A vendor sells vegetables from his cart, serving communities in and around Bangkok's Silom area. According to the Bank of Thailand, Thailand's household debt stood at 86.7% of GDP in the fourth quarter of 2025, compared with 88% of GDP in the same period of 2024. (Photo: Apichart Jinakul)
Private asset management companies (AMCs) are offering greater flexibility and more lenient debt restructuring terms, making it easier for borrowers to exit the non-performing loan (NPL) cycle.Restructuring on the rise
Amid Thailand's persistently high household debt, AMCs are increasingly focusing on debt restructuring rather than asset foreclosure, resulting in a larger share of revenue being generated from NPL collection instead of non-performing assets (NPAs), said Rak Vorrakitpokatorn, chief executive of Bangkok Commercial Asset Management (BAM).
According to the Bank of Thailand, Thailand's household debt stood at 16.44 trillion baht, equivalent to 86.7% of GDP, in the fourth quarter of 2025, compared with 16.43 trillion baht, or 88% of GDP, in the same period of 2024.
BAM, the country's largest AMC, manages NPLs and NPAs worth 558.6 billion baht. The company offers borrowers more flexible conditions through various restructuring tools, including debt haircuts that help NPL borrowers complete their restructuring plans.
