Bangkok: GSB unlocks NPLs for retail loans under state projects during COVID, starting with 200,000 accounts in the first phase immediately, and gradually implementing another 300,000 accounts by the end of 2025, for a total of over 1.3 million debtor accounts.

According to Thai News Agency, Mr. Vitai Ratanakorn, President of the Government Savings Bank, revealed that the cabinet meeting on July 1, 2025, approved measures to resolve retail debts under the government’s project to assist people during the COVID-19 pandemic. This initiative aims to help unsecured retail loan debtors with non-performing loans (NPLs) totaling more than 500,000 accounts to escape from the history of non-performing loans.

The bank will take immediate action to ensure debtors will have the opportunity to access credit more quickly when necessary. The initiative will be implemented in two phases: Phase 1 involves closing debt accounts, writing off bad debts, and not pursuing debts of NPL debtors, totaling more than 200,000 accounts under the government policy loan project that has received compensatory budget support. Phase 2 will gradually close debt accounts of NPL debtors in the COVID-19 relief loan project, encompassing more than 300,000 accounts, to be completed by the end of 2025.

The Government Savings Bank has consistently implemented debt relief measures, assisting over 1.3 million debtor accounts during the COVID-19 pandemic, totaling more than 11 billion baht in debt relief. The bank is committed to resolving retail debt problems and aiding vulnerable groups to sustain their economic status and progress. The focus remains on taking decisive action to prevent debtors from losing financial discipline while ensuring they maintain access to credit sources within the financial institution system in the future.