Investment Hightlights
Cambodia Weekly Financial News June 19~23, 2023
2023-06-24View Times｜ 1091
Cambodia Weekly Financial News
June 19~23, 2023
19 June 2023
Q1 public debt payments top $180M
The Cambodian government made debt service payments to the tune of $180.68 million in the first quarter (Q1) of 2023, down 3.4 per cent from the $187.03 million posted in the year-ago period, according to the Ministry of Economy and Finance. The equivalent of $180.58 million went toward the public external debt $139.98 million for principal and $40.60 million for interest and other fees while the remaining $0.10 million comprised solely of interest payments on public domestic debt, the finance ministry said in its latest Cambodia Public Debt Statistical Bulletin. For comparison, the government made debt service payments amounting to $464.22 million last year up 21.3 per cent on $382.78 million in 2021, all of which went toward the public external debt, according to an earlier bulletin.
Source : The Phnom Penh Post
19 June 2023
CCIA launched to promote investment opportunities
In a bid to promote business growth and investment opportunities in the country, six prominent chambers in the Kingdom have joined forces to form the Cambodia Confederation of Investors Association (CCIA). It is made up of six chambers of commerce, including the Cambodia Chinese Commerce Association (CCCA), Cambodia Footwear Association (CFA), Cambodia Travel Goods and Leather Association (CTLA), China Sichuan & Chongqing Chamber of Commerce in Cambodia (CYZSH), Malaysian Business Chamber of Cambodia (MBCC), and Singapore Club Cambodia (SCC). The association aims to promote the business development of investors and contribute to Cambodia’s economic growth. The new association also aims to bring together resources and expertise from different industries to provide better support and services to investors. At the ceremony, key members of CCIA gave speeches highlighting the organization’s mission and goals. They highlighted that the CCIA will support investors by facilitating communication and collaboration, providing information and resources, and offering training and consulting services.
Source : Khmer Time
19 June 2023
Wing Bank, MBCC and Khmer Times Join Forces to Raise Funds for a Landmine Free Cambodia
Wing Bank, together with Malaysian Business Chamber Cambodia (MBCC), and Khmer Times are signing an MoU to raise funds to help the Cambodian Mine Action and Victim Assistance Authority (CMAA) and the Royal Government towards their efforts to make Cambodia a landmine free nation by 2025. To bring this landmine-free campaign and awareness for this to the people of Cambodia, MBCC and Khmer Times, with the kind cooperation and facilitation of Wing Bank, through their thousands of Wing locations and branches nationwide, are inking an MoU to raise Funds from throughout the country in a simple yet affordable campaign with the Theme of 4,000 KHR to clear 5 square meters of land.
Source : Khmer Time
20 June 2023
Finance ministry developing draft digital policy, ‘will stimulate society’
The Ministry of Economy and Finance is currently developing a draft of a Cambodia Financial Technology Development Policy 2023-2028, and is in talks with several relevant institutions to add more inputs to it. The policy aims to stimulate the development of Cambodia’s digital economy and society, while also improving access to financial services. Finance minister Aun Pornmoniroth chaired a June 19 meeting of the Economic and Financial Policy Committee and Digital Economy and Business Committee to examine and discuss the draft. During the in-person and online meeting, Finance minister explained how the policy aims to develop financial technology on the grounds of improving financial inclusion, stabilizing the financial sector and promoting financial innovation to maximize the benefits of a digital transformation. Improved technology will provide opportunities for all actors to contribute and stimulate economic development and build a modern digital society, he said.
Source : The Phnom Penh Post
20 June 2023
South Korean QR code payment system rolled out in Cambodia
GLN International Inc, a subsidiary of South Korea’s KEB Hana Bank, and locally-owned ACLEDA Bank Plc have announced the roll-out of a cross-border QR (Quick Response) code payment system in Cambodia through the former’s flagship Global Loyalty Network (GLN). The Seoul-based firm bills GLN as “a global integrated platform that offers cross-border use of digital assets and benefits around the world”. The system “will enable the digital wallet users in GLN’s network from [South] Korea and all around the world to pay for goods and services in Cambodia through their domestic mobile wallets by presenting their QR codes to be scanned at POS [point-of-sale] terminals”, the two companies said in a joint press release dated June 20. Speaking at the launch, GLN International CEO Kim Kyung-ho stressed that the introduction of GLN’s services to the Kingdom “adds value to our current network”, which he said covers Hong Kong, Japan, Laos, Singapore, South Korea, Taiwan, Thailand, the US and Vietnam. “Enabling tourists visiting Cambodia to pay at merchants with their domestic wallets contributes to seamless travel experience, reduces cost of payment, and boosts digitalization of payments in Cambodia.
Source : The Phnom Penh Post
20 June 2023
Pornmoniroth puts Cambodia’s 2023 GDP forecast at 5.6%
Deputy Prime Minister and Minister of Economy and Finance (MEF) Aun Pornmoniroth on Thursday predicted 5.6 GDP percent growth for Cambodia in 2023. He also said Cambodia grew 5.3 percent last year. Addressing the 35th Joint Meeting of the UNWTO Commission for East Asia and the Pacific & the UNWTO Commission for South Asia (35th CAP & CSA) and WTO Conference on International Code for Protection of Tourists at Sokha Phnom Penh Hotel & Residence in the capital, he said that these latest figures of Cambodia’s economic growth are positive signs for the government on its ambitious roadmap commitments to achieve the long-term goals to become an upper-middle-income economy by 2030 and a high-income economy by 2050 even as the country has been affected by the complex global storms remains unshaken.
Source : Khmer Time
20 June 2023
Cambodia, Japan to sign $188 million loan agreements on road connectivity and water supply
Cambodia and Japan are going to sign loan agreements worth nearly JPY 26 billion (equivalent to over $188 million) on road connectivity and water supply in Phnom Penh on June 20, said a press release of the Ministry of Foreign Affairs and International Cooperation (MFAIC). Cambodian Deputy Prime Minister, Minister of MFAIC PRAK Sokhonn and Japanese Ambassador to Cambodia UENO Atsushi will co-sign the Exchange of Notes and accompanying documents on the loans, it said. Of the total amount, the source pointed out, almost JPY 23.7 billion (equivalent to approximately $173 million) will be used for the implementation of the Rural Road Connectivity Improvement Project; and the rest, more than JPY 2 billion (equivalent to approximately $15 million), for the implementation of the Siem Reap Water Supply Expansion Project (III).
Source : Khmer Time
21 June 2023
Cambodia’s trade turnover over $19.2 bn in Jan-May 2023; 14% YoY drop
Cambodia’s trade turnover with global partners topped $19.2 billion in the first five months this year, a 14 per cent year on year (YoY) decline, government statistics show. The country exported goods worth nearly $9.2 billion during the period down by 2.4 per cent YoY, while imports accounted for more than $10 billion a sharp fall of 22.6 per cent YoY. Cambodia’s total trade turnover with global partners topped $19.2 billion in the first five months this year, a 14 per cent year on year (YoY) decline, according to data from the ministry of economy and finance. The country exported goods worth nearly $9.2 billion during the period, down by 2.4 per cent YoY, while imports accounted for more than $10 billion, a sharp fall of 22.6 per cent YoY.
Source : Khmer Time
21 June 2023
Potential of renewable energy sources in Cambodia’s growing market
Cambodia, a rapidly developing Southeast Asian nation, has been experiencing significant economic growth in recent years. With a GDP growth rate of 7.1% in 2019, the country has been making strides in various sectors, including agriculture, manufacturing, and tourism. One of the most critical challenges Cambodia faces is the need to meet the increasing demand for energy to fuel its growth. As the country’s economy continues to expand, the demand for electricity is expected to rise, making it imperative for Cambodia to explore alternative energy sources to ensure a sustainable future. Cambodia’s growing energy market presents significant opportunities for the development and adoption of renewable energy sources. By diversifying its energy mix and embracing solar, wind, and biomass energy, the country can ensure a sustainable and secure energy future for its rapidly growing economy. With the support of international organizations and continued investment in renewable energy projects, Cambodia is well on its way to achieving its ambitious renewable energy targets and becoming a regional leader in clean energy.
Source : Khmer Time
21 June 2023
Bakong links eyed in Africa, LatAm
The National Bank of Cambodia (NBC) is looking into expanding its Bakong blockchain-based payment system’s operations to countries in Asia, Africa, Latin America and Europe to boost tourism, investment, trade and inbound remittances from overseas Cambodian workers as well as to encourage the use of the local currency. NBC deputy governor Chea Serey disclosed this at a seminar in western Kampong Thom province’s Stoung district last week that focused on financial literacy as well as the Cambodian real and Bakong system. The quasi-central bank digital currency (CBDC) was developed by Japanese blockchain company Soramitsu Co Ltd and launched on October 28, 2020. Serey revealed that the NBC has been working with Asian, African, Latin American and European nations to increase the scope of payment systems that are regarded as quick, secure and low-cost to promote cross-border economic activities. Cambodia has been linked with Thailand and Malaysia through Bakong, with connections to Vietnam, Laos, Myanmar, China and India still in the works, she said.
Source : The Phnom Penh Post
22 June 2023
Productive Capacities Index launched, Cambodia PCI score at 36.37
The United Nations Conference on Trade and Development (UNCTAD) launched a new generation Productive Capacities Index (PCI) to help countries make more accurate diagnostics and measurements of their economic performance. Cambodia’s PCI score is estimated at 36.7, while the country’s long GDP per capita is 3.21, UNCTAD said. The PCI measures countries’ abilities to produce goods and deliver services, which are critical for international trade and global production value chains. The PCI has helped several developing countries to assess their productive capacities and develop programmed to plug gaps. “Angola, Ethiopia, Kenya, Nigeria and Zambia have used the PCI to put in place data-driven and evidence-based policies. Cambodia, El Salvador, Malawi, Mongolia, Mozambique, Senegal and Zimbabwe are following suit with UNCTAD’s support,” the agency said.
Source : Khmer Time
22 June 2023
Labor Ministry, SCIA ink MoU on Vocational Training for Cambodia’s young people
The Ministry of Labor and Vocational Training and Singapore Cambodia International Academy (SCIA) have reached a Memorandum of Understanding to cooperate in carrying out the Royal Government of Cambodia’s policy on vocational training. The MoU was signed by Ith Samheng, Minister of Labor and Vocational Training, and Tan Wee Pin, Director of SCIA, at the ministry office in Phnom Penh on June 20. Samheng said that the Royal Government of Cambodia had instructed the Ministry of Labor and Vocational Training to prepare a vocational training plan for some 1.5 million young Cambodians from poor and vulnerable families so as to improve their living conditions. The Royal Government will bear the tuition costs and monthly stipends, the Minister underlined. Tan stated that the goal of this cooperation is to help further build the capacity of staff, workers, youth to meet the labor market needs in Cambodia.
Source : Khmer Time
23 June 2023
CSX set for Cellcard, MJQE listing week
The Cambodia Securities Exchange (CSX) is all set for the listing of Cellcard and Mengly J. Quach Education Plc. (MJQE) on its Main Board next week, giving a boost to the fledgling capital market sector in the Kingdom. While Cellcard will be listed on June 27, MJQE listing is scheduled for June 28, Kim Kyeonghack, Vice Chairman and Chief Operations Officer (COO) of CSX, told Khmer Times yesterday. With this, the number of stock-listed companies on CSX will go up to 11. Cellcard will be the 10th company to be listed on CSX and the eighth on its main board. MJQE will be the 11th company and also the 9th one joining the Main Board. They are joining PWSA, GTI, PPAP, PPSP, PAS, ABC and PEPC on the CSX Main Board. It is learnt that both companies have run successful Initial Public Offering (IPO) campaigns ahead of their listings on CSX.
Source : Khmer Time
