Logo of Phnom Penh Post newspaper Phnom Penh Post - HKL graduates from MFI to commercial bank, plans expansion

HKL graduates from MFI to commercial bank, plans expansion

Content image - Phnom Penh Post
Hattha Kaksekar Ltd president and CEO Hout Ieng Tong. Supplied

HKL graduates from MFI to commercial bank, plans expansion

Nearly four years after microfinance deposit-taking institution (MDI) Hattha Kaksekar Ltd (HKL) was acquired by Bangkok-listed Bank of Ayudhya Pcl (Krungsri), it announced on Monday that it had received regulatory approvals and had become the commercial bank Hattha Bank Plc, complete with new logo design, and is gearing up to expand its business in Cambodia.

Krungsri, a member of Tokyo-listed global financial service provider Mitsubishi UFJ Financial Group Inc, completed a 100 per cent acquisition of HKL in October, 2016. It injected $45 million in additional capital into HKL in June, 2018.

HKL said the transformation is in the line with its parent company’s strategic plans to pursue regional business expansions and capture growth opportunities in CLMV (Cambodia, Laos, Myanmar and Vietnam) countries by leveraging local expertise and physical presence together with its existing established business platform and extensive networks.

Its president and CEO Hout Ieng Tong said the transformation marks a new milestone in the bank’s history and reflects its “trustworthy, transparent and right” approach to its financial service offerings and its contribution to the development of the Kingdom’s financial sector.

He said HKL “has a strong commitment with high confidence, and is well ready to serve the customers with a wide range of suitably perfect, trustworthy, convenient and simple services through our highly experienced professional staff.”

He said HKL has adopted its brand of business strategies, human resources, capital growth, banking system, risk management and business operations to become a leading commercial bank and “build a bright future” for customers.

A former food security project launched in Pursat province by OCSD/Oxfam-Quebec in 1994, HKL was registered as an NGO with the Ministry of Interior in 1996.

On April 3, 2001, it was registered with the Ministry of Commerce with a total capital of $77,850 and received a three year microfinance institution (MFI) licence. The National Bank of Cambodia in 2007 offered it a permanent MFI licence.

In 2010, it became only the second MFI to acquire an MDI licence which allows the holder to collect savings and fixed deposits.

HKL currently has $115 million in capital registered at the NBC and boasts 177 branches that offer a wide variety of financial services such as loans savings, money transfers, payroll services, mobile banking and insurance referral services.

It operates 137 ATMs nationwide, in Phnom Penh and in all 24 provinces.

MOST VIEWED

  • Would you like fries with that? US burger chain makes Phnom Penh debut

    California-based The Habit Burger Grill restaurant chain is all set to serve up a delicious array of charbroiled burgers and sides at its newest international location in the centre of Phnom Penh. The Habit is “renowned for its award-winning Charburgers grilled over an open flame,

  • Phnom Penh underpass opens to ease traffic

    Prime Minister Hun Sen has announced a temporary opening of the 488m underpass at the Chaom Chao roundabout in Phnom Penh’s Por Sen Chey district, which was recently completed to connect traffic from National Road 4 to Russian Federation Blvd. The move is to reduce

  • Banteay Meanchey flood victims receive aid

    Prime Minister Hun Sen on Wednesday provided aid to more than 10,000 families affected by flooding in Banteay Meanchey province’s Mongkol Borei district and offered his condolences to the 18 victims who drowned in the province over the past week. He said flooding had occured in

  • ‘No chance Cambodia booted out of ASEAN’

    A group of former and current Cambodian diplomats on Tuesday fired back at retired Singaporean diplomat Bihalari Kausikan after he proposed that ASEAN dismiss Cambodia and Laos from the bloc. In an open letter, the Cambodian diplomats said Kausikan’s remarks were made from a

  • PM urges caution as Polish man tests positive for Covid

    The Ministry of Health on Wednesday reported that a 47-year-old Polish man tested positive for Covid-19 after arriving in Cambodia on Monday. There are a total of six Covid-19 patients currently in the country, all of whom are being treated at the Khmer-Soviet Friendship Hospital

  • Woman seeks answers after arrest of American partner

    Filipina Lalaine de Guzman, 48, is demanding answers for the detention of her American partner by Cambodian immigration officers after he was arrested at their home almost 90 days ago. She said without an arrest warrant or proffering any criminal charges, Stephen Sidney Greatsinger, 56, is being detained