After SCB, KBANK and KTB had waived fees for money transfers and bill payments, BBL followed suit. This is in line with our earlier prediction that other banks would gradually exempt the fees.

In our view, the waiver will definitely reduce the banks’ revenue but the drop in the share prices is overdone as financial institutions have already seen their fee income drop since the launch of PromptPay. We estimate the sector’s revenue will decline by 4% if all the banks cancel the above fees.