Ngern Tid Lor Public Company Limited (TIDLOR), a prominent player in the non-banking financial institution (NBFI) sector, has achieved a remarkable milestone by becoming the first entity in the financial realm to secure funding from the Asian Development Bank (ADB). This capital injection is earmarked to support Micro, Small, and Medium-sized Enterprises (MSMEs) located in rural Thailand, with a particular focus on those helmed by women and those embedded in the country’s agricultural value chain.
In a notable event, Mr. Piyasak Ukritnukun, the astute Managing Director of TIDLOR, and Ms. Suzanne Gaboury, ADB’s dedicated Director General for Private Sector Operations, came together to put pen to paper on this groundbreaking loan agreement. The accord locks in a hefty $150 million (around 5.5 billion baht) to be funneled into MSMEs led by women and agricultural entrepreneurs in Thailand’s bucolic locales. These segments frequently encounter immense challenges in securing the working capital they need, often finding formal financial avenues out of reach. TIDLOR’s mission aligns perfectly here, aiming to break down these barriers and deliver financial services to low-income and self-employed individuals who are typically sidelined by traditional banking systems.
There’s more to this collaboration than just financial backing. ADB is also rolling up its sleeves to provide technical assistance to usher in a Social Finance Framework (SFF). This framework is designed to bring clarity and transparency by unequivocally defining eligible social projects and setting forth rigorous reporting standards. TIDLOR is set to make history by being the first NBFI in Thailand to adopt and implement this trailblazing SFF.
Speaking on this transformative initiative, Ms. Suzanne Gaboury remarked, “MSMEs in rural Thailand grapple with significant obstacles in accessing traditional bank financing, often falling back on high-interest informal loans. ADB’s support via ‘Ngern Tid Lor’ will provide these entrepreneurs with reliable funding options, boosting their liquidity and spurring economic growth throughout Thailand. This endeavor is a critical step toward sustainable financial inclusion.”
Expressing his pride and commitment, Mr. Piyasak Ukritnukun shared, “Being the trailblazing financial institution in Thailand to receive social finance from ADB is an honor for Ngern Tid Lor Public Company Limited (TIDLOR). We deeply appreciate this invaluable support, and we are steadfast in our commitment to offer fair, responsible, and transparent financial services. Our goal is to ensure that MSMEs enjoy equitable access to suitable financing.”
ADB, a venerable multilateral development financing institution, remains steadfast in its mission to alleviate poverty across Asia and the Pacific. By providing loans and technical assistance for a diverse array of development activities, ADB seeks to elevate the quality of life for people in the region. Since its inception in 1966, with the invaluable support of the United Nations and 31 founding member countries, ADB has expanded to include 68 member countries as of 2024—49 from the region and 19 from other global areas. For a deeper dive into their initiatives, visit www.adb.org.
For investors and those keen on staying abreast of TIDLOR’s latest developments, updates can be accessed at www.tidlorinvestor.com.
This ADB loan is a game-changer for rural MSMEs in Thailand! Kudos to TIDLOR for spearheading this.
I agree! It’s about time these small businesses received the support they deserve.
Just hope the funds actually reach the intended beneficiaries and don’t get stuck in bureaucracy.
Good point, Shalini. The Social Finance Framework should help with that though.
Still skeptical about how much change this loan will actually bring.
Isn’t it a bit fishy that the first NBFI to get this loan has such close ties with larger financial institutions?
David, I see where you’re coming from, but this is necessary to leverage the NBFI’s existing structure for faster results.
Plus, TIDLOR has a solid track record in supporting low-income individuals.
True, but transparency is key. Let’s just keep a close watch.
Wow, I’m impressed by the focus on women-led businesses. That could make a huge difference!
Yeah, it’s great, but will it actually close the gender financing gap?
It’s a start. Much better than doing nothing!
Adding to CryptoGuy’s point, I’ve seen many programs like this promise much but deliver little.
The SFF will bring much-needed transparency. Excited to see this implemented.
Agreed. Transparent reporting will make it easier to track progress.
True, but how rigorous will these reporting standards really be?
Time will tell, but the involvement of ADB gives me hope they’ll be rigorous.
This comes across as yet another corporate PR stunt. What’s the real impact here?
Incredible news for Thailand’s rural economy. This is how you drive sustainable development.
Agreed! It’s so refreshing to see this kind of positive action.
I’m curious, how will this loan directly impact the agricultural sector?
Good question, Raj. Improving access to affordable financing can really help farmers invest in better equipment and techniques.
Exactly, and hopefully it will reduce reliance on predatory informal loans.
Plus, improved farming practices could have a ripple effect on the local economy.
It’s interesting to see financial institutions taking on such social responsibilities. This could set a precedent.
I wonder if similar loans will be rolled out in other countries too.
The combination of financial support and technical assistance is smart—great way to ensure sustainable growth.
I’m hopeful this will genuinely make a difference, but let’s remain cautiously optimistic.
What measures are in place to ensure that this funding is used efficiently?
The Social Finance Framework should help in maintaining stewardship and governance.
Hope so, Grace, but will it be enough to counter influence from powerful stakeholders?
How can small businesses apply for this funding? Any clear criteria shared?
Fantastic initiative! More countries should follow Thailand’s lead.