4 days ago
MTC sees healthy loan growth
Muangthai Capital (MTC), Thailand's leading microfinance company, expects 10-15% loan growth in the second half of 2025 and a non-performing loan (NPL) ratio of no more than 2.70%, backed by an expansive nationwide network and a strong focus on credit quality.
Chief executive Parithad Petampai said MTC continues to serve the grassroots economy through its vast network of more than 8,400 branches nationwide, offering fair interest rates and accessible financial services to reduce reliance on informal lending sources.
For the second quarter, MTC reported a total loan portfolio of 175 billion baht, up 13% year-on-year, while total revenue rose 10.4% to 7.55 billion baht. Net profit for the quarter tallied 1.65 billion baht, marking a 14% increase.
For the first half of 2025, the company achieved total revenue of 14.8 billion baht, up 9.84% year-on-year, with net profit surging 13.6% to 3.22 billion baht.
The company posted growth even as the Thai economy showed signs of a slowdown in the first half, pressured by a soft tourism recovery, rising global economic uncertainties and trade policy headwinds influenced by the US, he said.
Mr Parithad said MTC remains confident in its expansion strategy going forward.
"We are committed to providing inclusive, transparent and fair financial services that empower underserved communities, strengthen the Thai economy from the ground up and support long-term social and environmental sustainability," he said.
MTC's efforts aim to build trust and credibility among customers, investors and stakeholders, said Mr Parithad, adding the company received a five-star (excellent) corporate governance rating from the Thai Institute of Directors for seven consecutive years.
The company also holds an AAA ESG rating from the Stock Exchange of Thailand and an AA rating from the MSCI ESG Index.
Fitch Ratings affirmed MTC's national long-term rating at A-(tha), underscoring its strong financial profile and leadership in the microfinance sector.
MTC has partnered with top-tier global financial institutions such as the International Finance Corporation, Japan International Cooperation Agency and Germany's KfW DEG. These collaborations reflect MTC's commitment to expanding its funding base and enhancing the financial capabilities of its customers while promoting economic inclusion and sustainable development.
