SCB opts to scale down operations

Siam Commercial Bank (SCB) plans to scale down its business operations over the next 12-18 months in response to a weaker outlook for the Thai economy.

- SOMRUEDI BANCHONGDUANG

SCB chief executive Kris Chantanotoke said the bank expects both the Thai economy and business sector to face increased challenges during this period. Key headwinds include US-imposed tariffs and the persistently high level of household debt, both of which are expected to dampen Thailand's economic growth, he said.

"The uncertainty surrounding US tariffs on Thai exports is likely to impact export performance in the second half of the year. Thailand's direct exports to the US account for a significant portion — around 20% — of the country’s total export value, reflecting its longstanding reliance on the US market," he said.

According to Mr Kris, if Thailand faces tariffs 10% higher than other regional peers, the country’s economy could be significantly affected, undermining its competitiveness.