Government Savings Bank (GSB) kicked off a low-interest loan programme yesterday for small and medium-sized enterprises (SMEs) to support working capital and business expansion, helping entrepreneurs cope with economic volatility.
According to Songpol Chevapanyaroj, president and chief executive of GSB, the bank is accelerating support for entrepreneurs to help them adjust amid economic uncertainty, aligning with government policy through a soft loan programme titled GSB Revitalising Thai Businesses.
The programme offers "GSB SMEs Recharge" and "GSB Maximum Support" loan packages, with interest rates starting at 2.99% per year for the first two years, and repayment periods of up to 10 years. The initiative aims to reduce cost burdens, improve liquidity, and strengthen the competitiveness of Thai businesses.
GSB SMEs Recharge loans are designed to enhance liquidity or refinance debt to reduce interest burdens for existing and new SME borrowers. Loan amounts are capped at 30 million baht per borrower.
The programme covers exporters affected by tariff measures, businesses facing price competition from imported goods, tourism-related businesses, businesses located in border dispute areas, customers affected by natural disasters, and customers impacted by conflict in the Middle East region, including related supply chains.
GSB Maximum Support loans are intended for business expansion, with maximum loan amounts of 100 million baht per SME borrower, up to 150 million baht per large business borrower. The loans are available for business expansion projects in three categories.
The first category is dubbed Reinvent Thailand, supporting strategic industries such as agriculture and agro-processing, tourism, automotive and auto parts, medical and healthcare industries, smart electronics, wholesale and retail businesses, as well as industrial supply chains and logistics. The goal is to better compete in global markets.
The second group is business transformation, which supports the transition to digital systems, the green economy, and future-oriented innovation.
The final category is tourism and Middle East support, which helps tourism and service businesses as well as other firms affected by the war in the Middle East, including related supply chains.
The Department of Industrial Works reported that in the first quarter of 2026, 139 new factories commenced operations, down 63.9% year-on-year, while 156 factories closed operations, up 11.4%. Factory closures exceeded new factory openings for the first time in 10 quarters, since the fourth quarter of 2023.
In addition, 106 factories expanded operations, up 82.8% year-on-year, consistent with investment value of 153 billion baht, rising from 8.5 billion baht year-on-year. Although the number of new factories declined, those expanding operations increased significantly, particularly among large and medium-sized plants.
