Pursuing Retail Banking with Social Responsibility

TMB Bank

License to operate?

-1-Source : News and BOT

‘Mis-selling’

‘Banks Abandon Customers’

‘Exclude the Disadvantages’

‘High Lending Rates… Low Deposit Rates’

What do

stakeholders

want from banks?

80%

Of Urban area have

more than 3 ATMs

within 1 km radius

113 ATMs per 100,000

Thai Adults1

2

Source: BOT’s Financial Access of Thai Households 2016 and TMB Analytics

1 Loans exclude credit card

2 Formal Sector includes commercial banks, SFIs, cooperative, credit unions, hire

purchase/leasing companies, and village funds

Deposits

Savings

29%

Lack access to

formal Channel2

Loans1

60%

Source :OECD Data, BOT, and TMB Analytics

14%24%

44%52%

80%

USA UK SouthKorea

Japan Thai

Other

Financial Assets

Cash and Deposit

Source : NSO, TMB Analytics, TMB Customer Experience & Insights and

Lightspeed Research (N = 1,000 (age 18-54 years) )

80%34%

RealityPerception

of survey populations

think they have

enough saving to

cover expenses for longer than 6 months

of Thai Households can

cover their expenses for less than 6 months

VS

2009 2011 2013 2015 2017

-14%107%93%

Debt Misallocation: Big on Personal & Auto Debts

90% 78%

9%7%4%4%

4%4%

HH debt decreased gradually by 14%, mostly from housing loan.

84%

8%4%4%

%Share

UK Trend of %HH Debt

2009 2011 2013 2015 2017

-17%98%

81%

67%51%

6%

5%

11%

12%

Trend of %HH DebtUS

76%

7%

17%

%Share

Deleveraging in housing loan

caused HH debt to drop by 16% in the past 6 years.

55%20%

17%

9%

%Share

MY

2009 2011 2013 2015 2017

+12%72%

84%

Trend of %HH Debt Rise of debt

mostly came from

mortgage (1st

home scheme) & unsecured lending

17%

21%

7%

15%

18%

5%

34% 39%

68%

2009 2011 2013 2015 2017

+4% 72%

Trend of %HH Debt

74%4%4%

19%

%Share

SGBooming property

market caused the soaring HH Debt

50% 52%

6% 5%2%

12%2%

10%

2009 2011 2013 2015 2017

+24%

58%

82%

Trend of %HH DebtDebt grew by +24%

from 2009 from

every categories

(1st home, 1st car

scheme, and unsecured loan)

31%

13%

13%

33%

21%

28%

Mortgage

Auto Loan

Credit Card & Personal Loan

Other loans

Note:

Source: CEIC, Fed, BOE, BNM, BOT, Department of Statistics Singapore, and TMB Analytics

%Share

TH

40%

25%

34%

1%

Total Number of Firms

99%2,989,378 Firms

WholesalesMedium

EnterprisesSmall

Enterprises

1%

15,301 Firms

0.03%

9,025 Firms

21%

Total Number of Employees

3 Million People

72%10 Million People

7%1 Million People

Only 20% of SMEs in

upcountry can

access to credit

from financial

institutions

Source: OSMEP, BOT, and TMB Analytics

Belief from the Top

Brand Conviction

Brand DNAGenuine

Challenge Status Quo

Committed to Quality

Customer Centricity

Simple & EasyAffordable InclusiveGenuine

Financial Literacy

Governance (Tone from the Top) – Brand Conviction – Brand DNA

We must take

sustainability

issues to our own hands

… and we must

be proud of

what we do

Thank You