Thanachart

Thanachart Bank is in talks with Japan's Taiyo Life Insurance to offer financial services to Japanese corporate clients in Thailand.

A memorandum of understanding was signed to study the feasibility of such a cooperation and formulate a business plan. This will likely include financial services like commercial loans, trade finance, foreign exchange, remittance, opening of accounts, supplier financing, electronic banking, leasing and retail and consumer credit for management and employees.

Thanachart executive vice president Noossara Roonsamrarn said both companies hoped to start the business cooperation early this year. A Japan Desk may be set up with assistance from Taiyo as part of the bank's strategy of expanding its client base in Thailand.

Special emphasis will be placed on corporations and their affiliated companies in the supply-chain network plus their executives and staff.

"As Taiyo has extensive relationships with large Japanese companies, Thanachart Bank can tap Taiyo's relationships to broaden its base of Japanese customers in Thailand, especially in manufacturing, while Taiyo can leverage Thanachart to build up its presence and capture growth opportunities in Thailand," she said.

Taiyo is one of the largest financial institutions in Japan. As of last March, Taiyo had assets of ¥6.186 trillion (Bt2.39 trillion).

Thanachart has launched strategies to increase its proportion of loans related to corporate finance and small and medium-sized enterprises and generate revenue from sectors like trade finance. These businesses offer high growth potential.