Phnom Penh (FN), Dec. 20 – Cambodian Prime Minister Hun Manet shared six recommendations to further ensure the stability and robustness of financial and banking sectors, as well as enhance the role of banks in economic activity, speaking on Wednesday morning (Dec. 20) at the official inauguration of Wing Bank headquarters.

The six recommendations are as follows:

1. All banks should examine the possibility of broadening their services to improve the financial inclusiveness in Cambodia to contribute to reducing poverty, reducing economic inequality, and promoting sustainable economic growth.

2. Encouraging Wing Bank and other local banks to consider providing more loans to small and medium enterprises (SMEs) to alleviate financial pressures and stabilise Cambodia's economic activity.

3. Encouraging all banks to expand credit and increase the loan portfolio to the agricultural sector, especially loans for rice and green loans to increase the export of Cambodian luxury rice to international markets, promote sustainability and contribute to strengthening food security, as well as contribute to the priority programs of the Royal Government, especially the coordination mechanism and financing program aimed at boosting production, marketing and maintaining the balance of prices of key agricultural products at a reasonable level.

4. Encouraging banking and financial institutions to reorganize tourism loans in Siem Reap for customers who experience temporary financial difficulties without needing a 12-month provision, which was announced in the 19th Government-Private Sector Forum on 13 November 2023.

5. The Small and Medium Enterprise Bank of Cambodia must set up a direct loan program for tour operators in Siem Reap with reasonable interest rates and other favourable terms to allow our tour operators to access financing in the appropriate amount according to the type of business.

6. The National Bank of Cambodia should find appropriate ways to mitigate some of the prudent provisions necessary to enable banking and financial institutions to continue to play an increasingly important role in supporting private companies.
=FRESH NEWS