Cambodia Weekly Financial News
Cambodia Weekly Financial News
2024-06-01View Times｜ 1110
Cambodia Weekly Financial News
May 27 ~ 31 , 2024
27 May 2024
Cambodia Stock Market Introduces Zero Commission on
ALL Stock Purchases During 2024 Dividend Season
CSX has announced that it will eliminate all commissions on all stock purchases for a one-month period, starting from May 27 to June 28, 2024. This initiative is designed to empower investors and increase market accessibility during the dividend distribution season. The normal brokerage fee for buy and selling Is around 0.5% of the total transaction amount. During this period, investors can purchase any stocks listed on the CSX without incurring any fees, provided they use brokerage firms that are members of the CSX. This zero-commission initiative coincides with the annual dividend distribution season when many stocks are paying out dividends, providing investors with the dual benefits of no transaction fees and potential dividend earnings.
Source : Cambodia Investment Review
27 May 2024
Life insurance renewals up over 70% in 2023
In an indicator that Cambodians seem to have more trust in the benefits of insurance, renewals drove the life insurance business in 2023 with more than 70 percent growth. Overall, the insurance industry saw negative growth (0.5 percent) in 2023 as its most important sales partner banks were going through turmoil with the real estate crisis in Cambodia. Banks saw loan growth hit it lowest in two decades of 4.8 percent to $57.6 billion in 2023; this in turn had a cascading effect on insurance sales – with total gross premium dropping 0.5 percent in 2023. This compares to a growth rate of 14.9 percent the previous year.
Source : Khmer times
28 May 2024
Chea Serey says sustainability bonds support Cambodia’s emission targets
The NBC Governor was invited to be a speaker on a panel on “Can Asian region achieve zero goal of greenhouse gas emissions?” The event saw the participation of many prominent Asian leaders, including Cambodian Deputy Prime Minister Sun Chanthol. According to a statement, the NBC Governor mentioned the Cambodian Government’s climate goals, the role of the NBC in facilitating sustainable financial flow and financial cooperation in the ASEAN region. In her speech, the Governor stressed the need for resources to strengthen Cambodia’s climate resilience and urged international support for vulnerable and low-emission countries to adapt to new climate environments.
Source : Khmer times
28 May 2024
Cambodia calls on entrepreneurs to use e-commerce platforms to meet global market
Nimul announced that Cambodia will launch a national pavilion on Alibaba.com in September, a platform with immense potential for showcasing Cambodian products to a global audience, on the sidelines of the 21st China-ASEAN (Association of Southeast Asian Nations) Expo.The minister highlighted that under the Regional Comprehensive Economic Partnership (RCEP) Agreement and the Cambodia-China Free Trade Agreement, Cambodia is able to export its products to fellow RCEP members and China with preferential tariffs. Cambodia exported products worth $8 billion U.S. dollars in the first four months of 2024, up 15.2 percent from $6.94 billion over the same period last year, according to the General Department of Customs and Excise’s report.
Source : Khmer Times
29 May 2024
Deputy Prime Minister Chian to Expand SEZs in the Kingdom to Boost Trade
Cambodia is requesting that China explore the possibility of establishing additional special economic zones (SEZs) and provide technical and vocational training to increase the Kingdom’s skilled workforce. The request was made by Deputy Prime Minister Sok Chenda Sophea during his first official visit to China in response to the invitation of Wang Yi, Minister of Foreign Affairs of the People’s Republic of China. As of 2023, there are 24 SEZs in Cambodia, with a capital investment of $8.1 billion. These zones provide companies with access to land, infrastructure, and services to facilitate the set-up and operation of businesses, according to CDC.
Source : Kiripost
29 May 2024
ADB Launches New Country Partnership for Cambodia
The Asian Development Bank ( ADB) has launched a new country partnership strategy for Cambodia, spanning the period 2024–2028. The new strategy, closely aligned with the first phase of the national Pentagonal Strategy for the same period, aims to strengthen pathways for a sustainable, inclusive, and resilient economy in Cambodia. The 5-year strategy focuses on working with the government and other partners to accelerate private-sector-led economic diversification, advance human development, and strengthen climate resilience. The comprehensive strategy also incorporates crosscutting priorities to address climate change, enhance governance and institutional capacity, improve gender equality, promote digitalization, and deepen regional cooperation and integration.
Source : Fresh news
29 May 2024
World Bank finds Cambodia shorts in PPP projects
Cambodia fares poorly compared to regional peers for public-private partnerships (PPPs), as per a recent World Bank report released in February 2024. The number and volume of PPPs in Cambodia are relatively low compared with benchmark countries, said the World Bank. For the period considered between 2017 and 2022, Cambodia had closed only 8 projects with a total investment cost of $1.34 billion. The World Bank said that Cambodia’s $1.34 billion with 8 projects, compared to Thailand – which has for the same period completed 19 projects at $9.53 billion, Philippines with 33 projects at $8.85 billion, and Vietnam with 65 projects at $23.73 billion.
Source : Khmer times
30 May 2024
China eyes establishing additional Special Economic Zones in Cambodia
China agreed to explore the possibility of expanding or establishing more special economic zones (SEZ) in Cambodia. It pledged to encourage Chinese companies to invest in the Kingdom and expand agricultural imports from Cambodia. To further expand economic relations and cooperation, Wang Yi welcomed Foreign Minister Sok Chenda Sophea’s proposals for the Chinese side to explore the possibility of expanding or establishing more new special economic zones in Cambodia and to provide technical and vocational training to increase more skilled workforce in the Kingdom as well as affirmed support for major infrastructure development projects in Cambodia, such as in transportation, logistics and irrigation system as well as the strategically important Funan Techo Integrated Water Management project considering China’s long experience in these sectors.
Source : Khmer times
30 May 2024
CCC, French businesses agree to boost investment cooperation
The Cambodia Chamber of Commerce (CCC) and the French Chamber of Commerce and Industry in Cambodia (CCIFC) have joined forces to strengthen investment cooperation between the two nations and unlock new opportunities for French businesses in Cambodia’s growing economy. The CCC’s expertise in the Cambodian business landscape will prove invaluable for French companies seeking to navigate regulations, identify potential partners, and understand market trends. The CCIFC’s extensive network within France can connect Cambodian businesses with potential investors and partners, facilitating a two-way flow of investment and knowledge.
Source : Khmer Times
31 May 2024
Hight NPL to Persist in 2024 as Banks Tighten Lending Amid Slow Economy
While liquidity is high, the Cambodian banking sector is extra cautious about loan approvals, coupled with low demand, which has resulted in one of the slowest credit growth in recent years. Non-performing loans have hit a seven-year high, with an upward trend anticipated before it moderates later this year. Slow economic recovery has impacted the banking sector, with credit growth decelerating in the first quarter of 2024 and non-performing loan (NPL) ratios of commercial banks and microfinance institutions (MFI) spiking. To be sure, an upward trend in NPL ratio was evident in the first quarter of 2024, reflected by a 6.03 percent 30-day past due ratio in retail trade, data by Credit Bureau of Cambodia (CBC) showed. The same with small business credit, which registered a 7.8 percent DPD +30 ratio, possibly due to the economic situation.
Source : Kiripost
31 May 2024
Cambodia, India to link payment systems by June
Cambodia’s central bank, the National Bank of Cambodia is set to launch a faster and more efficient cross-border payment system between Cambodia and India. The initiative will significantly expand Bakong’s reach, fostering economic activity between the two nations. NBC and India’s NPCI International Payments Limited signed a Memorandum of Understanding (MoU) in April last year to promote collaboration in cross-border payment and remittance between Cambodia and India. The objective of the MoU was to establish a collaborative framework that enables both parties to develop digital connectivity and interoperability to support cross-border payment and remittance between the two countries.
Source : Khmer Times
Lady Aegies Comment : To be continue...............
