The Bank of Thailand (BOT) has announced that the 2021-23 stress test showed resilience from Thai commercial banks against possible future financial situations, and relaxed the measure to allow the bank to consider a dividend payment, which will be limited to no more than 50% of the bank’s net profit in 2021.
Capital Nomura Securities (CNS) had positive sentiment on the Thai banking sector, seeing banks with potential of paying higher dividends should be the most beneficiary from this measure, namely; KTB (+1.6%), SCB (+1.5%), KKP (+1.3%), BBL (+0.9%) and KBANK (+0.8%). In the meantime, CNS remains bullish on the banking sector choosing SCB and KBANK as top picks.
