Micro-finance

Cambodia’s microfinance sector is continuing to grow at a rapid pace, with loan disbursements in the first six months of this year increasing almost 50 percent on last year, according to an industry association. ...

The governor of the National Bank of Cambodia hit out at unlicensed microfinance institutions or lenders, who he said were the reason why interest rates in the sector were high, despite interest rates falling among registered lenders. ...

Three Thai banks – Siam Commercial Bank (SCB), TMB Bank (TMB) and Kiatnakin Bank (KKB) – together with Netherlands-based ING Bank have offered a syndicated loan of US$65 million (Bt2.2 billion) to PRASAC Microfinance Institution, the biggest microfinance provider in Cambodia. ...

At least $1 billion in surplus liquidity is sitting idle in Cambodia’s banking system and could be unlocked if the central bank implemented a more effective interbank lending mechanism, experts say. ...