UOB Thailand has reaffirmed its commitment to the Thai market as it celebrates 25 years of operations in the country.

In a recent interview, President and CEO Richard Maloney outlined the bank's vision for supporting businesses in their regional expansion across Southeast Asia while addressing the financial needs of Thai individuals amid rising household debt challenges.

Maloney indicated that Thailand remains an attractive destination for foreign direct investment (FDI), positioning it as a focal point for UOB's financial services.

He emphasized the importance of monitoring international economic trends, citing the potential economic implications of U.S. policies under President Donald Trump, particularly concerning trade tariffs and their regional impact.

Looking ahead, UOB is anticipating a slowdown in the U.S. economy, predicting a “soft landing” with GDP growth stabilizing at 3.2% in 2024 and 2025.

In light of these forecasts, the U.S. Federal Reserve is expected to adjust its approach to interest rates, now projected to implement only three additional cuts of 25 basis points rather than four.

Despite potential slowdowns in advanced economies, Maloney highlighted ASEAN as a region with significant growth prospects.

UOB forecasts a GDP growth rate of 4.8% for the ASEAN-6 economies spanning 2024 and 2025.

Within the region, Vietnam is expected to experience the highest growth, projecting rates of 6.4% and 6.6%.

The Philippines, Indonesia, Malaysia, Singapore, and Thailand will also see growth, with Thailand's GDP growth expected at 2.7% in 2024 and 2.9% in 2025.

UOB Thailand aims to leverage these economic opportunities to assist business clients, ranging from multinational corporations to small and medium-sized enterprises (SMEs).

Maloney emphasized the bank's strategic goal of connecting clients with market opportunities, not only domestically but also within UOB's broader regional network.

Economic policies, such as the Thai government’s Ignite Thailand initiative, are viewed positively by Maloney, who believes they will continue to attract FDI and promote economic expansion.

He noted the importance of government engagement with international stakeholders who can enhance understanding of Thailand’s economic landscape.

UOB Thailand's FDI advisory unit has played a pivotal role since its establishment in 2013, aiding 440 companies in investing in Thailand, which has resulted in the creation of over 29,000 jobs.

The bank has facilitated approximately US$1.7 billion in investments, aligning with its goal to expand regional connections.

For SMEs, UOB Thailand offers various solutions to capitalize on cross-border trade and digital platforms, enabling businesses to streamline operations and enhance financial efficiency.

The upcoming launch of UOB Infinity, a digital banking platform, is set to further support financial management across national borders.

Additionally, the bank’s recent consumer banking acquisition has positioned it as the second-largest foreign-owned bank in Thailand, expanding UOB’s retail customer base significantly.

Addressing household debt in Thailand, UOB has committed to responsible lending practices aligned with the central bank's guidelines.

The bank is prepared to collaborate with government bodies to address debt challenges through a new debt restructuring scheme, which aims to provide relief to vulnerable borrowers.

Financial literacy initiatives have also been a focus, with UOB Thailand nurturing financial education among youth through programs like UOB Money 101: Teen Edition, which has reached thousands of students since its inception in 2021.

With a network of 143 branches nationwide, UOB Thailand ranks seventh in total assets among local banks.

The bank aims to address the diverse needs of its customer segments through a combination of digital and traditional banking solutions, along with ongoing firewalls against cyber risks, as part of its comprehensive approach to maintaining service excellence and customer security.