The Export-Import Bank of Thailand (Exim Bank) has raised its export growth forecast for this year, following a 17% surge in shipments during the first quarter.
President Charat Rattanaboonniti said the bank estimated export expansion of 7% this year, higher than its previous forecast of 2%, after first-quarter exports surged by as much as 17%.
The 7% export growth projection remains lower than forecasts by many other institutions, and is a contraction from the 12.7% gain last year, he noted.
The global economy will continue to face volatility and uncertainty the remainder of the year, stemming from geopolitical conflicts, fluctuations in commodity and global financial markets, and environmental changes, said Mr Charat.
Exim Bank set a target for new lending this year of 70 billion baht, with outstanding loans expected to reach 180 billion baht. The bank expects to maintain 6,000 exporting entrepreneurs in its portfolio this year.
In the first quarter, Exim Bank extended nearly 20 billion baht in new loans, while its non-performing loan ratio remained stable at 4%.
The business sector is facing a "triple-high" challenge that is undermining its competitiveness, he noted.
There are high costs, such as raw materials, logistics, labour, finance and risk management, as well as high compliance requirements, which include stricter international standards, environmental, social and governance (ESG) regulations, personal data protection laws, and tighter accounting standards.
In addition, competition intensified from low-cost Chinese products, rapid technological changes, and evolving consumer behaviour, said Mr Charat.
These challenges are forcing businesses to urgently strengthen their competitiveness, adjust their business models, and enhance operational resilience.
He said Exim Bank, a state-owned specialised financial institution, is ready to serve as an "export co-pilot" alongside its customers through its "5T" strategy in line with government policy.
Target means mitigating impacts and reducing risks for customers, particularly small businesses, through targeted support, including business visits to offer tailored financial products, debt restructuring, interest rate reductions, liquidity support, and employment retention measures where appropriate.
Transition refers to supporting the transition to a green economy through sustainable finance products, with a goal for sustainability-related loans and commitments to account for 50% of total outstanding loans.
The bank also plans to expand ESG-related services, such as sustainability reporting for Exim Bank customers seeking to align with global environmental standards.
Transform covers promoting business transformation through technology adoption and risk diversification by expanding into new markets via advisory services, business matching, events, and product packages developed with partners, aiming to increase exports to markets beyond the US, the EU and Japan.
Transparency supports transparent export practices in line with international standards, while serving customers with professionalism, said Mr Charat.
Finally, together refers to integrating collaboration within the Exim One Team and with public and private sector partners to build a comprehensive export system that supports the sustainable growth of Thai entrepreneurs.
He said Exim Bank's measures and assistance will help Thai entrepreneurs improve their readiness and adaptability in dealing with challenges.
