Ten SET-listed commercial banks reported consolidated net profit in 2023 of 232 billion baht, a 15.6% year-on-year increase from around 201 billion baht in 2022, attributed to rising interest income as a result of policy rate hikes.
Regarding rising interest rates, the banking sector recorded total net interest income (NII) of around 727 billion baht in 2023, up by 17.8% year-on-year from 617 billion baht in 2022.
The country’s five largest banks by total assets booked a higher net interest margin (NIM) attributed to the positive growth in NII.
The central bank has increased its policy rate eight times since August 2022, rising from 0.5% to 2.5% at present. The rate is at its highest level in a decade.
At the same time, the banking industry overall continued to set aside a higher expected credit loss (ECL) in alignment with a consistently prudent…
