BOT relaxes rule on single lending limit

The Bank of Thailand will temporarily relax the single lending limit rule to companies under a group to more than 25 per cent of the lender's Tier-1 capital base, according to the central bank's report.

The current rule prohibits banks from lending more than 25 per cent of their Tier-1 capital to a single client.

According to the report, the central bank wants the rule to be eased in line with the demand for lending of large-sized companies, while the activities of conglomerate companies can help strengthen the local economy.

The Nation