News No.   :  30/2007

Date             :  18 September 2007

Subject        :  Cooperation between the Revenue Department and Krung Thai Bank PCL. to improve official’s quality of life

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                        Today (18 September 2007), Mr. Sanit Rangnoi, Director-General, the Revenue Department, and Mr. Preecha Phukham, Senior Executive Vice President, Managing Director, Government & State Enterprise Relations Group, Krung Thai Bank PCL. (KTB), jointly sign a Memorandum of Agreement on Welfare Loans for Official and Permanent Employees of the Revenue Department. This is to enable them to have a source of loan for housing and other purposes at special interest rates.

                        Mr. Sanit Rangnoi said that the preparation of the Memorandum would insure the official and permanent employees’ housing welfare by providing a new option to ask for loans from KTB at special interest rates which are lower than other financial institutes. Moreover the borrowers can borrow funds for other purposes to improve their living.

                        Mr. Preecha Phukham disclosed that the welfare loans, prepared for more than 20,000 official and permanent employees of the Revenue Department at special interest rates, encompass housing and multipurpose loans for other spending such as buying cars or motorcycles, buying computers and paying tuition fees for furthering their education. Moreover the Bank has set aside credit line of ฿1,000 million for such lending as well as setting up credit line in the part of Krung Thai Thanawat loan as emergency fund by allowing each borrower to borrow up to 10-fold of their salary as well. This year, the Bank has set the target to expand the welfare loans in the amount of ฿4,500 million. Since the beginning of this year, the Bank has provided the government agencies and state enterprises with welfare loans amounting to ฿5,900 million marking the total welfare loans to reach ฿34,900 million. Towards year-end, it is expected that the Bank will be able lend another ฿1,000 million. This is because the Bank has seriously engaged in marketing through its promotion programme offered to officers of government agencies that signed up with KTB for welfare and housing loans at special interest rates. The first year interest rates will be fixed at 4% MLR-1.5% interest rate for the second year, and from the third year onwards, interest will be charge at the rate of MLR-1% (currently MLR is equal to 6.875% per annum).

                        This cooperation is another crucial step that aims to help improve the Revenue Department’s official and permanent employees’ quality of lives, especially those who have low income or bear high interest loans.