The Thai Bond Market Association has emphasized that government policies to stimulate the economy are crucial to reduce the growing risks for high-yield bond issuers.
The Thai corporate bond market is entering a period of significant risk in the final quarter of the year, with a massive 218.77 billion baht in long-term private debt due to mature.
The Thai Bond Market Association (ThaiBMA) has raised serious concerns that the ongoing economic slowdown will force a spike in requests for debt extensions and possible defaults among high-risk issuers.
The total value of maturing corporate bonds in the fourth quarter of 2568 (2025) is up from the third quarter’s 195.26 billion baht, bringing the total for the year to 867.98 billion baht.
The primary concern is the High-Yield bond group — those rated below BBB- or unrated — which accounts for 24.38 billion baht, representing over 11% of the Q4 maturities.
According to ThaiBMA, this group is highly vulnerable to seeking payment postponements or outright default due to the lack of a clear economic recovery in Thailand.
The stagnant economy is causing liquidity problems for many companies, making it difficult for them to raise fresh capital to refinance their obligations.
Conversely, the vast majority of maturing debt, valued at 194.39 billion baht (89%), is held by Investment Grade companies (BBB- and above), where the risk of default remains relatively low.
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