Day: July 22, 2022

The Cambodia Microfinance Association (CMA) and the Social Performance Task Force (SPTF) have partnered on strengthening client protection in Cambodia’s financial services.

The two parties signed the agreement on July 22 at the Hyatt Regency in Phnom Penh along with senior management from the National Bank of Cambodia. Financial inclusion stakeholders from around the world joined the event virtually.

Increasing client protection is a priority under Cambodia’s National Financial Inclusion Strategy for long-term market sustainability, senior official at the National Bank of Cambodia said.

“Building trust on formal financial services remains crucial to increase financial inclusion in Cambodia and ensure the stability of the whole banking system while customer protection is the priority for all stakeholders,” said Mr. Kith Sovannarith, First Deputy Director General of Banking Supervision with the National Bank of Cambodia.

The new partnership, a first of its kind, will help chart a roadmap for responsible growth, financial stability and customer protection in Cambodia’s microfinance and broader financial sector, said Mr. Nitin Madan, the SPTF Director of Responsible Inclusive Finance Facility for Southeast Asia (RIFF-SEA).

“The CMA and its members can also apply for co-financing for implementing and strengthening capacity on responsible, inclusive finance practices of financial service providers in Southeast Asia,” Mr. Nitin Madan added.

The Cambodia Microfinance Association is a nonprofit sector association, with more than 120 member organisations, established to ensure that Cambodians receive formal financial services in a timely and sustainable manner.

The CMA works with microfinance institutions, banks, financial leasing institutions and rural credit institutions which also engages with regulators, national and international donors, creditors, investors and other stakeholders.

The recently adopted banking and financial sector Code of Conduct led by CMA promotes the adoption of international best practices in Cambodia to reiterate the commitment of financial institutions to clients and promote a healthy reputation of the sector.

“This partnership aims to strengthen responsible inclusive practices from a risk management perspective to promote responsible growth, enhance financial stability and increase consumer protection,” said CMA Chairman Mr. Sok Voeun.

Source: Agency Kampuchea Press

Import-export activities in Sihanoukville Special Economic Zone (SSEZ) rose nearly 40 percent to US$1.37 billion in the January-June 2022, the operator’s report showed this week.

“SSEZ has maintained stable development along with the effort by employees, which pushed up the import-export value by 38.23 percent year-on-year,” read the report.

In 2021, total trade in SSEZ was valued at US$2.23 billion, up 42 percent from US$1.56 billion a year earlier, according to data provided by the operator.

The special economic zone was set up by Hodo Group from Wuxi, Jiangsu province. The two provinces have identified Sihanoukville Special Economic Zone as a bridge and a platform for deepening exchanges in the fields of economy, trade, education, health and infrastructure which have achieved proud results and established close cooperation.

Sihanoukville Special Economic Zone has attracted over 170 enterprises and private institutions from China, Europe, the United States, Southeast Asia and other regions, creating about 30,000 jobs.

The SSEZ has also provided a lot of benefits and jobs to Sihanoukville, reduces migration and poverty, and also acts as a gateway for trade and comprehensive international trade cooperation in the region and the world.

Source: Agency Kampuchea Press

Cambodia’s exports have increased significantly in the first semester this year, reflecting Cambodia’s high production and supply capacity during the pandemic period.

Cambodia’s total exports were valued at US$11.37 billion in the first half of 2022, up 33.9 percent compared to the same period last year, according to a report from the General Department of Customs and Excise.

The U.S. is the country’s biggest market, stated the report, underlining that the amount of Cambodian exports to this world’s largest economic nation is 54 percent increase year-on-year, accounting for 51.8 percent of the total exports.

The exports to the U.S. market have increased although the export of travel goods has been made without the U.S.’ Generalized System of Preferences (GSP), said H.E. Penn Sovicheat, Under Secretary of State at the Ministry of Commerce.

“Cambodia’s exports to the U.S. market, although Cambodia has not yet received the renewed GSP status, have reached a high level, reflecting the production capacity and supply market of Cambodia,” he told a press conference organised here on July 21 by the Royal Government Spokesperson Unit.

Cambodia has exported travel goods to the U.S. under the GSP status, which was officially announced in 2016. The GSP, offered to the Least Developed Countries, was expired in December last year.

Other goods – textile, electronic components, and bicycles etc. – are exported to the U.S. under the “Most-Favoured-Nation”.

Source: Agency Kampuchea Press

Cambodia Airways has relaunched its commercial flight services between Sihanoukville of Cambodia and Bangkok of Thailand as well as the domestic flights between Phnom Penh capital and Sihanoukville of Preah Sihanouk province.

The resumption of the two routes after more than two years of interruption due to the COVID-19 pandemic will provide more travel options to Sihanoukville.

According to the airline, it will initially operate four flights per week including two international flights (Sihanoukville-Bangkok) and two domestic flights (Phnom Penh-Sihanoukville) every Monday and Saturday.

Source: Agency Kampuchea Press