JMART-KB: Perfect Timing

The Bank of Thailand issued “Digital Personal Loan” regulations to help people with no financial statements or people who cannot verify their proof of income to better access financial services. Under the new rule, the loan offered to a borrower is not to exceed 20,000 baht, with the loan period of six months, coupled with an interest rate not over 25%.

Analysts assessed the bank stocks with customers mainly based on retail loans such as Tisco Financial Group Public Company Limited (TISCO), Kiatnakin Phatra Bank Public Company Limited (KKP), TMB Bank Public Company Limited (TMB), The Siam Commercial Bank Public Company Limited (SCB) and Krung Thai Bank Public Company Limited (KTB) will be benefit from this new digital personal loan regulations.

And it is a great timing for Jay Mart Public Company Limited (JMART) to penetrate the retail loans market after entered into a partnership with KB Kookmin Card Co., Ltd (KB) in South Korea through J Fintech Company Limited, a subsidiary of JMART.

KB is a Korean leading company of credit card issuing businesses and installment loan services, the business nature is similar to Krungthai Card Public Company Limited (KTC). 

KB plans to achieve a huge amount of profit from retail finance in Thailand from its investment in JMART.

KB will begin with the mobile loan offer as the Korean credit card loan provider has handed up with Samsung, resulting in customers who buy Samsung mobile from JMART will receive an exclusive offer. Moreover, KB is a sponsorship of worldwide boyband group BTS.

As a digital personal loan, JMART could take advantage of KB’s online financial service platform, due to easy access.   

At the same time, KB can minimize its business cost as JMART already has the customer bases provincially, therefore it could meet those retail loans.