Natural disasters pose increasing risks for banksListen to this articleNatural disasters are becoming more common, posing growing challenges to banking operations and requiring banks to incorporate them into their risk management approaches, according to the chief of the Thai Bankers' Association (TBA). Payong Srivanich, chairman of the TBA and president of Krungthai Bank, said natural disasters are a growing risk for financial institutions, requiring them to adopt more rigorous standards for risk assessment and management as environmental pressures intensify. In response to these challenges, the Bank of Thailand instructed commercial banks to conduct climate-related stress tests to ensure they are resilient to extreme weather events and other environmental risks. Banks have been conducting such stress tests since 2024 in line with the central bank's requirements, as well as rising risks both domestically and globally. "Banks are normally involved in assisting victims affected by natural disasters, providing both financial and non-financial support," said Mr Payong.

Source: Bangkok Post January 04, 2026 23:28 UTC