was ascribed principally to higher non-interest expenses in respect of the expansion of export promotion activities and the Bank’s opening of two new branches. Another factor was a slight year-on-year increase in provisions for bad debts and loss from debt restructuring to 1,075 million baht in 2005. The loans and accrued interest receivables as of year-end 2005 grew by 22.0% from a year earlier to 60,327 million baht, which was mainly contributed by its growth of 4.7% in the fourth quarter of 2005. Meanwhile, the Bank’s non-performing loans at the end of 2005 stood at 6,420 million baht or 10.6% of total loans and accrued interest receivables, rising by 9.9% from year-end 2004.
The year 2005 has been a year of development and capacity building for business personnel in the international trade and investment of Thailand. EXIM Thailand focused on developing new exporters and enabling small and medium-sized enterprise (SME) exporters as well as Thai entrepreneurs in general to take full advantage of international business channels and opportunities. Throughout the year, the Bank organized training courses and seminars on international trade and investment attended by over 5,800 participants. The Bank also signed Memoranda of Understanding (MOU) with six academic institutions to foster the development of Thai professionals for export and international investment in the long term.
With its satisfactory operating results and continued efforts in streamlining business operations and good corporate governance practices, EXIM Thailand was assigned a national rating of “AA+ (tha).” The Bank was also awarded the top brand of Thailand’s state-owned financial institutions in 2005 by Superbrands Thailand.
EXIM Thailand President added that in 2006 EXIM Thailand would continue to promote and support Thai export as well as domestic and overseas investment. The Bank’s important mandates for the year include the introduction of baht-denominated Asian Bond, support for contract farming projects and relocation of some manufacturing bases to neighboring countries, promotion of trading company establishment, incubation and development of SME exporters, and facilitation of export expansion to emerging markets and FTA countries. The Bank would also focus on its differentiated roles in furnishing financial services that can add values to Thai exporters and investors, enabling them to bolster their business transactions abroad.
EXIM Thailand aims to work closely with Thai exporters and investors towards the goal of being internationally competitive with strong market positioning which, ultimately, would make Thailand a prominent economic center of the region.
About Export-Import Bank of Thailand
Export-Import Bank of Thailand is a specialized financial institution wholly owned by the Royal Thai Government under the Ministry of Finance’s supervision. The Bank was established by the Export-Import Bank of Thailand Act B.E. 2536 (1993) which empowered the Bank to engage in any financial activities customary to commercial bank practices, except for accepting deposit from the general public. The Bank’s objective is to provide financial services to strengthen the competitive edge of Thai exporters and investors abroad while contributing to the earning or saving of foreign exchange.
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