evaluation and without proof of income or guarantee
Uses advanced technology and non-traditional credit scoring methods 23,000 million baht in loans approved
“We are making rapid progress towards our ‘banking challenger’ objectives to extend banking services to groups that had been excluded from banking services and products by traditional methods of bank credit assessment. This will help the unbanked and underbanked to escape the debt traps of high-interest non-formal loans. – Ms. Kattiya Indaravijaya, Managing Director, KASIKORNBANK
KASIKORNBANK (KBank) announced on November 17 that it had provided small loans totaling more than 23,000 million baht to more than 500,000 people who lack proof of income or collateral, many of whom are homeowners. independent small businesses. The loans were approved in the first nine months of this year, ending September 30, 2022.
Ms. Kattiya Indaravijaya, Managing Director of KASIKORNBANK said, “We want to enable millions more people to benefit from banking products and services and we are committed to technology leadership that will also help us better serve this large group of people and underserved businesses. like to better serve our existing customers.
Mr. Krit Jitjang, Chairman of KASIKORNBANK, said that KBank aims to double the number of people empowered by the bank’s technology-driven program to reach one million people in the next 18 months and reach around two million in the next 18 months. next 24 months.
The initiative is part of KBank’s strategic program, announced in July this year, to improve access to banking services among Thailand’s 30 million unbanked and underbanked people, which it called of “challenge bank” objectives. The program aims to take advantage of advanced technologies and new ways of working to help the self-employed, farmers and micro-enterprises with little or no collateral to borrow based on a fairer assessment of their ability and intention to repay.
Mr. Jitjang said that this group has about 63,000 entrepreneurs whose businesses have less than two and a half million baht in revenue per year. They received nearly 5,000 million baht in loans between January and September through the bank’s “Xpress Loan for SME” program.
In addition, another 215,000 people whose income is less than Bht 30,000 per month have received loans of up to Bht 20,000 each under the bank’s “K PAY LATER” program.
“We can see from the K PAY LATER program how this money is being spent, and it shows very clearly that the funds are being used to help people with their basic daily needs as most of the spending is done through our merchants. partners such as Big C, Lotus, CJ Express, PTT, Central and Makro.
“Additionally, we have seen that borrowers are responsible for their loans, so we are able to grow our banking relationship and gradually increase their access to more banking services and products,” he said. declared.
According to Jitjang, the number of transactions via K PAY LATER also increased tenfold in the same period of January-October this year.
KBank is accelerating its investments in technology with approximately Bht 22,000 million budgeted for this year and the next two years.