Farmers taking out loans through agricultural credit cards have pushed the amount of credit loans well beyond the target of 7 billion baht.

Executive Vice President of Bank for Agriculture and Agricultural Cooperatives (BAAC) Chaiwat Pokpong revealed that the bank's overall credit loan from April 2013 until now had a higher-than-expected increase of 10%, or approximately 7 billion baht.

Most of the credit loans are from farmers, which constitute approximately 20 billion baht. Moreover, the bank has increased the credit allowance of 60% to 70%.

Mr. Chaiwat went on to say that the BAAC had not lowered its interest rates despite the Bank of Thailand's Monetary Policy Committee's (MPC) resolution to reduce the policy rate by 0.25% - the reason being the BAAC has more expenditures on debt collectors than other commercial banks.

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