As a result of the relatively loose monetary policy implemented in Thailand post the 1997 currency devaluation, the banking system has remained extremely liquid. Domestic interest rates have become very attractive and local corporations, many of whom were badly hurt by exchange rate fluctuations, have lessened foreign currency borrowing activities.
Domestic syndicated lending in Thailand post-currency devaluation really took off in 2000. Scarcity of good quality credits and local financial institutions 'flight-to-quality' attitude has created tremendous competition for the few good new credits and the race to the refinancing of good old credits.
The successful completion of syndicated long-term project financings, such as Ratchaburi Power for Bt 44 billion $1 billion and Thai Tap...
