Kasikornbank
Kasikornbank, Thailand’s third-largest commercial bank by total assets, loans and deposits, is the judges’ clear choice as the winner following an impressive turn-around in profitability last year. Following a 20% decline in net profit and an ROE of 3.8% in 2001, the bank (formerly Thai Farmers Bank) recovered strongly last year, boosting net profit sixfold and raising ROE to 21.26%.
Thanks to cost-cutting and improvements in its technology, the bank’s cost-to-income ratio, a key measure of efficiency, dropped to 58% in the first quarter of 2003 from 85.1% at the end of 2001.
The bank’s expansion, both in and outside of Thailand, has been impressive. It operates a network of 529 branches, 15 foreign exchange offices and 15 international trade centres throughout Thailand. It also operates six branches and five representative offices, including in London, New York and Hong Kong.
“Kasikornbank emphasised transparency by earnestly putting concepts of good corporate governance into practice,” said Banthoon Lamsam, the bank’s chief executive. “The bank takes great pride in its knowledgeable and independent directors who constitute a majority of the board. More importantly, Kasikornbank values its highly professional and disciplined employees, the major driving force behind the organisation and the team that excels at leading the market with creative banking products and strategic programmes.”
