NPL Strategy: The Case of Thailand
The presentation elaborated on initiatives such as multiple-creditor out-of-court workout schemes and public AMCs, taken by Thailand to resolve the debts. Among the many initiatives launched, the Corporate Debt Restructuring Advisory Committee was considered as key. The committee’s definitive timetable for restructuring, a warning letter, and a fine given by the Bank of Thailand to a non-compliant creditor was found to be effective in removing NPLs. Current NPL resolution measures, including public and private AMCs, debt clinics, and aid packages to small and medium-sized enterprises to handle household debts and expedite corporate restructuring, were also discussed.