Korean FDI ranks second in Cambodia, Ambassador Park says
Korean FDI ranks second in Cambodia, Ambassador Park says
Foreign direct investment (FDI) from the Republic of Korea ranks second in the Kingdom, where over 40 percent of its total capital went into banking and financial sectors, said Park Jung-Wook, South Korean Ambassador to Cambodia.
The information was shared during a discussion between Ambassador Park and Serey, Governor of the National Bank of Cambodia (NBC) in Phnom Penh on Wednesday. The talks were aimed at boosting investment relations between the two countries.
During the meeting, Ambassador Park appreciated the achievement of NBC in developing the financial sector and the digital payment system through the scanning of Quick-Response (QR) codes, emphasising the importance of attracting more Korean investors into the Kingdom’s banking industry for mutual benefits.
“Korea is the second largest foreign investor in the country, with over 40 percent of its total capital invested in the banking and financial sectors.”
The ambassador called for support and cooperation from related ministries and institutions especially in the fields of banking, finance and cyber security.
The NBC Governor thanked Korea and its people for providing technical assistance and training sessions that strengthened the effectiveness of NBC’s monetary policy.
Serey went on to underline the cooperation between the national bank and the Korea Deposit Insurance Corporation (KDIC) on deposit protection and solutions for the banking industry.
The NBC Governor and Ambassador Park agreed to further strengthen bilateral cooperation for the common benefit of citizens in both nations.
A day earlier, the Ambassador also paid a courtesy call on Prime Minister Hun Manet, commending the Royal Government of Cambodia (RGC) for its proactive measures to enhance the investment climate in the country.
During the discussion, Ambassador Park said that Korean investors are willing to invest in Cambodia after the Premier’s recent official trip to Seoul.
Mr Hun Manet appreciated the efforts of the Ambassador to strengthen and promote bilateral relations, stating that the two nations are continuously expanding the relationship which has been upgraded to a ‘strategic partnership’ this year.
Speaking to Khmer Times, Niraj Gupta, Director of Macro Computing Solutions Co Ltd said that one of the key issues facing the banking sector is the need to strengthen digital infrastructure and regulatory frameworks, particularly as the industry increasingly shifts towards digital financial services.
He said, “To address these challenges, it is crucial to invest in digital infrastructure that supports secure and efficient banking services across the country, including in underserved rural areas.
Additionally, promoting financial literacy and fostering public-private partnerships can play a significant role in driving the adoption of innovative financial solutions.”
“These efforts will help ensure that the banking sector remains resilient and capable of meeting the evolving needs of the economy,” Gupta added.
At Macro Solutions, we are committed to supporting initiatives that drive innovation and efficiency in the banking sector. “We believe that investment cooptation is essential for building resilient financial systems that can adapt to the rapidly evolving digital landscape. By focusing on these priorities, we can contribute to the creation of an inclusive and sustainable financial ecosystem that benefits all stakeholders,” Gupta said.
Currie Sun Min Lee, Esq., Head of the Korea Desk at Bun & Associates told Khmer Times that South Korea is an example of how it “successfully captured K-Pop’s proliferation into international markets to capitalise on its cultural influence in various sectors”.
Lee said, “Economic implications related to the exchange of culture, tourism and investment are substantial as they contribute significantly to a nation’s economic development.”
“It will be interesting to see whether and to what extent Cambodia and Korea can leverage this cultural exchange to collaborate on elevating inclusive and sustainable causes in the region’s economic recovery,” she added.
