Finance Ministry Orders GH Bank to Pump THB 150 Billion into Property Market

Deputy Prime Minister Pichai Chunhavajira has mandated the Government Housing Bank (GH Bank) to inject over 150 billion baht in new loans into Thailand's property sector during the second half of the year, aiming to stimulate economic growth and boost employment

 

In a move to revitalise the economy, Thailand's Deputy Prime Minister and Finance Minister Pichai Chunhavajira has instructed state financial institutions to pivot their strategies, prioritising economic stimulus over maximum profits.

 

Speaking after a policy meeting at GH Bank on Monday, Pichai specifically tasked the state-owned housing lender with injecting an additional 150 billion baht into the economy during the latter half of the year.

 

This significant financial boost is expected to have a cascading positive effect, driving job creation and fostering expansion across related industries, thereby bolstering the nation's overall economic health.

 

Kamonpop Veerapala, President of GH Bank, confirmed the target, stating that the bank aims to disburse the additional 150 billion baht in new loans by the end of 2025. 

 

This follows a robust performance in the first six months of the year, where GH Bank had already disbursed over 100 billion baht in new loans, putting it on track to meet its ambitious full-year target of 241.78 billion baht.
  

In direct response to the government's directive, GH Bank has rolled out four new measures designed to invigorate the property sector:

Premier Home Loan: Catering to high-net-worth clients, this loan offers financing from 7 million baht upwards, with an attractive first-year interest rate starting at just 1.79% per annum.

Repair & Decorate and Repair & Decorate Plus Loans: Aimed at homeowners looking to renovate, these loans provide up to 300,000 baht. The first THB 100,000 comes with a preferential interest rate of 1.00% per annum, with the subsequent 200,000 baht at 1.99% per annum.

Pre-Finance Premium Loan: Tailored for property developers operating in 27 high-potential provinces, this offers a first-year interest rate of 3.90% per annum.

Debtor Assistance Measure (DC3): A 30 billion baht scheme providing relief for "special mention" (SM) customers. Eligible borrowers will benefit from a 0% interest rate for the first six months and reduced monthly repayments of just  1,000 baht.
  

Beyond new lending, GH Bank continues its efforts to support customers facing financial difficulties, including those with non-performing loans (NPLs), through its "You Fight, We Help" programme. This initiative, aligned with policies from the Ministry of Finance and the Bank of Thailand, has seen over 80,939 accounts register for assistance.

 

Additionally, GH Bank has implemented further measures for SM and NPL customers who fall outside the "You Fight, We Help" criteria. 

 

These programmes have successfully helped over 373,000 accounts regain normal status and retain their homes, including 238,000 under the 2024 Household Debt Resolution Measures (HD1-HD3) and 135,000 under the 2025 Economic Impact Debtor Assistance Measures (DC1-DC2).

 

Kamonpop underscored that GH Bank, as a state-owned specialist financial institution, prioritises its mission to "enable Thais to own homes" over maximising profits. 

 

He noted the bank has already lowered its Minimum Retail Rate (MRR) to one of the lowest in the market and extended maximum loan tenures to 80-85 years to ease the financial burden on borrowers.

"GH Bank Financial School"

The bank is also advancing its project, offering low-income individuals or those without traditional income documentation a pathway to homeownership. 

 

By fostering a 12-month savings discipline via the "GHB ALL GEN" application, participants can build a track record to qualify for future housing loans. Over 50,000 individuals have already benefited from this initiative.

 

"GH Bank's operations, by injecting funds into the economy and resolving customer debt, not only reaffirm our position as the nation's leading housing loan provider but also align with our strategy to evolve into a Sustainable Bank in the future," Kamonpop concluded.

(2025/06/23-00:00)