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Krung Thai seeks US dollars for Basel boost 

March 3, 2014
Kit Yin Boey, IFR Asia

Krung Thai Bank has updated a US$2.5bn two-year old Euro MTN programme to clear the way for the lender to tap the overseas capital markets.

Plans are still in preliminary stages, according to a senior executive. Bankers, however, believe Krung Thai is looking to issue subordinated debt, which will make it the first Thai lender to do so under the Basel III framework.

“More Thai banks are exploring the offshore debt markets to raise bank capital,” said one Thai syndicate banker.

While prolonged political unrest will make offshore forays expensive for Thai lenders, Krung Thai’s move suggests they may have little choice.

Read more: IFR Asia

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