The Small and Medium Enterprise Development Bank of Thailand (SME Bank) will increase its registered capital by 555 million baht during the first quarter this year as part of the first phase of business rehabilitation, says Deputy Finance Minister Tanusak Lekuthai.
The capital increase will not occur until after the rehabilitation plan is ready, which is scheduled for this week, said Mr Tanusak. "The new funding has been allotted by the Finance Ministry in the 2013 fiscal budget," he said.
SME Bank reported net assets of 97 billion baht, liabilities of 69 billion, outstanding loans worth 96 billion, and non-performing loans (NPLs) of 39 billion, or 40% of total assets based on the assessment by the Bank of Thailand. Its capital adequacy ratio is 1%, far below the 8.5% required by the central bank.
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