A Thai bank has introduced a series of measures to help business customers recover from damage caused by the devastating floods that hit Thailand last year.

The measures introduced by Kasikornbank include improved access to credit facilities backed by letters of credit (L/Cs) put up by foreign banks.

Access to credit

The Thai bank is working with 19 Japanese partner banks that are providing standby L/Cs so that flood affected Thai businesses can access credit on preferential terms.

As well as helping local firms recover the flood, this scheme is also part of Kasikornbank's efforts to increase its share of the market for Thai businesses supplying Japanese businesses.

Japanese target

In April, the bank said it was further strengthening its aim in this direction by signing a contract with the Japan Bank for International Cooperation and 11 Japanese banks to provide soft loans for flood recovery to Japanese companies in Thailand.

The soft loans would also be made available to Thai companies further down supply chains that ultimately deliver goods and services to Japanese customers.

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