Cambodia’s banking financial institutions record 2.2 pct credit growth in first 10 months of 2024
Cambodia’s banking financial institutions record 2.2 pct credit growth in first 10 months of 2024
According to a news release from the National Bank of Cambodia (NBC) on Wednesday, Cambodia’s banking and financial institutions reported slow growth in lending during the first 10 months of 2024.
Outstanding loans increased by 2.2 percent year-on-year to $60.9 billion by October this year, the news release said. It added that the growth was primarily driven by the increase in lending to key sectors, including wholesale and retail trade, construction, real estate, agriculture, manufacturing, hotels, and restaurants.
“Credit serves as an important source of funds for consumers and enterprises, enabling them to expand their businesses and plays a vital role in supporting economic activities, creating jobs, and enhancing productivity,” the news release said.
NBC Governor Chea Serey said that the growth reflected the confidence of the public and investors in the kingdom’s banks and financial institutions.
“The NBC will continue to maintain price and financial stability, as well as to strengthen its role as a catalyst in supporting Cambodia’s sustainable and inclusive socio-economic development,” she said.
World Bank senior country economist Ly Sodeth said that credit growth had slowed in Cambodia due to “weak demand and a slump in the property sector”.
The Southeast Asian country currently has 59 commercial banks, nine specialised banks, 87 microfinance institutions, and 115 rural credit institutions, with about 21.3 million deposit accounts and 4 million credit accounts, according to NBC.
