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Thai Government Urges State Banks to Accept More Debt Write-Downs, Write-Offs.

Bangkok Post (Bangkok, Thailand)

| December 04, 2002 | COPYRIGHT 2002 Bangkok Post. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

Byline: Chatrudee Theparat

Dec. 4--The cabinet wants state financial institutions to accept more debt write-downs or write-offs in order to speed up debt restructuring programmes.

Ministers were responding to a study by the state planning agency, which showed a high level of re-entry non-performing loans (NPLs) resulting from creditors' reluctance to write off debts for fear of further losses.

According to the National Economic and Social Development Board, debts totalling 1.26 trillion baht were restructured between October 1999 and August this year.

Of the total, 638.6 billion baht or 49.8 percent had become NPLs again.

...

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