The Cabinet on 8 September 2020 acknowledged the progress of the DR BIZ, or Debt Restructuring Business, Program, launched by the Bank of Thailand, together with the Thai Bankers’ Association, the Association of International Banks, and the Government Financial Institutions Association.
The program aims to provide a mechanism for multi-creditors businesses to lessen their debt burdens and support coordination among multiple creditors.
This mechanism will help expedite debt restructuring through common debt work out practice as mutually agreed by all creditors and assigning a lead creditor to coordinate with other creditors thereby providing a one-stop service.
Debtors eligible for the DR BIZ Program are businesses with good prospect and potential but face temporary economic impacts from COVID-19.
Creditors will have suitable tools and procedures to assist each debtor, in line with debtor’s ability to pay. Such tools include extending repayment period, lower installment payment, or adjusting repayment plan. Moreover, additional financing will be provided to borrowers with healthy prospect, solid business plans, good payment records, and a commitment to continuing their businesses.
The first phase of the DR BIZ Program focuses on debtors with total credit lines with all financial institutions in the range of 50 to 500 million baht and could subsequently be extended to other groups of debtors.
Interested persons may apply for this program from 1 September 2020 onwards. More information can be obtained at the Bank of Thailand’s website (www.bot.or.th).
Source: The Government Public Relations Department