Central The 1 credit card, a co-branded card of Bank of Ayudhya (Krungsri) and Central Group, is aiming for double-digit growth across the board this year thanks to increased consumer spending in the upper income segment.

The card, operated by General Card Services Co under Krungsri Consumer, raised its 2022 business targets after posting higher-than-expected growth for the first quarter of this year, said Atis Ruchirawat, general manager of General Card Services and chairman. of the Credit Card Club under the Thai Bankers Association.

The company forecasts 81,200 new card acquisitions, a 52% year-on-year growth and total spending of 88.2 billion baht, a gain of 16%. It estimates new personal loans via the card at 1.9 billion baht, up 13%, while total outstanding loans are expected to be 25 billion baht, up 10%.

In the first quarter, Central The 1 added 19,500 cards, recording 21% year-on-year growth, while card spending was 2.1 billion baht, a 17% growth. New registered personal loans amounted to 500 million baht, a year-on-year growth of 16%.

Mr. Atis said the overall credit card business, particularly for co-branded cards focused on the higher income segment, showed signs of recovery from last year and the positive growth continued. continued this year.

The upper income segment has not been significantly affected by the spread of the Omicron variant, while purchasing power in this segment remains strong, he said.

Central Credit Card 1 covers both the mass market, whose average spending is 15,000 baht per card per month, and the upper income segment with spending levels ranging from 45,000 baht to 300,000 baht .

The upper income segment contributes on average about 35-40% of total spend, while representing less than 10% of the total customer base.

With a quality clientele, the doubtful outstandings of Central The 1 credit cards stood at around 2%, stable since last year. Although the credit card industry and controllable asset quality are improving, the company will maintain its current credit card approval criteria to maintain asset quality, Atis said.

“We will maintain strict criteria on the approval of new loans and continue to monitor the market, despite the market rebound,” he said. “The company has relaxed certain debt payment terms for credit card loans in line with the central bank’s requirement to help customers cope with the impact of Covid-19.”