Siam Commercial Bank Reduces Loan Interest Rates Following Central Bank's Policy Adjustment
SCB lowers lending rates in response to Bank of Thailand's recent policy rate cut to support economic growth
Siam Commercial Bank (SCB) has announced a reduction in its loan interest rates, effective March 3, 2025. This decision follows the Bank of Thailand's Monetary Policy Committee (MPC) vote on February 26 to lower the policy interest rate by 25 basis points, bringing it down to 2.00% per annum.
The MPC's move aims to address clearer downside risks to the economy amid global trade uncertainties and a revised economic outlook projecting slower growth.
In alignment with this policy adjustment, SCB has reduced its Minimum Overdraft Rate (MOR) for prime corporate customers from 7.325% to 7.075% per annum, its Minimum Retail Rate (MRR) for prime retail customers from 7.175% to 7.075% per annum, and its Minimum Loan Rate (MLR) for prime corporate customers with term loans from 6.925% to 6.825% per annum.
SCB's Director and Chief Executive Officer, Kris Chantanotoke, stated that the Thai economy is expected to experience moderate growth this year, facing challenges from external pressures and domestic vulnerabilities.
He noted that the MPC's interest rate cut would help reduce financial costs, stimulate spending and investment, and boost liquidity, thereby supporting long-term economic recovery.
This initiative is designed to alleviate current financial strains and improve access to funding for businesses and individuals, particularly small and medium-sized enterprises (SMEs) facing competitive pressures and liquidity constraints, as well as retail customers struggling with income recovery and high debt burdens.
The Bank of Thailand's decision to lower the policy rate reflects a response to weaker growth projections and aims to mitigate future uncertainties.
The central bank's next monetary policy review is scheduled for April 30, 2025.
The MPC's move aims to address clearer downside risks to the economy amid global trade uncertainties and a revised economic outlook projecting slower growth.
In alignment with this policy adjustment, SCB has reduced its Minimum Overdraft Rate (MOR) for prime corporate customers from 7.325% to 7.075% per annum, its Minimum Retail Rate (MRR) for prime retail customers from 7.175% to 7.075% per annum, and its Minimum Loan Rate (MLR) for prime corporate customers with term loans from 6.925% to 6.825% per annum.
SCB's Director and Chief Executive Officer, Kris Chantanotoke, stated that the Thai economy is expected to experience moderate growth this year, facing challenges from external pressures and domestic vulnerabilities.
He noted that the MPC's interest rate cut would help reduce financial costs, stimulate spending and investment, and boost liquidity, thereby supporting long-term economic recovery.
This initiative is designed to alleviate current financial strains and improve access to funding for businesses and individuals, particularly small and medium-sized enterprises (SMEs) facing competitive pressures and liquidity constraints, as well as retail customers struggling with income recovery and high debt burdens.
The Bank of Thailand's decision to lower the policy rate reflects a response to weaker growth projections and aims to mitigate future uncertainties.
The central bank's next monetary policy review is scheduled for April 30, 2025.
