Page 57 - Annual Report 2552

In addition, at the end of September 2009, long term borrowing worth 711 million Baht was repaid. As a

result, outstanding debt was reduced by 6,794.73 million Baht.
Moreover, Bank of Thailand repaid 2 series of matured FIDF3 bonds instead of rollover as

planned. As a result, outstanding debt was reduced by 944.99 million Baht.
2) State Own Enterprise Debt

State Own Enterprises rollover 51,534.69 million Baht of debt, which is lower than the rollover
plan for matured debt of 61,662.69 million Baht. As a result, outstanding debt was reduced by 10,128 million Baht.

3. External Debt Management
In FY 2009 the activities of external debt management are as follows;

New Borrowings: PDMO and State Railway of Thailand together considered a financing scheme
for the Bangsue-Rangsit Mass Transit System (Red line) Project, to which the Finance Ministry consented

a foreign loan and later signed a project loan agreement with the Government of Japan through Japan
International Cooperation Agency (JICA) for the amount of 63,018 million Yen (equivalent to 23,134.41

million Baht).
Debt Management: PDMO made prepayments of 6 Asian Development Bank (ADB) loans which

reduced total debt by 1,459.70 million baht and interest payments by 74.42 million Baht.
Implementing a strategic plan with risk indicators

As part of the Pro-active management strategy, in FY 2008 PDMO developed Risk model II
to enable more insightful analysis of the cost and risks involved in portfolio management. Moreover,

the model also allows us to closely monitor changes of the portfolio as market conditions vary through
‘Warning Indicators’. These indicators are representations of 3 key risks in debt management. They are;

(1) Foreign Exchange Rate Risk, represented by the ratio of domestic and external debt (Domestic :
External), (2) Interest Rate Risk, represented by the ratio of fixed and floating debt (Fixed : Floating) or

Average Time to Refixing (ATR), and lastly (3) Rollover or refinancing risk, represented by Average Time
to Maturity (ATM). Through portfolio benchmarks, these indicators have been used to guide portfolio

management policies and therefore, have proven to be an important development in the analysis of cost
and risk. In the future, PDMO will continue to enhance risk model features in order for it to be an integral

part of cost and risk analysis to provide further support to risk management and proactive management
operations.

56 รายงานประจำาปี 2552 ANNUAL REPORT 2009