Bangkok: EXIM BANK expresses concerns over the global economic slowdown, which is expected to decrease export growth by 2 percent in 2026. The bank advises exporters to hedge against the strengthening baht and aims to disburse 60 billion baht in new loans. It is revamping its export support system to improve liquidity and risk management, aiding Thai exporters in entering new global markets and adopting the green economy.
According to Thai News Agency, Mr. Chalach Rattanaboonnitthi, Managing Director of the Export-Import Bank of Thailand (EXIM BANK), highlighted the ongoing fragility and volatility in the global economy due to various risks, including trade wars and prolonged geopolitical tensions. These factors are impacting global supply chains, trade, and investment. Major economies are projected to slow down, and the volatility of Thai baht exchange rates due to external factors poses risks to exporters' income and costs. Mr. Chalach recommends that exporters mitigate these risks by purchasing forward contracts from EXIM BANK and other commercial banks.
The report outlines that key trading partners like the United States and China are facing challenges. The US GDP growth in 2026 is projected at 2.4% amid import tariffs, while China's GDP growth is expected at 4.5%, the lowest in nearly three decades. In addition, China is grappling with deflation and real estate issues, leading to an influx of cheap Chinese goods into Thailand. The global trade slowdown is expected to result in a 2% growth in exports in 2026. Loan contractions have persisted, with total loans decreasing by 1.0% in the third quarter of 2025, marking five consecutive quarters of decline. SME loans have contracted for 14 consecutive quarters. In response, EXIM BANK targets 60 billion baht in new loan disbursements for 2026 and aims to maintain a net profit of at least 1,904 million baht. Rapid changes in global trade rules, particularly regarding non-tariff trade barriers, environmental standards, and sustainability requirements, are essential for accessing global markets. Climate change and na tural disasters, such as the major floods in southern Thailand in 2025, add to the uncertainty faced by Thai entrepreneurs.
EXIM BANK approved new loans totaling 54,346 million baht for the fiscal year 2025 to enhance liquidity and business continuity for Thai entrepreneurs amid global economic volatility and intense competition. The bank is focusing on risk diversification by entering new markets and reducing reliance on existing ones. Loan approvals amounted to 9,125 million baht in the CLMV countries (Cambodia, Laos, Myanmar, and Vietnam) and new markets, bringing the total outstanding loan balance and commitments to 191,800 million baht by the end of 2025. Additionally, export credit insurance and investment risk insurance generated a total volume of 194,564 million baht.
In promoting future investments, EXIM BANK aims to advance Thai industries towards advanced technology production and a green economy. As of the end of 2025, loans and commitments supporting sustainable investments, including clean energy, circular economy, and technologies that reduce greenhouse gas emissions, totaled 91,650 million baht, representing 47.78% of the total outstanding balance. This reflects EXIM BANK's role in assisting Thai entrepreneurs to upgrade their production processes to meet international standards and increase global market access.
EXIM BANK is committed to empowering entrepreneurs by developing the capabilities of both new and existing exporters to grow sustainably on the global stage. This involves a network of partnerships with the government, private sector, and educational institutions. The "EXIM 2X" program covers all aspects of export business, from funding access and risk management tools to market penetration strategies and ESG considerations. This initiative has resulted in the development of capabilities for 25,036 entrepreneurs.
In managing loan quality, EXIM BANK emphasizes proactive risk management through the "You Fight, EXIM Helps" initiative, assisting borrowers affected by economic downturns in recovering their businesses and reducing debt burdens. The NPL ratio remains at 3.66%, consistent with the previous year, despite uncertainties from various risk factors. Credit loss provisions amount to 17,139 million baht, resulting in a high coverage ratio of 261.85%. The projected net profit for 2025 stands at 1,904 million baht.
Mr. Chalach stated, "EXIM BANK is ready to act as an Export Co-pilot, providing liquidity and risk management to enhance the readiness and confidence of Thai exporters to compete under the new global trade rules and to use change as an opportunity to drive businesses towards sustainable growth. We urge the government and the Bank of Thailand to maintain the stability of the baht and support Thai exporters. We also advise private sector exporters to start focusing on the green economy to meet the new requirements of the global market."