Logo of Phnom Penh Post newspaper Phnom Penh Post - Central bank, CMA roll out local-level ‘safe finance’ plan

Central bank, CMA roll out local-level ‘safe finance’ plan

Content image - Phnom Penh Post
Rath Sovannorak, NBC assistant governor and director-general of banking supervision. NBC

Central bank, CMA roll out local-level ‘safe finance’ plan

The Kingdom’s central bank and the Cambodia Microfinance Association (CMA) have jointly launched a project aimed at promoting financial literacy, consumer empowerment and consumer protections at the community level.

According to a February 27 press release from the CMA, the primary objective of the project – “Strengthening Safe Finance in Communities” – is to enhance the safe and secure use of formal financial services and increase access to these services. The project is in alignment with the government’s “safe village-commune” policy and aims to discourage the use of the informal – and typically illegal – traditional alternatives to those services.

The project will be piloted in Kampong Thom, Kampong Speu, Svay Rieng, and Battambang provinces in 2023 and expanded in the following years.

The press release said the project design is based on various research studies conducted in 2022 by Japan International Cooperation Agency (JICA) and the CMA, with support from the NGOs Cerise+SPTF and ADA.

The studies included a consultative workshop with local authorities and all had similar findings on the importance of financial literacy leading to financial inclusion at the grassroots level.

“The findings of the research reflect on the important role of citizens and local authorities in helping to promote and mainstream financial literacy for access to formal and safe financial services to improve their livelihood,” the CMA statement said. “The project’s implementation calls for the active participation and support from the National Bank of Cambodia [NBC], CMA, state agencies, authorities, local and international NGOs, development partners and key stakeholders.”

Rath Sovannorak, assistant governor and director-general of banking supervision at the NBC, said: “Public confidence in the formal financial sector is crucial, so the NBC and stakeholders have been putting great efforts into strengthening financial literacy and consumer protection to maintain the stability of the whole banking system and increase financial inclusion in Cambodia.”

The project steering committee, chaired by the NBC and co-chaired by the CMA, will oversee the project’s implementation and ensure its alignment with the National Strategy on Financial Inclusion 2019-2025 and the Financial Sector Development Strategy 2016-2025.

“The project’s implementation requires close coordination and collaboration among stakeholders, including citizens and local authorities. We will work together to ensure an effective implementation of the project. We are confident that it will contribute significantly to enhancing financial literacy, consumer empowerment and protection in Cambodia,” CMA chairman Sok Voeun said.

The project’s successful implementation will improve access to formal financial services, contribute to poverty reduction and enhance economic growth and development in the country, according to the press release.


  • Five-year-old Hanuman dances his way into hearts of Cambodia

    A young talent from a new-established settlement has emerged, captivating the online world with his mesmerising performances of the traditional Cambodian monkey dance. Roeun Kakada is a five-year-old prodigy who has taken the social media sphere by storm with his exceptional dance skills and dedication

  • Fresh Covid warnings as Thai hospital fills

    A senior health official reminds the public to remain vigilant, as neighbouring countries experience an increase in Covid-19 cases, with the latest surge appearing to be a result of the Omicron XBB.1.5 sub-variant. Or Vandine, secretary of state and spokeswoman for the Ministry of Health,

  • Honda shutters Siem Reap football club

    Japanese football legend Keisuke Honda, the owner of Siem Reap football club Soltilo Angkor FC, has been forced to shut the club down, after it failed to attract sponsorship for the upcoming season. Honda, the former manager of the Cambodia men's national football team, said

  • Hun Sen warns of regional tensions

    ASIA is becoming a dangerous geopolitical hotspot, with several countries announcing that they intend to send naval vessels towards Southeast Asia and on to the South China Sea, warned Prime Minister Hun Sen. “Heated geopolitical issues can easily escalate, namely to war. I am not

  • PM declares ASEAN Para Games open

    The 12th ASEAN Para Games officially kicked off on the evening of June 3 at Morodok Techo National Stadium in Phnom Penh, with a spectacular opening ceremony featuring fireworks and performances by some of the Kingdom’s most accomplished talents. Tens of thousands of sports fans

  • Waterway job still pending for Kampot tourism port’s opening

    The search is still on for a contractor to expand and deepen the Kampot International Tourism Port’s waterway and deliver additional enhancements allowing safe access for larger vessels, nearly a year after the main construction work on the 4.25ha site was completed on June 30, 2022.