The Bank of Thailand (BOT) on 8 October 2026 set out a three-part plan to widen bank lending to small and medium-sized enterprises, built on a loan portal, a permanent credit guarantee scheme and an alternative data exchange. The central bank aims to generate 100 billion baht a year in new lending and reverse 16 consecutive quarters of SME credit contraction, a move that could reshape how Thai lenders assess and price credit for underserved borrowers.
Key Facts At A Glance
- BOT Governor Vitai Ratanakorn presented the plan at the Thailand Economic Outlook 2027 forum in Bangkok on 8 October 2026.
- The central bank targets 100 billion baht in new SME lending each year.
- A central digital credit portal is scheduled for initial launch in December 2026, with expansion in the first quarter of 2027.
- The Credit Boost pilot will become a permanent five-year guarantee framework by early 2027, funded through commercial bank contributions to the Financial Institutions Development Fund.
- An alternative data exchange using government, utility and bank transaction records is slated for completion between mid and late 2027.
- Individuals will receive free credit bureau checks twice a year under a rule expected to take effect within two to three months.
- SMEs account for 99.5% of Thai enterprises and carry a non-performing loan ratio of 9.5%, compared with roughly 2% for large corporates.
The Bank of Thailand has committed to an overhaul of the country’s credit infrastructure to expand bank lending to SMEs and other underserved borrowers. Governor Vitai Ratanakorn outlined the framework on 8 October 2026 at the Thailand Economic Outlook 2027 forum organised by Krungthep Turakij in Bangkok, describing measures designed to address cost, risk and information gaps in SME lending.
The central bank aims to generate 100 billion baht in new lending each year. Vitai said that if the plan succeeds, it has a strong chance of reversing 16 consecutive quarters of SME credit contraction.
Three Pillars Of The Credit Framework
On cost, the BOT will reduce identity verification and credit checking expenses. Under an approved rule expected to take effect within two to three months, individuals will be able to check their credit bureau records for free twice a year.
On risk, the central bank will convert its pilot Credit Boost guarantee mechanism into a permanent five-year framework by early 2027. The scheme will be funded through commercial banks’ contributions to the Financial Institutions Development Fund rather than public money.
On information, an alternative data exchange will pool government, utility and bank transaction records through the National Digital ID system and the ITMX interbank network. The exchange is intended to help freelancers, vendors and online sellers without regular payslips demonstrate their ability to repay loans.
A central digital credit portal, scheduled for initial launch in December 2026, will allow borrowers to use existing collateral to seek competing financing offers from multiple lenders. The portal will expand in the first quarter of 2027 alongside the permanent launch of the guarantee mechanism, while the data exchange is expected to be completed between mid and late 2027.
The SME Credit Gap
Vitai identified SME credit access as one of four structural challenges facing the central bank, alongside household debt, equitable access to financial services and illicit money flows. He said interest rate cuts can support the economy broadly but cannot resolve these structural problems on their own.
SMEs represent 99.5% of Thai enterprises, employ 13.6 million people, or nearly 70% of the workforce, and contribute roughly 35% of GDP. Their non-performing loan ratio stands at 9.5%, compared with roughly 2% for large corporates.
Research from the BOT’s Puey Ungphakorn Institute for Economic Research found that only 21% of the best-performing 30% of SMEs can access formal credit, compared with 63% of large firms. About 34% of SMEs rely on friends or informal lenders. Start-ups that secure bank loans record five-year survival rates of 87% to 93%, compared with roughly 70% for those without.
Vitai said the 38% of SMEs that are both profitable and growing warrant full support, while businesses facing structural shifts, such as traditional merchants competing with e-commerce platforms, will need to adjust their business models alongside receiving financial assistance.
Building On Earlier Measures
The plan follows measures the BOT outlined in September 2026, when it said the new guarantee mechanism would operate alongside the existing Thai Credit Guarantee Corporation. Combined with existing TCG mechanisms, the central bank expects a total of 200 billion baht in new loans each year. The BOT said at the time it would submit details to the Finance Minister within three to four months.
The earlier SME Credit Boost programme, launched at the end of 2025, provided facilities of up to 100 million baht per SME borrower, backed by guarantees of 15% to 30% depending on loan type. About 60 billion baht, or 70% of available funds, had been disbursed by the second quarter of 2026. The funding amount for the new programme has not been disclosed.
Kasikornbank holds the largest share of SME lending at 24%, followed by SCB X and Bangkok Bank at 15% each, Krung Thai Bank at 10% and TMBThanachart Bank at 7%.