Siam Commercial Bank

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Siam Commercial Bank
Public
Traded as SETSCB
Industry Banking
Insurance
Leasing
Real estate
Founded October 4, 1904 (1904-10-04) (unofficial)
January 30, 1907 (1907-01-30) (official)
Founder Prince Jayanta Mongkol
King Rama V
Headquarters Chatuchak, Bangkok, Thailand
Revenue Increase ฿165.83 billion (2014) [1]
Increase ฿53.33 billion (2014)[1]
Total assets Increase ฿2,699.70 billion (2014)[1]
Total equity Increase ฿285.33 billion (2014)[1]
Owner Crown Property Bureau
Thai Ministry of Finance
Subsidiaries SCB Asset Management
SCB Securities
SCB Life Assurance
Cambodia Commercial Bank
Vinasiam Bank
Website www.scb.co.th

Siam Commercial Bank (Thai: ธนาคารไทยพาณิชย์) is the first bank of Thailand, informally established in 1904 as Book Club, and today it is a universal banking group in Thailand with Doctor Vichit as the Chairman of the executive committee. According to the Bank of Thailand, it is Thailand's fourth largest commercial bank in terms of total assets, deposits, and loans.[2]

History[edit]

Established by Royal Charter in 1907, Siam Commercial Bank PCL (SCB) was Thailand's first bank. At the time of its establishment, the only banks in the country (then known as Siam) were branch offices of foreign banks. SCB currently provides a comprehensive range of financial products and services through its branch, exchange booth, ATM network, and Business Relationship Centers (BRC) nationwide.

Market Capitalization and Asset Data

At the end of December 2014, SCB's market capitalization stood at 618 billion baht, the highest among Thailand's financial institutions, with total assets around 2.7 trillion baht.[3] SCB's branch, foreign exchange kiosks, and ATM networks totaled 1,173, 108, and 9,142 units respectively, the highest in the banking sector.[4]

History

Garuda at a branch in Khon Kaen, signifying the royal warrant given by the King of Thailand

SCB was founded as the “Book Club” on October 4, 1904 by HRH the Prince Mahisara Rajaharudaya, a brother of King Chulalongkorn (Rama V), who was convinced that the time was ripe for Siam to have its own banking system to help foster the country’s economic development, rather than rely solely on the efforts of foreign banks operating branches in the country. The name “Book Club” was chosen in an effort to keep the project sub rosa as it was something of an experiment. After the success of the “Book Club”, King Chulalongkorn granted royal approval for it to officially operate as a commercial bank under the name “The Siam Commercial Bank” on January 30, 1907.

SCB opened its headquarters in Bangkok's Talat Noi District in 1910. In 1911, it was granted approval to display the royal Garuda symbol as a royal warrant by King Vajiravudh (Rama VI).[5]

Some significant developments:

  • 1912: SCB opened its first branch in the Ratchawong pier area of Sampeng District.
  • 1920: SCB opened its first regional branch in Thung Song District, Nakhon Si Thammarat province.
  • 1927–1930: SCB established its first branches in the Northern Region in Chiang Mai and Lampang.
  • 27 Jan 1939: SCB changed its name to “Siam Commercial Bank” in English, and “Thanakarn Thai Panich” in Thai.
  • 1971: SCB’s head office moved from Talad Noi District to Petchburi Road to support the growth of its operations.
  • 1983: SCB introduced Thailand’s first ATM service[6] and established the Thai Bank Museum
  • 19 Feb 1993: SCB registered as a public company and was henceforth known as “Siam Commercial Bank Public Company Limited”.
  • 29 Jan 1996: SCB moved its headquarters to SCB Park Plaza on Ratchadaphisek Road in the Jatujak District of Bangkok and recorded assets of over 500 billion baht.
  • 30 Jan 2007: the Bank celebrated its 100th anniversary; HRH Princess Maha Chakri Sirindhorn presided over the celebrations at SCB headquarters.

Services[edit]

SCB exchange booth at Suvarnabhumi Airport, Bangkok

The Bank provides financial products and services through SCB core business groups:

  • The Retail Banking Group provides home loans, personal credit, car hire purchase, credit cards, ATM cards, debit cards, currency exchange facilities, and overseas remittance, as well as investment and bank assurance.
  • The Corporate Banking Group offers loans and consultancy and advisory services to organizations.
  • The Business Banking Group delivers financial products and services to businesses in the small-to-medium enterprise (SME) sector through Business Relationship Centers (BRCs) nationwide, providing banking advice and managing customer financial needs.
  • Global Transaction Services provides financial transaction products for larger corporations and SME customers. Its products include business cash management, trade finance, and corporate trust.
  • The Special Assets Group manages the bulk of the Bank’s portfolio of non-performing loans (NPLs) and non-performing assets (NPAs).
  • The Treasury Group offers a range of treasury products covering liquidity, interest rates, and exchange rate instruments.

Ratings[edit]

On June 17, 2015, Fitch Ratings assigned Siam Commercial Bank Public Company Limited a National Short-Term Rating of 'F1+(tha)'.[7]

Siam Commercial Bank is rated C- by Moody's.[8]

The bank is rated A2 by S&P.[9]

Board of directors[edit]

  • Mr Anand Panyarachun, Chairman of the Board
  • Dr Vichit Suraphongchai, Chairman of the Executive Committee
  • Mr Arthid Nanthawithaya, President and CEO[10]

References[edit]

External links[edit]