AMRO calls to safeguard banking trust, credit quality in Cambodia

AMRO calls to safeguard banking trust, credit quality in Cambodia

Watanabe says Cambodia has sustained a solid growth trajectory, supported by strong economic fundamentals, prudent macroeconomic management and timely policy interventions.

The ASEAN+3 Macroeconomic Research Office (AMRO) Tuesday stressed the importance of maintaining confidence in the banking system and credit quality to safeguard Cambodia’s growth amid global economic uncertainty.

Yasuto Watanabe, Director and Chief Executive Officer of AMRO, accompanied by Dong He, AMRO Chief Economist, led the delegation to pay a courtesy visit to Chea Serey, Governor of the National Bank of Cambodia (NBC), in Phnom Penh on April 28.

During the meeting, Yasuto highlighted Cambodia’s economic resilience amid geopolitical tensions and rising oil prices, noting that such external pressures continue to test developing economies across the region, particularly those heavily reliant on trade and energy imports.

He explained that while emerging challenges could dampen the growth outlook, Cambodia has sustained a solid growth trajectory, supported by strong economic fundamentals, prudent macroeconomic management and timely policy interventions.

The AMRO Director also stressed the importance of maintaining public confidence in the banking system, ensuring credit quality, and implementing targeted measures to safeguard stability, particularly as global financial conditions tighten and risks in external markets remain elevated.

Lauding AMRO’s insights and constructive assessment of Cambodia’s economic situation, the NBC Governor said that such perspectives are valuable in guiding policy decisions and strengthening economic resilience.

Serey outlined the Royal Government’s policies to develop the energy sector, emphasising sufficient supply and promoting clean energy to mitigate the impact of fluctuating global oil prices on the domestic economy.

She further highlighted Cambodia’s priority to expand credit access for small and medium-sized enterprises (SMEs), recognising their role as key drivers of economic growth, job creation, and resilience amid ongoing global uncertainties.

In a statement shared on her social media account, Serey expressed pleasure in meeting the AMRO team led by Watanabe, noting that their discussions covered Cambodia’s economic situation, growth potential and challenges ahead.

“AMRO’s mandate is to conduct macroeconomic surveillance, support regional financial arrangements, and provide technical assistance to its members,” she wrote, reflecting the organisation’s central role in promoting regional stability and economic resilience.

It may be recalled that on April 6, AMRO projected Cambodia’s economy to grow by 4.9 percent this year, accompanied by an inflation rate of 2.9 percent, outpacing the broader ASEAN average of 4.6 percent despite mounting global uncertainties.

The Kingdom’s growth is expected to accelerate further to 5.2 percent in 2027, with inflation easing to 2.5 percent, placing Cambodia among the stronger performers in the region and underscoring its relative economic resilience.

khmertimeskh