Fitch eyes local bank strains

Thailand faces increasing pressure from the global economic slowdown, attributed to the impact of US tariffs, the decline in its fiscal buffer and domestic political uncertainty, according to Fitch Ratings.

Speaking at the company’s annual seminar yesterday, Thomas Rookmaaker, senior director of the sovereigns group for APAC at Fitch Ratings Hong Kong, said Fitch expects global growth to decelerate to 2.4% this year, down from 2.9% in 2024, amid evidence of a US slowdown.

Greater clarity has emerged on US tariff policy, pointing to headwinds for most of Asia where exports are a key growth engine.

China’s exports have held up so far as they have partially been redirected to other markets, noted Mr Rookmaaker.

The slower growth also delays fiscal consolidation, resulting in public discontent sparking protests over governance and cost of living pressure.

Fitch’s recent outlook revision of Thailand’s BBB+ rating to negative from stable reflects rising risks to the country’s public finances from prolonged policy uncertainty, combined with slowing global demand, a delayed tourism recovery and household deleveraging.

Thailand’s fiscal buffers have eroded in recent years, although the government is able to finance its deficit at lower costs compared with peers and external finances form a relative strength.

Parson Singha, senior director of financial institutions at Fitch Ratings (Thailand), addressed the banking sector outlook and noted sector earnings and asset quality are deteriorating, with impaired loans rising, particularly among small and medium-sized enterprise clients.

Fitch expects bank performance to remain challenging in 2026 due to the weak economic environment, low loan growth and declining interest margins.

However, key loss absorption buffers such as loan-loss allowance coverage and core capital remain sound compared with regional peers and Fitch’s benchmarks.

These buffers are holding up banks’ standalone credit profiles, despite Thailand’s negative outlook for the sovereign rating.

Govt ‘should move to ease tensions’

As the new government takes office at a time of renewed tension along the Cambodian border, international relations experts are urging coordinated policies, leadership-level engagement and a move away from confrontational measures.

Thailand should tackle the border dispute with Cambodia through cooperation, not confrontation, they said.

Panitan Wattanayagorn, an international relations scholar, said the administration of Prime Minister Anutin Charnvirakul faces “triple challenges” that are closely interconnected.

The first concerns foreign relations and security, including the border dispute with Cambodia and trade issues with the United States.

The second involves pressing domestic economic and social concerns. The third lies within the fragile political alliance between the ruling Bhumjaithai Party and the opposition People’s Party.

Assoc Prof Panitan said that while this government’s approach may not differ much from its predecessor’s, the urgency is greater because this administration is expected to serve only a four-month term.

“The government must carefully prioritise and ensure all agencies work in sync,” he said.

On the Thai-Cambodian border issue, he emphasised the importance of coordination between the Defence and Foreign Affairs Ministries.

Cambodia, he said, has traditionally welcomed new governments in Thailand with offers of cooperation, particularly on border management.

Cambodian Prime Minister Hun Manet recently sent a congratulatory letter to Mr Anutin, signalling his readiness to resolve disputes and restore relations.

“If Thailand responds positively, Cambodia will reciprocate. But if their overtures are ignored, they could adopt tougher measures, as they did with the past government,” Assoc Prof Panitan warned.

Restoring ties at the ambassadorial level, he said, would be an important first step towards easing tensions.

Assoc Prof Panitan said Cambodia has also pressed for the reopening of certain checkpoints, which have severely affected communities along the border.

Yet negotiations remain stalled at the Regional Border Committee (RBC) stage, with little progress towards the Joint Border Committee (JBC) stage.

Assoc Prof Panitan suggested the new Foreign Affairs Minister Sihasak Phuangketkeow explore humanitarian measures to open dialogue, such as establishing a corridor at Ban Nong Chan for displaced Cambodians, drawing on his earlier experience with Myanmar.

However, he cautioned that any such initiative would need the backing of the Defence Ministry to avoid contradictory signals.

“If the Foreign Affairs Ministry and Defence Ministry are not aligned, the military may tighten defensive measures, which Cambodia could portray as insincerity,” he said.

He also urged Mr Anutin to personally lead talks with Hun Manet, noting that Cambodia values leadership-level engagement.

Delegating the issue solely to ministers, he said, risks weakening negotiations.

An official visit to Phnom Penh, he noted, could demonstrate Thailand’s goodwill and readiness for bilateral talks.

Prapee Apichatsakol, a law lecturer at Srinakharinwirot University and vice president of the American Studies Association in Thailand, said rebuilding state-to-state ties must be accompanied by restoring trust between the citizens of both sides.

Relations between people, she said, have been damaged by disinformation and incitement on social media.

“The new government should move forward from the conflict and seek areas of cooperation that bring mutual benefits while maintaining security along the border,” she said.

Border fence

Both experts also expressed concern over Thailand’s plan to build a border fence to prevent encroachment from Cambodia.

Asst Prof Prapee compared it to the US-Mexico border wall, which deepened mistrust between the two countries. “A fence symbolises separation. It suggests we cannot live together and risks long-term damage to bilateral relations,” she said. While acknowledging that a fence might provide clearer boundaries and bolster security, she questioned its cost and social impact. She recommended dialogue through mechanisms such as the RBC, General Border Committee and JBC, or even under the Asean framework. A trusted intermediary, she added, could help guide negotiations and ensure agreements are clearly implemented.

Meanwhile, Assoc Prof Panitan agreed Thailand should tone down the fence plan, even if sovereignty concerns remain. As an alternative, he proposed “smart surveillance” systems, including drone patrols, which would strengthen security without provoking resentment from Cambodia. “We can create an invisible fence through technology that avoids hard feelings,” he said.

Thailand 2050: Climate and Water Futures

How will Thailand build climate resilience and strengthen water security by 2050?

Join us for a forum featuring insights from leaders and experts across government, private sector, academia, and international organizations. Highlights from the event include:

?Latest findings from the Thailand Country Climate and Development Report (CCDR) by the World Bank Group

?Keynote on building climate resilience and investing in the future

?Panel 1: Climate-Resilient Growth – From Policy to Action

Panel 2: Water 2030 – Shaping a Secure Water Future Together

Date: Friday, October 3, 2025

Time: 1:00 PM – 4:00 PM

Venue: Meeting Room 208-209, Queen Sirikit National Convention Center, Bangkok

Speakers include representatives from: World Bank, IFC, PIER, TSRI, DCCE, EEC, FTI, Hydro-Informatics Institute (HII), Mitr Phol, Chulalongkorn University, and more.

Don’t miss this opportunity to network and gain deep insights from real leaders-and be part of shaping a sustainable future!

Pre-register now to join the event!

Option 1 – Through the SX Application

Steps to register:

Download the SX Application

Fill in your registration details

Go to the “Activities” menu

Select Pre-Registration

Choose the date and time you’d like to attend

Receive a QR Code to present at the entrance

Option 2 – Quick QR Code Scan

Simply scan the QR Code to access the SX Application, enter your details, select the event, date, and time, and instantly receive your QR Code for entry.

Woman linked to B5-billion laundering network arrested in Bangkok

Police in Bangkok have arrested a 55-year-old woman accused of opening bank accounts for a transnational money laundering network that had more than 5 billion baht in circulation.

Officers from the Economic Crime Suppression Division (ECD) apprehended the woman identified only as Wimol, on Ngam Wong Wan Road in the Lat Yao area of Chatuchak district on Wednesday, said Pol Maj Gen Tasaphum Jaruprat, the ECD commander of the ECD.

The suspect was wanted under two arrest warrants issued by the Criminal Court, on April 25 last year and on Feb 26 this year. The charges against her include colluding to defraud the public, conspiracy to launder money, inputting false information into a computer system, allowing others to use her bank accounts for technology crimes, and conspiracy to commit serious crimes linked to a transnational criminal organisation.

According to a police investigation, Ms Wimol had opened bank accounts for foreign nationals and got involved in laundering money for a transnational criminal syndicate that had more than 5 billion baht in circulation.

Police said she had previously served a jail term at the Central Women’s Correctional Institution for her role in a separate fraud case that resulted in 9 million baht in losses.

After she was released, ECD investigators tracked her movements and managed to arrest her while she was walking along Nam Wong Wan Road, said Pol Maj Gen Tasaphum.

During questioning, Ms Wimol reportedly confessed that she had been approached by an unidentified woman in 2023 to open bank accounts. The woman had persuaded her that the accounts would be used for an online business.

After she handed over the details of the accounts, the suspect said she lost contact with the woman. She later discovered that her accounts had been used for illicit activities.

She has been handed over to investigators at ECD Sub-division 3 for further legal proceedings.

Panel reviewing Thaksin’s pardon petition

The Justice Ministry has set up a panel to review convicted former prime minister Thaksin Shinawatra’s petition for a royal pardon, according to Justice Minister Pol Lt Gen Rutthapon Naowarat.

Pol Lt Gen Rutthapon said on Thursday that he has established a committee to review the petition, and it is anticipated to complete the examination within three days.

Thaksin’s lawyer, Winyat Chatmontree, confirmed early this week that his client had submitted the petition and maintained that it was a right granted to all inmates serving final sentences.

Thaksin, 76, was sent back to prison on Sept 9, 2025, on the order of the Supreme Court’s Criminal Division for Holders of Political Positions, which ruled that the time he spent in the Police General Hospital did not count as part of his incarceration.

The court then ordered the billionaire to serve one year in prison, in line with the commuted term of his original sentence.

On Thursday, former prime minister and Pheu Thai Party leader Paetongtarn Shinawatra, along with her sister, Pintongta Kunakornwong, visited Thaksin at Klong Prem Central Prison. According to Ms Paetongtarn, her father had some neck issues, but he appeared fine overall.

Meanwhile, property giant SC Asset on Thursday informed the Stock Exchange of Thailand (SET) that Ms Paetongtarn reclaimed her 28.43% stake after stepping down from office, making her the largest major shareholder in the company.

Red, Purple Line fare still B20

The cabinet has extended the 20-baht flat fare rate on the Red and Purple Lines for two more months until Nov 30, government spokesman Siripong Angkasakulkiat said yesterday.

The flat fare introduced in 2023, was initially set to expire on Tuesday. The extension came as part of the new government’s vow to help ease the cost of living.

Transport Ministry officials were assigned to come up with sustainable solutions to keep the fare low without putting a financial burden on the state over the next two months, said Mr Siripong.

Chanin Rungthanakiat, deputy spokesman of the Pheu Thai Party, backed the cabinet’s decision. Pheu Thai initiated the flat-fare policy, said Mr Chanin, adding that the measure helps at least 100,000 commuters with their living costs and makes the extension very suitable now.

He called on the cabinet to extend this policy to cover all electric train lines. Implementing this policy would mean a fix for the transport system of the entire city and would help reduce pollution and PM2.5 dust particles.

He added the project supports city expansion as people are encouraged to live further away from the city centre because they would be no longer limited by commuting costs.

Mr Chanin said the policy is not only focused on urban commuters as it affects various dimensions of development. It should also not be seen as a populist or Pheu Thai policy.

Thai squad for qualifiers announced

The Football Association of Thailand (FAT) on Wednesday announced a 23-strong national squad for the War Elephants’ home-and-away 2027 AFC Asian Cup qualifying games this month.

Thailand, placed in Group D of qualifying tournament for Saudi Arabia 2027, are scheduled to take on Taiwan on Oct 9 at Bangkok’s Rajamangala National Stadium before playing an away game against the same opponents on Oct 14 at Taipei Municipal Stadium.

Thailand are currently in second place in the group table with three points from two matches. They started the campaign with a victory over Sri Lanka but went on to lose against Turkmenistan in June.

While Thailand head coach Masatada Ishii has kept faith in Chanathip Songkrasin, Nicholas Mickelson, Supachok Sarachat and Supachai Chaided, he has once again overlooked veterans Theerathon Bunmathan and Teerasil Dangda.

Ishii said: “We have retained the key players in the team in the hope that they will help us post good results in the games against Taiwan. We follow all players and have tried to name the best possible squad.”

SQUAD

Goalkeepers: Patiwat Khammai, Saranon Anuin and Kampon Pathomakkakul

Defenders: Suphanan Bureerat, Nicholas Mickelson, Suphan Thongsong, Nattapong Sairiya, Saringkan Promsupa, Jonathan Khemdee, Apisit Sorada and Sasalak Haiprakhon

Midfielders: Weerathep Pomphan, Phitiwat Sookjithammakul, Chanathip Songkrasin, Worachit Kanitsribumphen, Thitiphan Puangchan, Benjamin Davis, Seksan Ratree, Jaroensak Wonggorn and Supachok Sarachat

Forwards: Supachai Chaided, Teerasak Poeiphimai and Poramet Arjvirai

FIXTURES

Oct 9 – Thailand v Taiwan (Rajamangala National Stadium, 7.30pm)

Oct 14 – Taiwan v Thailand (Taipei Municipal Stadium, 5.30pm)

When health becomes the new status symbol

Nowadays, there’s an expensive price tag and a high social currency associated with wellness and longevity. The latter already sparked a viral online debate in Thailand mere weeks ago, with thought leaders and influencers sharing their interpretation of longevity, and whether it’s turned into a measure of wealth, therefore creating pressure for the aspiring class and demanding you keep up appearances by investing in ice baths, wearing tech devices and measuring your sleep quality. Whilst advocating for wellness is all well and good, there are more ways to live a balanced life than constantly quantifying and tracking your wearables.

This trend is seeping through everywhere, even in luxury hotels. In 2024, Aman appointed tennis legend Novak Djokovic as its first Global Wellness Advisor in a multi-year partnership.

Thailand is well-positioned for a wellness ecosystem. Our country’s wellness economy was valued at 1 trillion baht in 2024. Just look at some world-class establishments we have on hand – from Chiva Som, which ranks high on every wellness retreat list, to RAKxa Wellness Retreat in Bang Krachao, a newer player that launched in 2020 but quickly gained traction due to its facilities and reputable services. These retreats have emerged as a new status symbol.

There are various layers of segmentation to our country’s wellness ecosystem, from retreats to clinics, spas, boutique gyms and restaurants offering clean food.

An Aston Martin or a Richard Mille on your wrist may shout it from the rooftops, but in today’s wellness and longevity-minded culture, contemporary urbanites also measure success with measures of time, flexibility and their Whoop devices. Nowadays, an indication of wealth may be someone who squeezes in a vitamin IV drip on a Tuesday afternoon and checks into RAKxa for a weekend of mindful treatments.

Think of all the conversations you have at dinner tables. Aside from discussing where the best Ulthera treatment is, mentions of blood sugar levels, sleep treatments, and anti-aging regimens likely dominate if you’re over 32. These conversations may be anecdotal, but they’re translating to real money spent. We’ve never been more obsessed with tracking not only how many hours of sleep we’re getting per night, but also the quality of such sleep. We’re pouring money into this whole new urban lifestyle, and hacking our bodies to live longer.

There’s an exhaustive list of activities to spend time on and multiple customised tests to pay for.

At home party recovery drips? Check. Cryotherapy? Check. There’s a lot of social pressure to participate in and join this wellness movement, even if we’re not entirely sure of its benefits.

As Thais, we love following the latest trends and joining in on the hype, and there are endless benefits to wanting to live longer and better. However, we must also not forget the very basics that hold our health together: rest, exercise and hydration.

No changes to high-speed rail linking three airports

Transport Minister Phiphat Ratchakitprakarn has rejected the idea of amending the government contract for a high-speed rail linking Don Mueang, Suvarnabhumi, and U-Tapao airports, stressing the original terms must be honoured.

Mr Phiphat, who is also a deputy prime minister, has firmly opposed a series of proposed amendments to the investment contract for the long-delayed high-speed rail project connecting the country’s three largest airports.

Speaking at the Ministry of Transport, Mr Phiphat outlined the ministry’s priorities for the next four months under the current administration and the subsequent four-month caretaker period before the upcoming election.

He said there was a sense of urgency in pushing forward stalled infrastructure investments to stimulate disbursement of the budget, job creation, and economic recovery amid sluggish conditions.

The high-speed rail project, delayed for over six years, remains entangled in negotiations over contractual revisions.

Mr Phiphat disclosed plans to convene discussions with key stakeholders, including Asia Era One Co, Ltd (CP Group), the Eastern Economic Corridor (EEC) Policy Committee, and the State Railway of Thailand (SRT), to explore viable solutions.

If the project cannot proceed as planned, alternatives such as expanding the double-track railway from Laem Chabang to U-Tapao and increasing train frequency may be considered.

Addressing the proposed shift to a “build-as-you-go” or instalment-based payment model, Mr Phiphat objected, saying it contradicts the original terms of the contract, which stipulate that government payments to the private sector occur only upon completion of construction. He added that such a change would likely fail to gain cabinet approval.

“I will not endorse anything that violates the contract or the law,” Mr Phiphat said.

Seoul rout ends Buriram’s unbeaten run

Thai League 1 champions Buriram United’s unbeaten run this season came to a grinding halt on Tuesday when they were thrashed 3-0 by South Korean giants FC Seoul in an AFC Champions League Elite battle at Seoul World Cup Stadium.

Choi Jun put his side ahead in the 38th minute before Jeong Seung-Won doubled the advantage in first-half injury time.

Lucas Silva added the third in the 67th minute for the hosts and FC Seoul added a win to their opening day draw with Machida Zelvia in Japan last month.

The Korean outfit sit on four points while Buriram United remain on three from two games, having won their opener against Malaysian Super League champions Johor Darul Ta’zim.

After the match, Buriram United head coach Osmar Loss reflected on a frustrating evening which was compounded by injuries.

“Football is special. If you look back at the first half, until the opening goal, the game was under control. Both teams were on an even keel but after the first goal we had three injuries, forcing us into making three substitutions — something very unusual,” said the Brazilian coach.

“In the second half, we tried to be more aggressive and attack because we were two goals down. We pushed players forward, but Seoul were clever in exploiting the spaces we left.”

FC Seoul head coach Kim Gi-Dong praised his players for overcoming a slow start to secure a convincing victory.

“Buriram are a really great team, so I’m pleased with the three points today,” said Kim.

“In the first half, we struggled a little and did not play our football. We were a bit fortunate at times but in the second half, we started to play our game and then we dominated.”

Meanwhile, in AFC Champions League Two matches tonight, hosts Ratchaburi face a tough Group F match against Japan’s Gamba Osaka and BG Pathum United visit Singapore’s Tampines Rovers for a Group H game.