HSBC Thailand seeks licence, raises capital for local business expansion
In preparation for local business expansion, HSBC Thailand is working to raise additional funds and secure a new licence, in line with the nation’s economic growth. The bank’s capital is set to increase by 3.1 billion baht, reaching 25.7 billion, according to chief executive Giorgio Gamba. Furthermore, HSBC Thailand is seeking a new business licence from the regulator to bolster its existing operations, which span wholesale banking, market and securities services, and private banking.
The bank’s primary clientele consists of high net worth individuals with a minimum of US$2 million in assets under management, as well as local and international corporations. By 2023, HSBC Thailand aims to achieve significant business growth, in line with the projected GDP growth of both Thailand and the Asean region.
Gamba stated that the bank anticipates economic growth in Asean countries to range between 2.1% and 5.8%, while Thailand’s GDP growth is estimated at 4.1%. This growth is expected to be primarily driven by the recovery of the tourism sector and increased domestic demand for private consumption and foreign direct investment.
For its wholesale banking business, HSBC Thailand is focusing on local firms looking to expand overseas and international investors interested in the Thai market. The bank provides a comprehensive suite of financial services and solutions for both inbound and outbound investments, supported by its global presence.
“As Thailand is a regional hub and HSBC Thailand has long-term experience and business expertise, we are aiming to maintain the No.1 position for inbound international business in the Thai market,” Gamba said. “The bank also plans to expand outbound investment.”
Gamba noted that investors from China, the US, and the UK have shown interest in Thailand’s advanced manufacturing, e-commerce, and renewable energy sectors. Meanwhile, local businesses are seeking investment opportunities in Asean and international markets, such as Vietnam, Indonesia, China, and the Middle East.
HSBC Thailand is also planning to expand its digital banking services for corporate customers, with the goal of becoming the leading foreign bank in this area in the Thai market. Gamba highlighted Thailand’s position at the forefront of digital payments, a trend that is prevalent across Asia.
He said…
“Consumers in Thailand topped the list with 94% using digital payments across multiple forms, including QR codes and wallet payments.”
Launched in 2021, wealth and private banking is HSBC Thailand’s newest financial service. The bank has been growing this segment in response to the increasing wealth of Thai individuals, with their assets under management projected to reach $548 billion by 2025 – a 12.4% increase. In 2022, HSBC Thailand’s private banking business grew by 200%, and the bank expects to maintain strong growth in both assets under management and its customer base this year reports Bangkok Post.
