10 June 2022
Bangkok (10 June 2022) – Krungsri (Bank of Ayudhya PCL) revealed that Hattha Bank PLC, a leading commercial bank in Cambodia and a subsidiary of Krungsri, received a “BBB+” credit rating with a “stable” outlook from TRIS Rating despite the economic impact from the COVID-19 pandemic. The credit profile reflects Hattha Bank’s strong market position in the retail credit market in Cambodia, with adequate capital position, and prudent risk management. Also, its strong rating reaffirms Krungsri’s commitment to creating strong growth in ASEAN.
Moreover, TRIS Rating assesses Hattha Bank’s credit profile (excluding Cambodia sovereign risk) that incorporates a rating enhancement at “a-” which is based on the Bank’s strengths and its being a strategically important” subsidiary of Krungsri.
Mr. Pairote Cheunkrut, Krungsri Chief Strategy Officer said “We are delighted with the strength rating of Hattha Bank in Cambodia. Hattha Bank maintains a “BBB+” credit rating with a “stable” outlook from TRIS Rating despite the challenges and unpredictable market from COVID-19 impact. The unchanged rating reflects the strong performance as well as the high quality management. Krungsri has long-term commitment to continuously provide supports and share our expertise and experiences, particularly in consumer finance products and risk management standard. With its prudent risk management, its NPL ratio remains at 1.5% which is lower than the banking industry average of 2.4%. The bank also set aside sufficient reserves to mitigate future provisioning risk. The strong capital adequacy ratio (BIS ratio) stands at 18.74%.”
“In 2022 we strongly believed that Hattha Bank will continue to deliver outstanding performance, offer the complete financial solutions, grow its digital users by 70% from 78,000 users in the previous year, as well as enhance commercial banking platform to serve needs of all local customer groups. Furthermore, the collaborations between Krungsri and Hattha Bank will promote wider opportunities for Thai in expanding their businesses into Cambodia and increasing Thai customer base. This is in line with Krungsri’s strategic focus to bring our customer to go ‘Beyond Thailand’, and support Krungsri in achieving the target and to increase overseas net income to 10% of total net income within 2023.” Mr. Pairote said.