Page 85 - BAM ONE REPORT 2564 (ENGLISH VERSION)

Form 56-1 One Report 2021
Bangkok Commercial Asset Management Public Co., Ltd. 83

Risk of environmental, social and governance (ESG) impacts
The Company’s operation may create environmental, social and governance (ESG) impacts. For instance, the
emissions of pollutants or greenhouse gas from the use of electricity and vehicles or discharge of waste water create
impacts on the environment, society and community. The poor work environment and ventilation system may create
negative health impacts on employees and visiting customers. Moreover, the absence of good corporate governance
may give rise to corruption or seeking of personal or friends’ benefit in bad faith.

The Company attaches importance to good corporate governance by establishing Corporate Governance and
Risk Management Group, which reports directly to the Corporate Governance and Social Responsibility Committee and
the Risk Oversight Committee and has duties to oversee and ensure compliance with the rules, regulations, provisions
and requirements of the regulatory bodies and to encourage firm-wide risk management so as to create opportunities
and mitigate risks that will affect the Company’s profitability, competitiveness, image, reputation and sustainability.
Moreover, the Company has set up the Social Responsibility Working Committee to support activities relating to
education, assistance to the less fortunate, and other public benefit activities; the Safety, Occupational Health and
Workplace Environment Committee whose role and duties are to support the creation of a safe and healthy work
environment; and the Energy Management Working Committee to manage energy in accordance with the Company’s
energy conservation policy and energy management approach. These will help prevent and mitigate the said risk to
a certain level.

Risk associated with the COVID-19 pandemic
The Company is exposed to risk incurred from the global spread of COVID-19, which broke out in 2020 and has
still lingered on to 2021. The pandemic has dampened debt serviceability, which led to a decrease in interest income
for the portion already received by the Company. Some customers have sought to join the debt moratorium scheme
under the debtor assistance measures, while several customers have failed to pay either interest or principal and
negotiated for deferment of their installment payments. Thus, the Company may be unable to purchase debts by
auction from commercial banks since most of the debtors are still in the loan payment holiday period and banks still
need not classify them as NPL. The pandemic may accordingly have an adverse impact on the Company’s performance
in 2021. Nonetheless, the Company implements measures to minimize the effects and risks from this situation to a
certain extent by laying down assistance measures for NPL debtors and NPA customers. The measures include
(1) suspension of principal and interest payments; (2) suspension of principal and interest payments for three months
and, after that, payment of interest only; and (3) suspension of principal repayments (payment of interest only). Moreover,
the Company strictly follows the guidelines of the Department of Disease Control, Ministry of Public Health, to ensure
its employee caring measures are efficient and fit with the situation, and also instructs the employees to strictly observe
the measures for prevention of the spread of the virus to help enhance safety for the overall society. At the same
time, the Company has mapped out the BCP in the COVID-19 situation, entailing announcement of the practice guide
for employees in case there are persons found to contract COVID-19 within the office building, order for the tightening
of preventive measures in response to the new wave of COVID-19, announcement of the determination of percentage
of employees to work from home (WFH) and work in office (WIO), adoption of the daily health reporting system, policy
on employee grouping in the COVID-19 situation, implementation of measures for checking and screening of all employees