Amid credit expansion, Riel loans minimal
Cambodia’s credit sector is expanding rapidly with the central bank saying now is the time to start infusing the market with riel and begin a process of de-dollarization in the country’s economy. But as the growth of dollarized loans outstrips those in riel, disbursing credit in the local currency will require a big rethink from both lenders, borrowers and the national bank, experts said this week. At a conference earlier this month, the National Bank’s director of economic research said that more credit in riel would start to reduce the market’s dependence on the U.S. dollar. But the use of riel remains stagnant, and only a fraction of loans being disbursed are in the local currency. …
George Styllis and Kang Sothear
http://www.cambodiadaily.com/business/amid-credit-expansion-riel-loans-minimal-66610/
