EXIM Thailand announced its operating results in the first quarter of 2022, highlighted by its greater expansion of loans and supports for entrepreneurs, SMEs in particular. New loan approvals amounted to 14,973 million baht, up by 74.37% year-on-year and building a larger number of 'brand-new' exporters and new businesses. Of this total, 4,541 million baht went to SMEs, which was a 215.67% year-on-year growth, and 11,041 million baht was for new customers, an as high as 361.86% year-on-year surge. The Bank thus recorded a robust growth in all dimensions, generating a net profit of 411 million baht in the first quarter of 2022, a remarkable year-on-year growth of 346.05%. With EXIM Thailand's supports, Thai entrepreneurs have expanded businesses to the CLMV (Cambodia, Lao PDR, Myanmar and Vietnam) and new frontiers to a greater extent. The Bank's total outstanding loans for international projects in these markets amounted to 51,554 million baht, an 8,069 million baht or 18.56% year-on-year increase, especially in Vietnam with total outstanding loans of 13,843 million baht or a 65.65% growth since the unofficial commencement of operation of the Bank's representative office in Ho Chi Minh City of Vietnam in 2021.
Dr. Rak Vorrakitpokatorn, President of Export-Import Bank of Thailand (EXIM Thailand), revealed that in the first 3 months (January-March) of 2022, despite the high volatility of Thai and global economies amid the prolonged COVID-19 pandemic which still rampaged through several countries and the persisting international tensions, such as the Russia-Ukraine war, EXIM Thailand has remained steadfast in its main missions of assisting and supporting Thai entrepreneurs as economic warriors who would be able to cope with global challenges and be aware of social and environmental responsibility in line with the Bank's vision to be the "Thailand Development Bank."
EXIM Thailand has driven the organization in line with its vision to support trade and investment of Thai entrepreneurs both at home and overseas, aiming to create job opportunities and boost competitiveness of Thai businesses. In the first quarter of 2022, the Bank approved new loans totaling 14,973 million baht, a year-on-year growth of 74.37%. Of the total loans approved, 4,541 million baht went to SMEs, surging by 215.67% year-on-year. Meanwhile, 11,041 million baht was rendered to new customers, an as high as 361.86% year-on-year increase. This has reflected the Bank's significant success in reaching out to new business entities. Its total outstanding loans thus went up to 150,621 million baht, a 16,209 million baht or 12.06% growth year-on-year, comprising 38,030 million baht in trade finance and 112,591 million baht in project finance.
With the firm determination to become a Lead Bank to bring Thai businesses to make a strong presence in the CLMV and new frontiers which have good potential and healthy growth. As of the end of March 2022, EXIM Thailand recorded total outstanding loans of 65,688 million baht for international projects, a 5,543 million baht or 9.22% growth year-on-year. Classified by principal market, the Bank has still consistently supported Thai entrepreneurs in spreading their wings to cover the CLMV and new frontiers. As of the end of the first quarter of 2022, total outstanding loans to these markets amounted to 51,554 million baht, a year-on-year growth of 8,069 million baht or 18.56%. Of this total outstanding loan amount, 13,843 million baht was recorded in Vietnam which is the latest destination of the Bank's representative office, constituting a 65.65% year-on-year growth. The Bank's representative office in Ho Chi Minh City of Vietnam will officially be opened in June 2022.
Amid the increasingly high global economic uncertainties, EXIM Thailand has vigorously fostered confidence of Thai exporters and investors providing them with a buffer against multiple risks, especially under the current situation where there is high likelihood of buyers' delayed payment or payment default. In the first quarter of 2022, the Bank recorded 53,164 million baht in export credit and investment insurance business turnover, up by 799 million baht or 1.52% year-on-year.
Meanwhile, EXIM Thailand has given high priority to maintaining of sound financial position. The Bank recorded total NPL amount of 4,307 million baht with NPL ratio of only 2.86% as of the end of March 2022. As the Bank set aside allowance for expected credit loss of 11,880 million baht, its NPL coverage ratio was as high as 275.81%, resulting in its strong financial status. The Bank posted a net profit of 411 million baht in the first quarter of 2022, representing an impressive growth of 346.05% year-on-year.
With the commitment to supporting Thai entrepreneurs in the forms of both credit and insurance facilities, as of the end of March 2022, EXIM Thailand has a customer base of 5,022, increasing by 16.76% year-on-year, and 82.78% of the total customers are SMEs. The Bank has launched a number of relief schemes for the customers affected by economic uncertainties as well as the Russia-Ukraine war which have pushed up commodity prices and logistics costs. These schemes are, for example, EXIM Credit for Export Suppliers and EXIM Logistics Credit implemented by EXIM Thailand in collaboration with Thai Credit Guarantee Corporation (TCG) to lower costs borne by exporters and importers. Besides, the Bank has continuingly provided information and developed knowledge base to uplift capabilities of entrepreneurs through online advisory and training courses. Thus, as of the end of March 2022, EXIM Thailand financially and non-financially assisted more than 14,200 entrepreneurs, accounting for a total of approximately 76,700 million baht.
"EXIM Thailand has still been on track this year with our role as Thailand Development Bank to drive the country's trade and investment strategies and implement our strategy as the 'Game Changer' to transform Thailand into a high-income country. We aim to propel national development in economic dimension in linkage with social and environmental dimensions through our missions to "reboot, restructure, rebalance and resynergize" Thai industries and economy alongside public and private agencies. We are committed to performing as component part of the driving engine for national development through our supports of strategic investment projects domestically and overseas, particularly those conducive to bio-circular-green (BCG) economy for the elevated competitiveness of Thai industries and increased production and export of higher value-added products/services and end-to-end industrial development from upstream to downstream throughout the supply chains. To such end, we need to develop new innovative products and services in response to demand of entrepreneurs, such as development of carbon market ecosystem and credit facilities for solar rooftop system installation (Solar Orchestra), and rollout of other products under our Responsible Finance Policy as we are the first state-owned specialized financial institution to establish this policy, along with strengthening and exploring fresh opportunities for SMEs so that they would also grow overseas," added Dr. Rak.