NBC calls for higher standards in banking sector
NBC calls for higher standards in banking sector
The National Bank of Cambodia (NBC) on Wednesday urged branch managers of banking and microfinance institutions (MFIs) to prioritize accountability and professionalism to ensure the protection of customer interests.
The financial sector needs transparency for sustainable growth, said the NBC in a workshop organized by the Banking Association of Cambodia (ABC) and the Cambodian Microfinance Association (CMA).
Em Kamnan, Deputy Director General of Banking Supervision, NBC, highlighted the need for a heightened professional code of conduct within the banking sector.
As a branch manager or head of a financial institution, one must adhere to core governance principles of accountability, efficiency and sustainability, he said.
“These principles not only guarantee the success and reputation of banking and financial institutions, but also contribute to the development of the community and the banking sector as a whole,” Kamnan said.
The workshop, co-hosted by ABC and CMA, is aimed at increasing financial awareness among branch managers of banks and MFIs. The workshop’s stated aims include more ethical and professional banking to strengthen customer protection.
Apart from this, three more workshops will be held in the capital and provinces.
Participants at the workshop will be briefed on the evolution of the banking system, laws and regulations, code of conduct, credit rules, good governance principles and branch management practices, Kamnan said.
Toch Chao Chek, member of the ABC’s Board of Directors, said the two associations have so far implemented a code of conduct for the banking and financial sector, and a credit contract standard.
These measures would help customers as they have also devised a complaint mechanism system and launch of a grievance number/helpline.
“Both associations, along with other key stakeholders, have implemented a number of key initiatives. We want to be proactive in responding to challenges and support responsible and sustainable business practices,” Chao Chek said.
This is the third year that the Cambodian Microfinance Association has organized this regional workshop, said CMA Chairwoman Dith Nita.
“In 2024, our workshops focus on members from both associations, strengthening business ethics, promoting customer protection in line with the National Financial Inclusion Strategy 2019-2025,” she said.
The country currently has 59 commercial banks, nine specialized banks and 86 microfinance institutions with 2,614 headquarters and branches as well as 3,998 automated teller machines (ATMs).
