OSK Indochina Bank Ltd (OSKIBL) opened the doors of its first Phnom Penh branch on Friday.

Cambodia's newest commercial bank, located at 263 Ang Duong street, is a wholly-owned subsidiary of OSK Holdings Berhad, a Malaysian financial services group.

Lor Yongchun, head of operations at OSK-IBL, said the bank will offer a full range of commercial banking services. The bank currently employs more than 30 people and hopes to open about ten more branches around Cambodia in the coming year, he said.

Despite the global credit crunch, Lor Yongchun is optimistic about the bank's future in Cambodia.

"I don't think it will affect business. We have strong assets and our capital is strong," he said.

The Cambodian subsidiary has a paid-up share capital of US$13 million for 13 million ordinary shares, according to a company announcement.

OSK received approval for the new branch from the central banks in Malaysia and Cambodia in April.