The Thai banking system is resilient, with strong levels of capital, loan loss provision, and liquidity to support economic recovery. Bank loans have grown 2.1% year-on-year, with a slowdown due to repayment from large corporates and government, transfer of consumer loan business, and loan portfolio management. Non-performing loans have declined, and net profit improved due to loan expansion and interest rate hikes. However, households remain vulnerable to elevated debt burdens, and businesses affected by rising costs should be monitored. Banks continue to support their debtors through debt restructuring.