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7.2 Funding Sources for Social Enterprises in Thailand

Beyond donations and investments from foundations and large corporations, social enterprises

in Thailand also receive funding from the private sector through corporate social responsibility
(CSR) initiatives. This support is especially prominent among commercial banks and major
companies, which often contribute through donations or by sponsoring social initiatives as part
of their CSR activities. Some organizations go further by establishing their own foundations or
social enterprises under their CSR programs. For instance, Kasikornbank operates the
Kasikornbank Foundation, while PTT Public Company Limited (PTT) stands out as one of the
country’s most significant funding sources, given its position as one of Thailand’s highest-
earning corporations. In 2023, PTT allocated 1,018.79 million baht of its profits to social

activities (PTT, n.d.) 173 . The company’s policy dedicates between 1–3% of its annual profits to
CSR operations, with 1.56% specifically allocated to supporting initiatives in the form of social
enterprises. (Further details on CSR activities are presented in Chapter 9.) Other organizations
include:

The Government Savings Bank (GSB)

Positioning itself as a “social bank,” this institution offers loan programs tailored to support self-
employed individuals and small-scale entrepreneurs, particularly those operating online. The
goal is to improve liquidity and enhance access to financial services, without requiring collateral
or personal guarantors. Instead, loan guarantees of up to 100,000 baht per borrower are

provided by the Small Industry Credit Guarantee Corporation (SICGC), with a subsidized interest
rate of just 1%. It also offers specialized loan products for social enterprises, which may be used
for working capital, facility improvements, or equipment purchases. Financing options include
short-term loans (up to one year) with a fixed interest rate of 2.99% per annum for the first two
years, followed by the Minimum Loan Rate (MLR) from the third year onward. Long-term loans
are available for up to ten years, with no principal payments required in the first year. These
also carry a 2.99% interest rate for the first two years, then shift to MLR from year three. Loans

under 3 million baht may be backed by a combination of personal guarantors and SICGC
guarantees. For loans between 3 and 10 million baht, collateral is required. To qualify for these
programs, applicants must be members of the Social Enterprise Association of Thailand. In
addition to financing, the bank offers training and capacity-building programs across various
areas of enterprise management. As of now, approximately 16 social enterprises have benefited
from this support. However, several challenges remain: many applicants are unable to qualify

173 Financial Highlights, PTT Public Company Limited, n.d. Retrieved February 14, 2025, from
https://investor.pttplc.com/th/financial-information/financial-highlights/financial-highlight
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