KBank to provide 15,000 million Baht in loans to aid pandemic-stricken business customers

KASIKORNBANK (KBank) has pressed ahead to help business customers reeling from the latest wave of COVID-19 across the country. The assistance measure - which involves loans amounting to more than 15 billion Baht - will be offered to more than 10,000 cash-strapped clients of KBank to help shore up their liquidity and thus ensure that they can stay afloat until the situation improves.

Ms. Kattiya Indaravijaya, KBank Chief Executive Officer, noted that the COVID-19 pandemic has crippled all businesses nationwide, with the tourism industry and micro businesses being the main casualties. Most business clients, faced with sharply reduced income, are struggling to keep their businesses going, ensure sufficient liquidity and hold on to their employees in order to pass through this crisis together. Against this backdrop, the government and the private sector have teamed up to aid crisis-hit businesses that have yet to return to normalcy. In the one year-plus that Thailand has faced the COVID-19 crisis, KBank has steadily introduced varying forms of measures to assist business customers. KBank has thus far offered a total of 93,500 million baht in financial assistance to a total of 32,600 customers.

In collaboration with the Bank of Thailand, KBank has also pressed forward with assistance measures for business customers that have been directly or indirectly affected by the third wave of COVID-19, with the aim of enhancing their liquidity and rehabilitating their businesses through the two measures, as follows:

Soft loan facility: Soft loans are suitable for customers who are still operating their businesses, but with declining income and liquidity. Existing business customers can borrow soft loans at a maximum of 30 percent of their loan limit with KBank. New customers can borrow soft loans at a maximum of 20 million Baht for the maximum period of seven years, and their principal payments will be suspended. However, they will be required to make only interest payments for 24 months at the rate of 2 percent for the first two years. On average, interest rates will not exceed 5 percent during the first five years. Interest payment will also be waived during the first six months, and no front-end fees will be charged.

Asset warehousing: This assistance measure involves the transfer of collateral for settling business debt. Customers have the right to rent assets for their business operations, and repurchase assets for debt relief, liquidity enhancement and job retention. Businesses eligible for the measure are those related to the tourism industry, for instance hotels, logistics firms, and restaurants that are typically popular among tourists.

KBank has prepared loans of more than 15,000 million Baht to enhance liquidity among cash-strapped clients. The assistance measures are expected to help the financial situation of more than 10,000 business customers. KBank shall focus on aiding operators who have been directly affected by the latest COVID-19 outbreak, including micro businesses and those in the tourism industry.

KBank aims to support its customers and ensure that their businesses can successfully navigate the present crisis, and to fight alongside them in any other potential crises. For business customers wishing to join this program, please contact your Relationship Manager or call the K-BIZ Contact Center at 02-888-8822, or ask for more details via LINE KBank Live.