Post by Fletchsmile on Sept 27, 2017 12:04:24 GMT 7
When choosing a local Thai bank and wondering how safe they are, it's worth taking into consideration the financial status, capital position and liquidity positions. Plus of course the deposit protection act.
The top 5 banks listed below are all in decent shape and the rules change below won't really affect them that much, as their reserves are already well above these levels.
I wouldn't particularly recommend Krungthai just because of service levels and the way it is run, being old fashioned and part state owned.
Bank of Ayudhya (BAY), although smaller than the other 4 also has the advantage of the backing of a Japanese parent. It enjoys "local status" though, like StanChart, UOB, CIMB. BAY is on our radar screen for perhaps opening accounts with the demise of Stan Chart
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BoT embraces Basel III rule
Five big banks ordered to beef up reserves
Published: 27/09/2017 at 06:00 AM
Newspaper section: Business
The Bank of Thailand has instructed Thailand's five largest financial institutions to beef up their capital reserves in order to comply with international standards on reserve requirements.
The central bank is set to raise capital requirements for domestic systemically important banks (D-SIBs), which are classified as important banks that are strongly connected with the economy and financial system, said Ruchukorn Siriyodhin, deputy governor overseeing financial institution stability.
"The move is in line with the objective to comply with an international standard, Basel III, and to take better care of the Thai financial system," said Mrs Ruchukorn.
The five banks classified as D-SIBs are Bangkok Bank, Krungthai Bank, Bank of Ayudhya, Kasikornbank (KBank) and Siam Commercial Bank (SCB), she said.
These five banks have total assets worth 12.5 trillion baht or 70.2% of the banking system's assets, according to central bank data.
D-SIBs are required to meet the tougher Basel III standard by increasing the common equity Tier 1 (CET1) ratio requirement and the capital adequacy ratio (CAR) by 0.5% each in 2019 and 2020.
Current capital requirements set by the central bank are 5.75% for CET1 ratio and 9.75% for CAR
www.bangkokpost.com/business/news/1331879/bot-embraces-basel-iii-rule
The top 5 banks listed below are all in decent shape and the rules change below won't really affect them that much, as their reserves are already well above these levels.
I wouldn't particularly recommend Krungthai just because of service levels and the way it is run, being old fashioned and part state owned.
Bank of Ayudhya (BAY), although smaller than the other 4 also has the advantage of the backing of a Japanese parent. It enjoys "local status" though, like StanChart, UOB, CIMB. BAY is on our radar screen for perhaps opening accounts with the demise of Stan Chart
====================================
BoT embraces Basel III rule
Five big banks ordered to beef up reserves
Published: 27/09/2017 at 06:00 AM
Newspaper section: Business
The Bank of Thailand has instructed Thailand's five largest financial institutions to beef up their capital reserves in order to comply with international standards on reserve requirements.
The central bank is set to raise capital requirements for domestic systemically important banks (D-SIBs), which are classified as important banks that are strongly connected with the economy and financial system, said Ruchukorn Siriyodhin, deputy governor overseeing financial institution stability.
"The move is in line with the objective to comply with an international standard, Basel III, and to take better care of the Thai financial system," said Mrs Ruchukorn.
The five banks classified as D-SIBs are Bangkok Bank, Krungthai Bank, Bank of Ayudhya, Kasikornbank (KBank) and Siam Commercial Bank (SCB), she said.
These five banks have total assets worth 12.5 trillion baht or 70.2% of the banking system's assets, according to central bank data.
D-SIBs are required to meet the tougher Basel III standard by increasing the common equity Tier 1 (CET1) ratio requirement and the capital adequacy ratio (CAR) by 0.5% each in 2019 and 2020.
Current capital requirements set by the central bank are 5.75% for CET1 ratio and 9.75% for CAR
www.bangkokpost.com/business/news/1331879/bot-embraces-basel-iii-rule
