Logo of Phnom Penh Post newspaper Phnom Penh Post - Chip Mong moves into banking sector

Chip Mong moves into banking sector

Chip Mong moves into banking sector

Cambodian conglomerate Chip Mong Group has expanded its business interests in the Kingdom to the financial sector by adding Chip Mong Commercial Bank to its corporate portfolio.

Although it has not publicised the bank’s establishment as yet, the group last week posted a job announcement on its website, saying that it is running a newly established commercial bank.

When contacted by The Post on Monday, a Chip Mong employee confirmed that the group had been granted a banking licence by the National Bank of Cambodia (NBC) and is now building a team.

Neither a Chip Mong executive nor a representative from the NBC could be reached for comments.

However, Chip Mong Commercial Bank has been registered with the Ministry of Commerce since July 15 and lists Pheap Heak as its board chairman, while Leang Khun and Leang Meng are named as directors.

$75M or more

The NBC’s semi-annual report for this year said the Kingdom was home to 39 commercial and 15 specialised banks. In order to operate in Cambodia, banks are required to have capital of at least $75 million.

Ngeth Chou, a senior consultant at Emerging Markets Consulting (EMC) and an expert in Cambodia’s financial landscape, said it is not surprising for Chip Mong to fulfil the requirements, as the group already has several subsidiaries that started with hundreds of millions in investment capital.

Seeing a clear path that led Chip Mong to commercial banking, Chou said: “Chip Mong’s subsidiaries like Chip Mong Land has offered mortgage services, so that service could come under its commercial bank in the future,” he said.

“The scale of [financial need] among Chip Mong’s many enterprises may already be large enough to merit the establishment of a bank.”

Chip Mong’s business operations cover construction and materials, consumer goods, property development, food and beverage, hospitality and retail sectors.

MOST VIEWED

  • Hun Sen to ‘step down’ if he loses Sam Rainsy bet over Kem Sokha

    Hun Sen has promised to step down as prime minister while opposition figure Sam Rainsy pledges to turn himself in as forfeits if the long-term political rivals lose a “bet” over the future of former opposition leader Kem Sokha, who is on bail awaiting trial

  • UAE prince seeks to invest in Cambodia

    The UAE has expressed interest in Cambodian oil and gas exploration. Minister of Mines and Energy Suy Sem said this was the result of his discussions with Sheikh Ahmed bin Dalmook bin Juma al-Maktoum, a member of the royal family who visited him on Wednesday.

  • Smith calls for ‘release’ of Sokha as visit ends

    At a press conference to conclude her 11-day visit to Cambodia, UN Special Rapporteur for Human Rights in Cambodia Rhona Smith on Thursday called for treason charges against former opposition leader Kem Sokha to be dropped and for him to be released from “restricted detention”.

  • PM denies ‘nepotism’ claims

    Prime minister Hun Sen denied on Thursday that nepotism was involved in the recent promotions of the children of senior government officials. He said they had been “trained” and were entirely capable of carrying out their duties while being open to “punishment” like anyone else.