UOB Kay Hian analyst Thanawat Thangchadakorn said Thai banks' Q3 loan growth may
be flat QoQ as lenders remain cautious and focus on corporate lending. Covered
banks' credit costs may fall YoY and QoQ; many banks booked special provisions
in Q1 to buffer risks from the Middle East conflict, and those pressures have
not shown up in H1 earnings. Expectations of Fed rate hikes could be positive
for major Thai banks. UOB Kay Hian retains an overweight on the Thai banking
sector.
