Page 4/21 Overview of Economy and Competition in Commercial Banking In the second quarter of 2019, the Thai economy continued to expand due mainly to the expansion of domestic demand. Private consumption
growth mainly coming from home loans and car loans. Meanwhile, credit card loans and personal loans continued to expand. Deposits grew by 4.2 percent from the end of 2018. The ratio of loans to deposits
of Thailand and NESDB, overall Thai economy in 2017 expanded by 3.9%, higher than 3.3% growth in 2016. This was mainly from acceleration of private consumption, export sector, and private investment in
of 2019. Exports, tourism and private investment – among major economic activities – were hampered by the worse-than-expected global economic slowdown. Meanwhile, consumers’ purchasing power weakened
from contraction of export sector as global consumer demand weakened. The tourism sector and private consumption grew at a slower pace. On the other hand, the personal loan of commercial banks and
investment decelerated after showing high growth in the fourth quarter of 2018. Even though private consumption continued to expand, growth was concentrated in only certain product categories. Likewise
decelerating rate due to slowdown in external sector and manufacturing production at home. Meanwhile, private consumption which continued to expand was derived mainly from increased expenditures on automobiles
or 15 percent p.a., granted to KBank Payroll customers. To expand our service dimensions, we also launched personal loan via K PLUS application that allows customers to receive loan within one minute
previous quarter attributed to continual expansion of public and private investments and private consumption expenditures in relating to the growth in tourism. However, the exports of goods and services have