Logo of Phnom Penh Post newspaper Phnom Penh Post - ABA posts robust income growth

ABA posts robust income growth

Content image - Phnom Penh Post
ABA said total interest and comprehensive income reached 443.938 and 195.248 billion riel ($109 and $48 million) in the second quarter of 2021, respectively, surging by 29 and 42 per cent year-on-year. Heng Chivoan

ABA posts robust income growth

Local corporate bond-listed Advanced Bank of Asia Ltd (ABA) reported strong growth in business performance in the second quarter of this year, despite economic disruptions owing to the February 20 community outbreak of the novel coronavirus.

In a second quarter financial report filed to the Cambodia Securities Exchange (CSX) on August 18, ABA said total interest and comprehensive income reached 443.938 and 195.248 billion riel ($109 and $48 million) in the quarter, respectively, surging by 29 and 42 per cent year-on-year. Net profit “continued to rise steadily” over the period.

The bank booked $93 million in total comprehensive income over the January-June period.

Chairman Yves Jacquot said in the report that the pandemic situation in Cambodia worsened in the second quarter of the year as the so-called “February 20 community outbreak” led to an outburst of coronavirus infection cases.

“At a certain point, the event resulted in a lockdown of the Phnom Penh and Takhmao areas for three weeks, which seriously affected the overall business environment. These factors continued to impact local businesses, especially in the hospitality, tourism, garment and construction sectors,” he said.

Jacquot said ABA restructured loans worth $704 million for 13,806 accounts, accounting for 16 per cent of the total portfolio. He described the restructured loans as “high quality”, noting that more than 75 per cent carry a grace period on principal only.

“ABA will continue helping its borrowers to overcome the time of hardship through its Loan Restructuring Policy. In addition to restructuring, the bank continued distributing new loans to its customers as the access to capital is vital for people and businesses not only in the growing economy but also in times of crisis,” he said.

He added that 7,828 loans worth $271.2 million were disbursed over April-June, increasing the bank’s gross loan portfolio by six per cent to $4.5 billion.

ABA remains a partner in the SME Co-Financing Scheme 2020 (SCFS), a government initiative to provide affordable loans to small- and medium-sized enterprises.

Under the SCFS, the bank disbursed loans worth $2.3 million for capital expenditure and working capital with a special annual interest rate of seven per cent and a term of up to seven years.

As of June 30, its deposit portfolio stood at $5.5 billion in the second quarter of 2021, representing six per cent growth against the first quarter.

ABA was the first Cambodian commercial bank to issue corporate bonds, listing 84.8 billion riel-worth, and continues to take a prominent role in developing the securities market and promoting the local currency.


  • No payment required for travellers taking rapid Covid tests on arrival

    Ministry of Health officials said there would be no payment required for the rapid Covid-19 tests given to travellers who arrive in Cambodia from November 15 onwards after the quarantine requirement is lifted for fully vaccinated people. Health ministry spokeswoman Or Vandine told The Post on

  • General’s gun smuggling ring busted

    The Military Police sent six military officers to court on November 22 to face prosecution for possession of 105 illegal rifles and arms smuggling, while investigators say they are still hunting down additional accomplices. Sao Sokha, deputy commander of the Royal Cambodian Armed Forces and commander of

  • More Cambodians studying in US

    The number of Cambodian students studying at US colleges and universities in 2020-21 increased by 14.3 per cent over the previous year despite the Covid-19 pandemic, according to a recent US government report. The 2021 Open Doors report on International Educational Exchange showed that 848 Cambodian students studied

  • Prince Norodom Ranariddh passes away at 77

    Prince Norodom Ranariddh, the second son of the late King Father Norodom Sihanouk and former First Prime Minister of Cambodia, has passed away in France at the age of 77. “Samdech Krom Preah Norodom Ranariddh has passed away this morning in France just after 9am Paris-time,”

  • Cambodia, Thailand to discuss border reopening

    Cambodian authorities from provinces along the Cambodia-Thailand border will meet with Thai counterparts to discuss reopening border checkpoints to facilitate travel, transfer of products and cross-border trade between the two countries. Banteay Meanchey provincial deputy governor Ly Sary said on November 22 that the provincial administration

  • Police arrest Canadian with 167kg of drugs

    The Phnom Penh Municipal Court on November 15 placed a Canadian national in pre-trial detention in connection with smuggling and possessing 167kg of illegal drugs. Deputy National Police chief in charge of anti-drug enforcement Mak Chito told The Post on November 15 that the man was arrested