2022 Performance and Synergy Realization
Limited portion of deep restructuring in our modified portfolio
tub
Total modified portfolio (Pre-COVID and during COVID)
THB trillion
■Blue Orange
Non-modified
1.39
1.36
1.37
1.38
% Non-modified
79%
84%
89%
88%
to total loans
% Modified
to total loans
•
•
.
•
•
21%
16%
11%
12%
-12%
-8%
~3%
-3%
-8%
~4%
•
Dec-21
Sep-22
Dec-22
Dec-20
Internal data for managerial view - Loan principals excluded interbank
Note: Modified loans = Legacy restructured loans (before Covid-19) + Loan under debt relief program
Customers' financial support has been migrated to a comprehensive debt
restructuring as the BoT's debt relief program expired.
To be prudent, our modified portfolio covers all types of modified loans,
including legacy restructured loans (modified before Covid-19) and modified
loans under debt relief program.
Overall, the trend remained manageable and under control. As of 4Q22,
modified loans slightly increased QoQ as we have tightened the exit criteria;
and together with a decline in loans outstanding, % modified loans to total
portfolio was at 12%.
Zooming in modified loan quality, currently approx. 8% of total loans was in light
modified terms, comparable to the BoT's Orange scheme (term extension,
grace period). Only approx. 4% was in deep modification or comparable to the
BoT's Blue scheme.
Under the prolonged economic recovery, TTB has been prudent and taken pre-
cautious approaches in managing loan modification to ensure the quality of our
balance sheet and to mitigate downside risks.
In addition to a stringent loan modification policy, we also ensure that our
staging classification can capture and truly reflect customers' debt payment
behaviors (DPD profile) in order to provide sufficient and rational level of
provision.
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