Bank of Thailand says phase 2 of green finance program targets Phuket hotels with about 35 billion baht approved

The Bank of Thailand said the second phase of its transition-finance program will focus on helping hotel businesses in Phuket adapt, with about 35 billion baht in credit already approved.

Governor Vitai Ratanakorn said at the "Capital With Purpose 2026: Unlocking ESG Value Through Green Finance" event that the central bank is using several tools to support the shift toward a low-carbon economy. These include a taxonomy to define green economic activities and financing aimed at helping businesses adjust during the transition.

He said 160 billion baht in loans has already been extended under the program, covering more than 700 debtors. The initiative is now in its second phase, with emphasis on the adaptation of Phuket's hotel sector. Around 35 billion baht has already been approved for that phase.

According to Vitai, the first phase focused on funding adjustments by businesses affected by the European Union's Carbon Border Adjustment Mechanism, or CBAM. He said sustainability has become a competitiveness issue rather than a distant environmental concern, warning that failure to adapt could severely affect exports.

The governor said long-term business survival depends on creating shared value across profit, society and the environment, adding that sustainability should be treated as a necessity rather than an option.