Tisco Bank chief executive officer Pliu Mangkornkanok, right, shares a joke with Tsunehiro Nakayama, deputy president of Mizuho Corporate Bank, after signing a business cooperation agreement.

"Mizuho has many Japanese corporate companies in its portfolio. Actually we've been partners for such a long time but from now on we can expect huge growth in business," said Pliu Mangkornkanok, chief executive of the bank.

He said the Japanese firms been in the Kingdom during both the ups and downs of the Thai economy.

Additionally, in spite of the already large Japanese business presence in Thailand, it is likely Japanese companies will continue to expand their operations in Thailand.

Apart from lending and bond issuance in its banking service section, the bank also expects its units, including securities and asset-management firms, to benefit from the agreement.

"If any of Mizuho's clients wants a provident fund, they will pass it to us. Also, we are expected to obtain technology and share information with Mizuho as well as its units.

For example, Mizuho owns Japan's leading asset-management firm named Dai-Ichi Kangyo Asset Management. There might be some exchange for training later on," Pliu said.

Pliu would not estimate how much revenue his company expected to generate from the deal but he said a huge customer portfolio to come of it.

Tisco has two major partners, Mizuho and Deutsche Bank. Most of its income is generated from the interest on loans.

The bank doesn't sell insurance, yet. But, according to Pliu, his company has just signed on a life insurance partner, Ayudhya Allianz CP Life.

The alliance with the insurer could lead to investment-linked life insurance products.

Piyarat Setthasiriphaiboon

The Nation