Logo of Phnom Penh Post newspaper Phnom Penh Post - HKL gets green light to receive deposits

HKL gets green light to receive deposits

HKL gets green light to receive deposits

HATTHA Kaksekar Limited (HKL) became the second microfinance institution in a day and the fourth in total to be granted a deposit-taking licence by the central bank on February 5, said the lender’s general manager.

Hout Ieng Tong said Thursday that HKL had put the new service into operations Monday, allowing the firm to source loan capital from depositors rather than relying solely on international lenders.

AMK received a licence the same day.

“We have spent about $500,000 to prepare our facilities, staff, hardware and software for this service since we applied in December,” he said.
“So we can start immediately at all our branches in Phnom Penh and the other 12 provinces.”

More rural deposits
He said he expected the service to encourage more people in the provinces to save money with microfinance institutions (MFIs) where it is more secure, and that depositors could gain through competitive interest rates.

HKL sets interest rates of 8 percent and 9 percent for one-year deposit in US dollars and riels respectively.

“The interest rate is higher than offered at commercial banks, but … cheaper than we can borrow from foreign investors – [abroad] the minimum is 9 percent per year on dollars,” said Hout Ieng Tong.

Outstanding loans at HKL rose 6.7 percent last year compared to 2008. Profits fell 29.4 percent to $1.2 million over the same period as non-performing loans climbed 3 percent.

MOST VIEWED

  • Two luxury hotels latest quarantine options for inbound travellers

    The Inter-Ministerial Committee to Combat Covid-19 has designated two luxury hotels as alternative quarantine options for travellers who wish to enter Cambodia through Phnom Penh International Airport – Sokha Phnom Penh Hotel & Residence and the Courtyard by Marriott Phnom Penh. In a notice detailing guidelines issued

  • Visa A holders get to quarantine at Himawari Hotel

    The Ministry of Health has permitted foreign diplomats, UN and International NGO officials to undergo quarantine at Himawari Hotel in the capital in case they do not have a separate place suitable for this purpose, but the government would not be responsible for the expenses.

  • Baby saved as mother is lost to Covid

    Newborn baby Neth David has had a rough start in the world. His mother, Vong Daneth, was seven months pregnant when she contracted a severe case of Covid-19. When it became clear to her doctors that she would not survive, they performed a cesarean section

  • Jabs for kids bring hope for school reopenings

    Cambodia is tentatively planning to reopen schools – at least at the secondary level – when the vaccination of children aged 12-17 is completed, even though daily transmissions and deaths in other age groups remain high. Schools across the country have been suspended since March 20, one month

  • Governor: Covid subsides in capital

    Phnom Penh municipal governor Khuong Sreng said the Covid-19 situation in the capital’s 14 districts has eased, with only two districts still recording a high number of infections. “Transmission cases in all districts are dropping, though they are relatively higher Meanchey and Por Sen Chey.

  • Hun Sen: Get 12-17 age group ready for Covid jabs

    Prime Minister Hun Sen has told parents of children aged 12-17 in Phnom Penh and the provinces of Kandal and Preah Sihanouk to get them ready for vaccinations soon. “There is a need to vaccinate children and youths aged 12 to 17. According to the statistics provided