Bad loans still elevated as Iran war hammers firms

The Bank of Thailand is zeroing in on asset quality in its banking sector, with non-performing loans remaining high, partly due to the ripple effects of the ongoing Middle East conflict. Central bank officials are stressing the need for vigilance as these elevated bad loans are putting significant pressure on businesses. This situation underscores the broader economic risks that geopolitical tensions can pose, impacting everything from lending practices to business confidence. The focus on NPLs indicates a proactive approach to mitigate potential financial instability.